Panama City Hotel Market Passes Major Milestone
After a period of unprecedented construction, the number of hotel rooms in Panama City has surpassed 13,000 rooms, almost double the number of rooms available in 2007.
While we were all aware of the explosion of hotel rooms, the specific numbers from the Marketing Challenges International, the North America sales and marketing agent for the Panama Tourism Authority, puts the phenomenon in perspective.
Keep in mind this growth occurred during the worst global economic crisis in a generation. Many markets around the world saw construction completely stall. New hotels are a rarity in many big cities.
The growth in Panama City is driven by the interest of several of the world’s most respected internationals brands.
The MCI report comes on the heels of the opening of the first Hilton Hotels & Resorts in Panama City, which we reported earlier this week. The 347-room hotel is one of four Hilton-related brands in the city, and a fifth is on the way, the company reports.
But Hilton is not alone. Westin and Hard Rock have both opened major destination hotels, and, of course, there is the Trump Ocean Club, the icon of Punta Pacifica. The Trump is still growing, with the region’s largest casino scheduled to open in a few weeks.
More are on the way, MCI notes. The Hyatt Place Panama City and W Panama are due to open within the next two years. And that is meant to coincide with the opening of the Amador Convention Center, which is considered a game changer the convention and meetings business in Panama City.
In many ways this is good news for property investors in Punta Pacifica. In the short term, it means readily available inexpensive hotel rooms. But in the long term it means that Panama City will continue to solidify its position as the regional center for business and leisure travel, especially as all these brands work to promote their properties.
Duncan McGowan is president of Punta Pacifica Realty, a Panama real estate agency focused on Punta Pacifica, the exclusive neighborhood of 18 towers perched on the edge of the Pacific Ocean.
