Panama: a Geographic Hub, with Incentives for Growth and a Promising Future

Anatoly Gaviria August 27, 2013

Panama has always had a great location geographically, commercially and culturally in Central America. It is considered the hub of the Americas. The first Europeans arrived in Panama in 1501 and soon thereafter it was established that Panama was the easiest way to get from the Atlantic Ocean to the Pacific Ocean. The Panama Canal was built from this knowledge and today it is one of the largest and busiest transportation hubs in the world, and in the process of being expanded.

History Meets the Modern Age

There are many illustrations of the past meeting the present in Panama City. In Casco Viejo for example, its possible to see Spanish Colonial Architecture from the 1500's next to French Colonial architecture from the 1800's left from the France's attempt on the Canal.

Because of the World Heritage status granted to Casco Viejo, coupled with new construction/renovation incentives which mandated up to 30 years of property tax exoneration's on new construction, the historic area of Casco Viejo has been transformed to a town of historic facades with modern interiors. Investors are just now realizing the potential for making money in the Panama real estate market, which has created a real estate boom.

Real Estate is Booming in Panama

Even though Panama is considered to be a small country, the real estate market is very diverse.  There is property to be found in not only Panama City but on either the Caribbean and Pacific Coasts of Panama, mountains which boast cooler temperatures and even new cities are being created such as Panama Pacifico which also includes labor and tax incentives for multinational companies. Just about any geographic location can be found in Panama for those who want a great piece of land at a great price.

For Investors Only

One of the reasons investors are looking at Panama is because legislation has been passed to made it easier for foreign and local investors to conduct business in Panama. There are many incentives ranging from visas that grant discounts to pensioners on many goods and services, tax and labor incentives meant to attract multinational businesses, new construction incentives which grant real estate tax exoneration and even a variety agricultural related incentives.

It is no wonder that this area of the world is quickly becoming one of the hottest real estate areas in the world. Those who want to invest in Panama should do so before the popularity of the country becomes such that the benefits are undermined by rising prices. Whether you’re an investor or just want to retire on the beach, today, Panama is a great choice.