The real estate market in Panama is booming and one of the most “happening” areas is the luxury condominium sector. Despite attempts by the Panamanian government to slow down development, the skyline is bursting with new developments. Demand is high, partly because Panama is one of the largest free trade areas in the world, second only to Hong Kong. Panama is also a major banking centre due to “relaxed” banking laws.
There are some doubts as to the long term viability of this market, which is largely populated by “flippers,” property investors who buy and hopefully sell on a condo before construction is even complete.
Estate agents are obviously keen to encourage this practice as it means earning several commissions on the same piece of property and are trying their hardest to push prices over $5,000 per square meter. So far, the highest achieved has been $4,000. As little as 2 years ago, the record price was Less than a quarter at $1,000.
But the fear is, that when the time comes, there will be no actual “residents,” for these condos. Only time will tell as to how well grounded these fears are, and for the time being, Panama is still attracting many foreign flippers.
Here is a look at some of the upcoming condo developments in Panama City.
Element Boutique Condominiums
A 32-story high-rise featuring 100 luxury condominiums.
With a privileged location on Balboa Avenue, the most sought after spot in the city of Panama, Element Boutique Condominium offers unparalleled views of the Pacific Ocean and the surrounding city. The neighbourhood is north-east of Casco Antiguo and home to the best schools, hospitals, shopping, restaurants and services in the entire country.
Element Boutique Condominiums features top-of-the-line facilities including:
* Spectacular terraces including Jacuzzi
* Porte-cochere entrance,
* Spa with sauna
* Yoga and meditation gardens
* Fully-equipped gym
* Infinity-edge pool overlooking the bay
* Poolside cabanas and day beds
* Squash court
* Gazebo overlooking the bay
* Barbeque area
* Business centre with meeting room and multi-media facilities
Construction on Element will begin mid-2007 and should be complete by mid-2009. Available are two-bedroom, two-bath condos. Prices range from $292,000 to $349,000
Trump Ocean Club Panama
The Donald is developing the Trump Ocean Club Panama. Currently under construction, the sales brochure offers, “Unique residences with state-of-the-art technology and spectacular ambiance. Has two beautiful comfortable and flexible architectural plans that include a great room, kitchen and one bedroom with an adaptable space according to your needs. All units include air conditioners and terraces with spectacular views of the ocean.”
On Panama Bay will be located in Punta Pacifica, It’s the last vacant land an with unobstructed ocean view, and consisting of two towers. We found an interesting promo video for this one that’s worth a look.
The Magalopolis is probably the most “interesting” design, and will certainly be unique, not just in Panama.
The Ice Tower
Currently on ice, was slated to become the tallest concrete building in the World until engineering issues stopped the project, perhaps permanently.
While the boom still continues, we are seeing a big increase in the amount of rental units coming on the market, which could mean the end of the flip fest. Watch this space.