Owners in Costa del Este and the neighboring Santa Maria Golf and Country Club are reporting increases in rental rates in recent months. It’s always been a popular area, but several factors are coming together to drive yields for investors.
First off, the location is — and always will be — perfect for life in Panama City. The coastal strip is equally close to downtown and the international airport, making it an ideal spot for executives and their families, who are moving to Panama in ever-increasing numbers.
The modern developments in Costa del Este and Santa Maria offer the type of communities that weren’t available in Panama, not long ago. With beautiful views, green spaces, and access to Santa Maria’s Jack Nicklaus-designed golf course, the area offers the type of mix of big-city excitement and suburban coastal living that can only be found in places like Miami and Rio.
For renters, there is a variety of homes available, in quiet neighborhoods with a wide variety of amenities to support a healthy lifestyle. In Santa Maria, Ocean House, one of our most popular properties with investors, stands out for offering a selection of smaller apartments and lower price points, with a full set of luxury amenities, including a rooftop ocean-view gym. In Ocean House, a 142-square-meter two-bedroom currently rents for $3,000 a month, offering an attractive income level for buyers coming in at the current price levels.
Costa del Este is attracting young couples and families, making two- and three-bedroom apartments particularly popular. Costa del Este is also attracting digital nomads, who are moving to the capital to enjoy the tropical setting and Panama’s generous remote worker visa options.
As we noted in a recent article, the inventory of top units in the area is starting to thin. The existing buildings are filling up, and there are only a few new projects in the pipeline. That’s helping to drive up rental prices. A 174-square-meter, three-bedroom apartment in Costa del Este is currently renting for $3,600 a month. (And here is a video of an eco-friendly luxury apartment available right now in Costa del Este.)
Our investor clients have been noticing the pricing shifts. We’re seeing increasing activity in developments throughout the area, including pre-construction projects. The rental rates are changing the risk-reward equations.
Interested in learning more about the opportunities? Contact us at firstname.lastname@example.org