Panama real estate is red hot! We have read this from sources like ABC Nightline, The New York Times, The Washington Post, International Living, and the Wall Street Journal, to name just a few briefly.

It is true that in Dubai you will find most of the Worlds construction cranes then Panama must be the second skyline filled with cranes. There’s construction everywhere. However, if you try to book hotel rooms in Panama City chances are you won’t find one. Recently the minister of tourism Ruben Blades published statements stating that there is an immediate need for more hotel rooms. Currently, there are only 17,000 hotel rooms in Panama, not quite enough for the double digits growths in tourism that Panama has been experiencing and is continuing to project. He stated that there is a deficit in hotel rooms of more than 20,000 rooms. We have a list of New Hotels that are in development in Panama, the demand is still higher than the supply. And we all know what that represents.

Condo Hotels have become the NEW BOOM in Investment Opportunities. For those of us that like cash generating Investments, and returns the Guarantee at least 10% + and higher; investing in a condo hotel in Panama is Now an excellent option.

Condo-hotel’s are just like traditional hotels, however, each hotel room unit may belong to an individual owner, whereas in traditional hotels, there usually just one owner of the entire building.

Condo-hotel owners generally sign a contract with a management company to “operate and manage” the hotel facilities and each of the individual hotel rooms. This is done on a profit share basis, with anywhere from 50% to 75% of the rental income going to the individual unit owners.

Additionally, some Condo-hotel management companies also pool the remaining annual net operating profits with an additional percentage being distributed at the end of the operating year to the owners. This percentage varies but can be as much as 10%. Additionally, condo-hotel owners get to use their hotel room units for limited number of days per year. Generally between 1 and 2 weeks. So if you plan to vacation in the destination where you own a Condo-hotel unit, this would be an added benefit.

Demand for hotel rooms in Panama is much higher than the availability of hotel rooms. The occupancy rates are at a steady 90% and above. The infusion of foreign capital, the construction boom, and mega investment projects like $5 + billion dollar expansion of the Panama Canal which is underway. The construction of the Panama International Merchandise Mart, the largest commercial structure in Latin America with 2 million square meters of construction (21,572,7820 square feet). Total investment is US$1 billion USD over a 3-year period, the development of the Panama-Pacific Special Economic Area [formerly Howard a U.S. Air Force base], a multi billion dollar real estate development underway by London Regional, and many more. Caterpillar, has recently announced it was moving its regional headquarters to Panama, made a statement saying they alone would have a demand of approximately 12,000 room-nights per year!

ThinkPanama.com has reviewed the Condo-hotel offerings in Panama, and has selected two Condo-hotels to Promote: The Plaza Costa del Este, and The Orchid. Both offer investors PRE-SALE prices to purchase units, and both offer GUARANTEED Returns of 10% - 15%+

The Plaza, Costa del Este: This outstanding project combines 150 unique and contemporary executive hotel rooms and 44 private residences is located in the Costa del Este part of Panama City – an up and coming area with Residential and Commercial areas including a major Office park complex. Hotel units start at $193,000. In 5 years you would have recovered 50% of your total investment, plus owners get 70% of the rental income, and are allowed to use their units for one week. Celebs the likes of International Superstar and Grammy-award winning artist, Enrique Iglesias, and Latin Salsa sensation Gilberto Santa Rosa are confirmed owners of units in The Plaza. Enrique Iglesias bought the Penthouse and Gilberto Santa Rosa bought a residential unit in the development.

The Orchid, a 200 room, Five-Star Condo-Hotel, will be located in the Financial district in Panama City, and will cater primarily to Business Travelers, boasting one of the best equipped Business Centers in the City. The property will feature a full service Spa, Pool, Restaurants, Room Service, Gymnasium, Concierge service, housekeeping, etc., Based on projections released by the company, owners can conservatively expect an average of 17% ROI, this is based on a very conservative 66% occupancy rate. The owners share of the rental income is set at 63%, Pre Sale Prices start at $207,000.

Both of these Condo Hotels Investments Opportunities will be featured by Think Panama in their April 17, 2007 , FREE investing in Panama seminar. At the Miramar Inter-Continental Hotel overlooking the modern bay & skyline of Panama City.

CONTACT INFORMATION

Douglas Choy (Spokesperson)
ThinkPanama.com
Director & President, Licensed Real Estate Broker no. 1930
Century Tower Building,
Ave. Ricardo J. Alfaro,
18th floor,
suite 1810
Panama, Republic of Panama
U.S. Direct (407) 641-5747 (office)
+ 507- 260-4000 (office)
Email: dchoy@thinkpanama.com
Web site: http://www.thinkpanama.com
Blog: http://www.thinkpanama.com/blogs/pressroom.php