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Costa Rican Real Estate Development and the Global Financial Crisis
Larry B. Pascal
Alejandro Antillón A.
Costa Rica experienced an unprecedented growth in the real estate sector, which started in the beginning of 2002 and culminated at the end of 2007. However, the exponential growth in local construction and development of new real estate projects subsequently revealed certain systematic deficiencies and obstacles. Nevertheless, the crisis has resulted in a better understanding of the workings of the applicable governmental agencies and the related proceedings with which a developer has to work to develop a real estate project in the country.
In this article, we will discuss experiences of developers, lawyers, and engineers in their dealings with governmental agencies when developing a real estate project in Costa Rica, focusing on the web of bureaucratic procedures and paperwork, or so-called tramitologia. Likewise, we will briefly describe the system for conveyance of real property under Costa Rican law, with particular focus on the registration system and tax issues arising out of the development of such projects.
To read the full article, click on the PDF linked below.
Excerpted from "Costa Rican Real Estate Development and the Global Financial Crisis," Latin American Law & Business Report, Vol. 18, No. 9, September 2010. Reprinted with permission from Latin American Law & Business Report published by WordTrade Executive, a part of Thomson Reuters.