That's according to the Wilson Ruiz, vice president of the association of Real Estate agents and developers in Panama (ACOBER). As can be seen in this graph from La Prensa below, building permits have dropped significantly this year, but less than one would have expected under the global economic circumstances. Of course many of these permits are for lower income housing, which continues at a strong pace due to government subsidies on interest rates.
Most of the expected glut of high rise luxury units are still under construction and all are behind schedule by anywhere from one to three years. From what I can determine many still have a long way to go before completion. ACOBIR is not overly concerned about this as they believe the units will be absorbed by the ever increasing number of people coming to invest in Panama and the fact that the buildings are coming to completion at various times will provide more time for absorption. Government officials believe the additional infrastructure such as the new metro, cinta costero and sewage treatment will help spur sales. Still, 8000 new apartments over $250k is a lot of property to move over the next few years. Miami is certainly having it's challenges moving a similar number of units, but that is Miami and this is the center of the universe.
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