Interesting information from a Panama author regarding HOWARD AIR FORCE BASE

London & Regional finally begin work on Howard AFB

 

The developer is working on the project's master plan, and expects to start construction in July.

The development of the former Howard Air Force Base is expected to begin in earnest in two months or so as the master plan for the project starts to become a reality.

More than 300 people are already working at the site, according to developer London & Regional Panama, including engineers, lawyers, accountants and architects developing the master plan as well as technicians conducting field studies for the environmental impact assessments required for the project.

In July, the construction of infrastructure is expected to start, boosting the number of workers to more than 1,000.

L&R Panama General Manager Henry Kardonski said that a total of $60 million will be invested in the site in the next two years. Much of that money will be spent on infrastructure, such as improving roads and installing utilities such as telecommunications, water and power lines.

The former military installation is being heavily promoted both in Panama and abroad as a commercial center that will offer companies locating there substantial tax incentives as well as access to modern facilities, including an airport.

Kardonski said four companies -- a multinational, a processing plant and two logistics firms -- have already signed letters of intent with L&R to locate in Howard. The manager declined to name them because the final details of the agreements are still being worked out. These companies will join Dell and Singapore Aerospace Technologies, the former base's two current occupants.

Kardonski said that L&R has contacted 150 other companies, and many have shown more than a passing interest in relocating to Howard. Many of them are from the U.S., Europe and Venezuela, and cite the tax breaks as the prime reason for considering a move to the base.

The 1,400 hectare site will not only house businesses, but a residential project, a resort and golf course and amenities such as a shopping center and restaurants.

"We're going to have a complete city with first-world standards," said Edgar Hernández, the project's director of infrastructure.

While concerns have been raised about other major projects, such as the expansion of the Panama Canal, making it hard for L&R to obtain laborers or materials for the project, Hernández said that long-term deals are being worked out to ensure the project will not be hampered.

London & Regional finally begin work on Howard AFB

Many of us had become a bit skeptical about the London & Regional Panama Pacifico project as much time has passed without any news, but this article from La Prensa gives us hope that it is finally underway. This is an extremely important project for Panama as the company has huge plans for the 1400 hectare property it has committed to develop into commercial and residential areas. As their website proclaims, "this is the largest master planned project in the world". I am a little concerned that their General Manager has committed to spend only $60 million over the next two years. We spent more than that in Valle Escondido! It becomes clear from this article that they are installing infrastructure and are still looking for the developers who will come in and do the heavy lifting. Lets hope they find them!

The developer is working on the project's master plan, and expects to start construction in July.

The development of the former Howard Air Force Base is expected to begin in earnest in two months or so as the master plan for the project starts to become a reality.

More than 300 people are already working at the site, according to developer London & Regional Panama, including engineers, lawyers, accountants and architects developing the master plan as well as technicians conducting field studies for the environmental impact assessments required for the project.

In July, the construction of infrastructure is expected to start, boosting the number of workers to more than 1,000.

L&R Panama General Manager Henry Kardonski said that a total of $60 million will be invested in the site in the next two years. Much of that money will be spent on infrastructure, such as improving roads and installing utilities such as telecommunications, water and power lines.

The former military installation is being heavily promoted both in Panama and abroad as a commercial center that will offer companies locating there substantial tax incentives as well as access to modern facilities, including an airport.

Kardonski said four companies -- a multinational, a processing plant and two logistics firms -- have already signed letters of intent with L&R to locate in Howard. The manager declined to name them because the final details of the agreements are still being worked out. These companies will join Dell and Singapore Aerospace Technologies, the former base's two current occupants.

Kardonski said that L&R has contacted 150 other companies, and many have shown more than a passing interest in relocating to Howard. Many of them are from the U.S., Europe and Venezuela, and cite the tax breaks as the prime reason for considering a move to the base.

The 1,400 hectare site will not only house businesses, but a residential project, a resort and golf course and amenities such as a shopping center and restaurants.

"We're going to have a complete city with first-world standards," said Edgar Hernández, the project's director of infrastructure.

While concerns have been raised about other major projects, such as the expansion of the Panama Canal, making it hard for L&R to obtain laborers or materials for the project, Hernández said that long-term deals are being worked out to ensure the project will not be hampered.

--
Nancy E. Griffin
Kinlin Grover GMAC Real Estate
Certified International Property Specialist
193 Cranberry Highway
Orleans, Cape Cod, MA 02653
ABR, FIABCI, CIPS, TNR
508.632-0576 fax
508.726.7914 cell

article on Casco Viejo and Old World Charm...

Panama City was once (and many would say still to this day) a crossroads of the New World. Immigrants flocked from all over the world to start new lives on the isthmus, building it up as a cultural think-tank of business, language, and trade. It was in this period for Panama that outside architectural influence was at its height, and ignorance for the past, present and future at an all time low.

So it is with much concern that today's existing French-Caribbean architecture with ornate wood carvings and Spanish-colonial homes with rustic tiled roofs are being torn down regularly in San Fransicso, Marbella, and Bella Vista (among other districts) and being replaced by large, out-of-scale structures: a process which will change the character of the neighborhoods forever.

Avenida Central, as a specific example, which runs through Caledonia and into Bella Vista (before leading into Calle 50) is one that bisects a marginal neighborhood. It is flanked though, by some of the most stunning once-prospering pieces of real estate in Panama City. The current sales office for Tucan Country Club, a white palace of columns and intricate moldings: an absolute gem on the eye. Or Arcos de Bella Vista; a beautiful Mediterranean-style guesthouse/mansion.

Some might argue that the demolition of similar buildings is a direct result of developer greed, considering more money can be made more rapidly in building and selling high-end ocean-view pre-construction condos. But in response, it would be sensible to look at other historic cities and towns in the region to gain not only an appreciation for the restoration and preservation of a culture, but to cash in on the undoubtable gold mine they're so blindly sitting atop.

Cartegena for example, the historic destination known for its pastel colors and delicate European facades, is the most expensive and (arguably) most sustainable real estate market in Columbia.

Examples like Old San Juan (Puerto Rico), Grenada (Nicaragua), and Antigua (Guatemala) are wonderful leaders in the field of historic real estate preservation in Central America. And while that's not to say Panama shows no concern over the subject, there is clearly a lot of room for improvement. Maybe the greatest challenge is revitalizing such old buildings while keeping them competitive in the modern marketplace: meaning efficient for commercial and residential occupation.

As the entire nation has become caught in the whirlwind of Panama real estate, one of glitzy towers and ocean view lots, one of billboards with gringos sipping coffee from their Pottery Barn terraza, there has been a significant (perhaps unconscious) sense of tunnel vision through which smart growth, environmental sustainability and cultural authenticity in the Republic's capital are being overlooked. And it is this generic and monotonous process, of ignoring such safeguards, that threatens seriously the economic and social diversity of Panama as a whole.

Casco Viejo, the UNESCO Herritage site of Panama City is perhaps the only destination in the Republic with strict, in-force historic real estate preservation laws: meaning neighborhoods where foreigners and locals alike are purchasing property in which to live or work. Unarguably, it's the most thriving.

"Protecting historic properties makes a community more beautiful and more salable," points out Chris Leporini of Realtor Magazine Online. "When you preserve historic properties, you're not just saving a building or plot of land, you're protecting part of your community's character and giving buyers a reason to want to live there."

Retaining historical architectural appeal is a proven magnet for tourism throughout the world. Panama has historically made a name for itself by setting the bar and showing foresight into the future. Some might then opt to characterize the new wave of real estate towers as groundbreaking or even visionary.

But in a world of budding technology and global real estate appeal, with condos on the moon perhaps closer than we think, what will truly make this developing city a place everyone wants to live? What will truly make Panama City a unique travel and investment destination? Government officials and City leaders should reconsider their plan for long term authentic and culturally sustainable growth: an effort to protect the very components that drew now-Panamanians here in the first place.



--
Nancy E. Griffin
Kinlin Grover GMAC Real Estate
Certified International Property Specialist
193 Cranberry Highway
Orleans, Cape Cod, MA 02653
ABR, FIABCI, CIPS, TNR
508.632-0576 fax
508.726.7914 cell

Investors Find More Fertile Opportunities Overseas

With the U.S. Housing Bubble Bursting, Investors Find More Fertile Opportunities Overseas

By Jason Simpkins
Associate Editor

Just a few months ago, the world's biggest property fund manager, ING Real Estate (ING), announced plans to spend another $700 million on Chinese real estate. That was on top of the $350 million raised for residential development in China in 2006.

Now, investment firms and sovereign wealth funds around the world are scrambling to catch up.

Story continues below…

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"On the one hand you see part of the world slowing down, triggered by the credit crunch," ING Real Estate Chairman and Chief Executive, told Reuters. "And then you see another part of the world -China, Japan, and even Australia -where there are lots of opportunities."

India has been one of the primary beneficiaries of foreign real estate investment so far. With tight lending practices and a thriving market, a rapid influx of foreign cash -much of it retreating from the U.S. market -has begun to pour in.

Lehman Brothers Holdings Inc. (LEH), for instance, has already deployed about $2 billion in India and is reportedly preparing to raise its first India fund this year.

"It will be for real estate, and a companion to our Global Real Estate Fund," Tarun Jotwani, chairman and chief executive of Lehman Brothers India, told the Mint paper.

The fund "will be large enough to give us significant firepower in a sector that is experiencing a capital crunch but is small enough and flexible enough to allow us to build a top quality portfolio," Jotwani added.

Citigroup Inc. (C) and Morgan Stanley (MS) have also invested in Indian real estate and many analysts believe that Goldman Sachs Group Inc. (GS) and HSBC Holdings PLC (HBC) will soon join them.

Most recently, Philippines-based Ayala Corporation and its affiliate, Arch Capital Management, announced plans to invest $100 million in the Indian property market over the next two years.

India isn't the only country enjoying fresh inflows for foreign cash either. In fact, Vietnam currently attracts more overseas investment than India does.

For Vietnam, 2007 was a banner year for foreign direct investment (FDI), which brought a record $20.3 billion into the country.  

In 2005, FDI was recorded at $ 5.8 billion, and in 2006 it reached $10.2 billion, before virtually doubling in 2007. Over the last 20 years Vietnam has amassed $98 billion in FDI for over 9,500 projects, and a great deal of that money has been finding its way into the real estate market, Arabian Business reported.

Last week, Qatar Investment Authority bought a 27% stake in Dragon Capital, a Vietnamese property fund, which will buy into offices and serviced apartments in Ho Chi Min City, Bloomberg News reported.

In February that same Qatar Investment Authority bought a 15% stake in an Indian office complex being built at the Bandra Kurla complex in Mumbai.

The fund has $60 billion to play with and one of its managers said earlier this week that more emerging market real estate investment is in the works.

"We are focusing on prime cities in India, China, Singapore, Korea, Vietnam and Malaysia, cities around the world where there is strong GDP growth and fundamental unmet demand for high quality real estate," Navid Chamdia, head of real estate at Qatar Investment, told Bloomberg at a wealth funds conference in Abu Dhabi. "About 40% of our real-estate investments will be in Asia."

In addition to taking a harder look at Asia the fund may start looking for some bargains in the U.S. market.

"We anticipate several opportunities in the U.S. for mezzanine financing, and individual distressed assets," Chamdia said. "We are looking at a number of these opportunities with several partners."

Sovereign wealth funds like these will be fixtures in real estate for years to come. Fueled by a commodities boom and large currency reserves Morgan Stanley estimates sovereign fund assets could reach a total of $12 trillion by 2015.

News and Related Story Links:

• Bloomberg:
  Qatar's Fund to Invest in Asian Property, U.S. Assets

• Arabian Business:
  Record US$ 20.3 billion FDI drives Vietnam real estate

• LiveMint.com:
  Battered in the US, Lehman bets on India

• Money Morning:
  ING Plows an Additional $700 Million Into Chinese Real Estate

Profits Are Up 1,056.2% for This Wisconsin Company

Commodities are on a tear - and so is mining equipment. This "pick-and-shovel" company has already sold out two-thirds of its equipment for 2008. Australia, Canada and China are battling for orders. And the Street hasn't figured it out yet. All the details are in our Power Plays Report.

--
Nancy E. Griffin
Kinlin Grover GMAC Real Estate
Certified International Property Specialist
193 Cranberry Highway
Orleans, Cape Cod, MA 02653
ABR, FIABCI, CIPS, TNR
508.632-0576 fax
508.726.7914 cell

Why Panama?

Why Panama? The Republic of Panama may just prove to be the perfect place that you have been searching for to make your terrific real estate investment in a cash cow rental property… that very special second home for you and yours, or your secret place for wiling away your retirement days. But, why should you really seriously consider Panama? First, please allow me to start with the "NO" Reasons – No snow, no sleet, no ice (unless it's in your margarita glass), no cold weather – not ever. Sure Panama's mountains have year round spring-like weather and maybe it is even cool, at times, in the mountains of Panama – BUT NEVER, NEVER EVER COLD. What a concept! No hurricanes! To the best of my knowledge a serious hurricane has never struck the Isthmus of Panama. Many, not all but many, serious hurricanes initially form off the coast of Africa and gain strength as they cross the Atlantic Ocean. I know a lot about hurricanes because I have hunkered down and rode out a number of them in Florida – Frances, Jeanne & Wilma just to mention a few that immediately come to mind. When you take a look a world map you will see that Panama is ideally positioned so as to NOT be in the path of any serious hurricanes. No earthquakes, well maybe I can't say there are never earthquakes, but the last recorded earthquake in Panama City was in 1882. One of the reasons Panama was selected as the location for digging the Panama Canal was because this area is definitely NOT hurricane prone. No real estate taxes! On December 22, 2007 the Prensa newspaper reported that the Panama real estate tax exoneration was extended. The Consejo de Gabinette has approved an extension of the 20 year property tax exemption for apartments and houses whose building permits are issued before December 31, 2009. Sweet!!! How would you like to pay NO property taxes for 20 years? Start packing your bags and come to Panama! No Panama taxes on any foreign source income, capital gains and/or any of your interest income. No Military. After the United States Military extracted Senor Noriega from Panama in 1989, Panama abolished its military. When you visit Panama I am sure that you will notice a number of uniformed hombres who are dressed a lot like soldiers, (they look just like soldiers to me) but technically they are part of the police force. It is my understanding that one of the main objectives of Panama's police force is to not only protect the people but make certain that the good guys stay in power in this democracy. But enough with all this negativity & the NO's – Please allow me to share with you some yes statements… not necessarily in the order of importance: Yes, Panama currency is the US Dollar. If you are an American it will sure seem strange when you hear a Panamanian refer to the currency as a Balboa, but the faces on the bills are of Washington, Lincoln & Jackson. When you visit Panama you should try to only bring US currency of $20.00 bills or less. It is difficult to cash any bill of more than a $20.00, because the Panamanians will suspect the bill is counterfeit… and don't even think about trying to use travelers checks – no way! Since Panama's money is the US Dollar, if you are an American, you do not have to worry about any exchange gains or losses. Yes, there is a real estate mega boom going on right now in Panama. I've been involved in the real estate industry for a whole lot of years – How about 38 years to be exact – Ouch! It is amazing that I don't look any older! I have never seen anything at all like what is going on right now in Panama… & I believe this is because there has never, never ever been anything comparable to what is going on right now in Panama… anywhere else in the world has anytime ever. Wow! Don't wait until it is too late for you, and you miss out and then have to say coulda, woulda, shoulda! Yes, the cost of living is much, much less here than it is in North America or Europe. In the grocery stores, which believe or not are very similar to what you're like it to find in the United States – the prices are such that I believe you will save about 50 cents on the dollar. Yes, Panama's a beautiful country, but you need to know where to go. I have read somewhere that in Costa Rica you'll see 20 tourists watching 1 bird, but in Panama you're most likely to witness 1 tourist observing 20 birds. And when it comes to birds, there is no other bird like Panama's resplendent quetzal? Come see this bird! Yes, North American and Europeans are more than welcome in Panama. The people of Panama are not in awe of foreigners, most likely because of the construction and maintenance of Panama Canal which brought hundreds of thousands of different nationalities to Panama. And, also tens of thousands of United States citizens have been in Panama for more than one hundred years. It is estimated that about 19,000 US Citizens now live in Panama. I believe that Panama is very much "Americanized". Some Panamanians play baseball instead of soccer and many of the Nort American franchises are here in Panama. Yes, health care here in Panama is first rate. Panama City's Hospital Punta Pacifica is affiliated with the prestigious John Hopkins Medicine International. For more information go to www.hospitalpuntapacifica.com. Yes, you can create a Panamanian foundation to shelter and protect your Assets. Yes, if you want to retire, Panama certainly wants you. To be a Pensionado (retiree) you only need to be at least 18 years of age and be able to document monthly income of $500.00 per month or $600.00 if you have a dependent. As a Pensionado, by law, repeat by law, you will receive discounts on just about everything: 50% discount on recreation, movies, hotel stays & sporting events 30% discount on public transportation 25% discount on domestic airline flights, most restaurants bills, electric, telephone & water bills 20% discount on doctor's visits – also much cheaper in the 1st place 15% discount on dental work 10% discount on prescription drugs Are you traveling to Panama soon? If you are a United States citizen you must have a visa when you enter Panama. This visa form costs you $5.00 and you can receive your visa from the airline you use to fly to Panama or pick one up at the Tocumen airport before you clear thru immigration. This visa allows you to stay in Panama for ninety (90) days.   Other ways for you to legally remain in Panama include: Self-Economic Solvency Visa Immediate Passport Program Business Investor Visa Reforestation Visa   The Top 11 Things To Do When You are in Panama City, Panama Panama Canal – A partial transit of the Canal is an excellent way to experience the 8th wonder of the world. There are tours that take you by boat departing from the Amador Causeway and sailing under the Bridge of the Americas and the newer Centennial Bridge. You also will transit through the Miraflores Locks. The partial transit of the Panama Canal ends at the Gamboa Rain Forest Resort, and then you will be returned by bus to the Amador Causeway. Amador Causewaywas created with the massive amount of dirt that was removed during the building of the Panama Canal. The Amador Causeway is located in the Bay of Panama and it links 4 islands. This is a great place to stroll, jog, bike or enjoy one of the many fine restaurants with wonderful views of the Panama City Skyline and the large ocean faring vessels waiting for their turn to transit the Canal. Panama Viejo – This is the original site of the City of Panama. You can take a self guided walking tour through the ruins of Panama Viejo. The signage is in English and Spanish. The Panama Viejo area was initially settled in the year on 1519 – almost 500 years ago! In 1671 an English pirate named Sir Henry Morgan totally destroyed the city – only these ruins remain and the City of Panama was then relocated to the area that is now known as San Felipe or Casco Viejo. When you visit the Panama Viejo area you will observe that not too far away, in Costa Del Este, skyscrapers of more than 50 stories are now under construction. What a striking contrast of the old and the new! Casco Viejo – The architecture is incredible – similar to the French quarter in New Orleans, Louisiana. Take another walking tour through the balconied, narrow streets with buildings mixed with Spanish and French heritage from days gone by. Don't miss visiting the Panama Canal Museum which is located in Cathedral Plaza, Las Bovedas, but most of the exhibits are only in Spanish. Gamboa Rainforest Resort is not too far away from Panama City. When you visit the Gamboa Rainforest Resort make sure that you take the boat tour to Monkey Island. Actually what is now known as Monkey Island was once really a mountain top. When digging the Panama Canal the Americans created the man made lake known as Gatun. When this area was flooded, the mountain tops became islands in Gatun Lake. This boat tour is only about an hour long and it takes you out into the Panama Canal. During your boat trip you will just about be guaranteed to witness large container ships transiting the Canal, crocodiles resting on the shores, and an assortment of feathered friends flying in the sky. Oh yea, when you arrive at Monkey Island don't be surprised if the monkeys want to jump in to your boat! Taboga Island is known as the flower island. You can take a ferry from the Amador Causeway to Taboga Island for only $10.00 round trip. When on Taboga Island you can just relax and enjoy the views, swim at one of the beaches or hike the trails. The best way for me to describe Taboga Island is that there really isn't much to do on Taboga Island, but, if you want, you can take as long as you want to do it – nothing. For more information, when in Panama call 314-1730. Watch a folklore show with colorful typical costumes and traditional dances. Shows are offered by the Tinajas Restaurant, the Al Tambor de la Alegria Restaurant on the Amador Causeway and Mi Pueblito. When you are feeling lucky visit the Las Vegas style casinos which are located in different hotels and shopping centers scattered throughout the city of Panama. Speaking of shopping centers – I am certain that you will find that the Multiplaza Pacific Mall, Multicentro Mall and Albrook Mall will rival any of the malls that you are familiar with in the United States and Canada, but you will also find that the prices here in Panama are usually much, much less. Another shopping area that you will want to visit for great deals is Los Pueblos which is located at the edge of the city, not too far away from the Tocumen Airport. Los Pueblos is a massive shopping complex which is known as a bargain hunter's paradise, thanks to a wide selection of discount stores with household goods, clothing and other items with prices so low you will not be able to say NO! Fine Restaurants – Sample a different restaurant each & every night. Some Panama restaurant critics have rated EURASIA, MADAME CHANG and ANGEL as the very best. ANGEL happens to be located on the ever popular Via Argentina and this street is lined with many other small cafes and bars – so you may want to stroll along Via Argentina again and again. For more casual dining try CREPES AND WAFFLES located in the Marbella district or any of the restaurant locations in the TAMBURELLI Restaurant chain. It really is not possible to only list 11 things to do in Panama City. You may also want to visit the Miraflores Locks to watch the gigantic cargo ships transit the Canal. Watch the horse races at President Remon Race Track. Take a day trip to El Valle, the San Blas Islands or Contadora Island. Take a leisurely walk in Parque Omar (Panama's version of Central Park in New York City) or Metropolitan Park which is a Rainforest within the city limits.

--
Nancy E. Griffin
Kinlin Grover GMAC Real Estate
Certified International Property Specialist
193 Cranberry Highway
Orleans, Cape Cod, MA 02653
ABR, FIABCI, CIPS, TNR
508.632-0576 fax
508.726.7914 cell

Why Panama?

Why Panama? The Republic of Panama may just prove to be the perfect place that you have been searching for to make your terrific real estate investment in a cash cow rental property… that very special second home for you and yours, or your secret place for wiling away your retirement days. But, why should you really seriously consider Panama? First, please allow me to start with the "NO" Reasons – No snow, no sleet, no ice (unless it's in your margarita glass), no cold weather – not ever. Sure Panama's mountains have year round spring-like weather and maybe it is even cool, at times, in the mountains of Panama – BUT NEVER, NEVER EVER COLD. What a concept! No hurricanes! To the best of my knowledge a serious hurricane has never struck the Isthmus of Panama. Many, not all but many, serious hurricanes initially form off the coast of Africa and gain strength as they cross the Atlantic Ocean. I know a lot about hurricanes because I have hunkered down and rode out a number of them in Florida – Frances, Jeanne & Wilma just to mention a few that immediately come to mind. When you take a look a world map you will see that Panama is ideally positioned so as to NOT be in the path of any serious hurricanes. No earthquakes, well maybe I can't say there are never earthquakes, but the last recorded earthquake in Panama City was in 1882. One of the reasons Panama was selected as the location for digging the Panama Canal was because this area is definitely NOT hurricane prone. No real estate taxes! On December 22, 2007 the Prensa newspaper reported that the Panama real estate tax exoneration was extended. The Consejo de Gabinette has approved an extension of the 20 year property tax exemption for apartments and houses whose building permits are issued before December 31, 2009. Sweet!!! How would you like to pay NO property taxes for 20 years? Start packing your bags and come to Panama! No Panama taxes on any foreign source income, capital gains and/or any of your interest income. No Military. After the United States Military extracted Senor Noriega from Panama in 1989, Panama abolished its military. When you visit Panama I am sure that you will notice a number of uniformed hombres who are dressed a lot like soldiers, (they look just like soldiers to me) but technically they are part of the police force. It is my understanding that one of the main objectives of Panama's police force is to not only protect the people but make certain that the good guys stay in power in this democracy. But enough with all this negativity & the NO's – Please allow me to share with you some yes statements… not necessarily in the order of importance: Yes, Panama currency is the US Dollar. If you are an American it will sure seem strange when you hear a Panamanian refer to the currency as a Balboa, but the faces on the bills are of Washington, Lincoln & Jackson. When you visit Panama you should try to only bring US currency of $20.00 bills or less. It is difficult to cash any bill of more than a $20.00, because the Panamanians will suspect the bill is counterfeit… and don't even think about trying to use travelers checks – no way! Since Panama's money is the US Dollar, if you are an American, you do not have to worry about any exchange gains or losses. Yes, there is a real estate mega boom going on right now in Panama. I've been involved in the real estate industry for a whole lot of years – How about 38 years to be exact – Ouch! It is amazing that I don't look any older! I have never seen anything at all like what is going on right now in Panama… & I believe this is because there has never, never ever been anything comparable to what is going on right now in Panama… anywhere else in the world has anytime ever. Wow! Don't wait until it is too late for you, and you miss out and then have to say coulda, woulda, shoulda! Yes, the cost of living is much, much less here than it is in North America or Europe. In the grocery stores, which believe or not are very similar to what you're like it to find in the United States – the prices are such that I believe you will save about 50 cents on the dollar. Yes, Panama's a beautiful country, but you need to know where to go. I have read somewhere that in Costa Rica you'll see 20 tourists watching 1 bird, but in Panama you're most likely to witness 1 tourist observing 20 birds. And when it comes to birds, there is no other bird like Panama's resplendent quetzal? Come see this bird! Yes, North American and Europeans are more than welcome in Panama. The people of Panama are not in awe of foreigners, most likely because of the construction and maintenance of Panama Canal which brought hundreds of thousands of different nationalities to Panama. And, also tens of thousands of United States citizens have been in Panama for more than one hundred years. It is estimated that about 19,000 US Citizens now live in Panama. I believe that Panama is very much "Americanized". Some Panamanians play baseball instead of soccer and many of the Nort American franchises are here in Panama. Yes, health care here in Panama is first rate. Panama City's Hospital Punta Pacifica is affiliated with the prestigious John Hopkins Medicine International. For more information go to www.hospitalpuntapacifica.com. Yes, you can create a Panamanian foundation to shelter and protect your Assets. Yes, if you want to retire, Panama certainly wants you. To be a Pensionado (retiree) you only need to be at least 18 years of age and be able to document monthly income of $500.00 per month or $600.00 if you have a dependent. As a Pensionado, by law, repeat by law, you will receive discounts on just about everything: 50% discount on recreation, movies, hotel stays & sporting events 30% discount on public transportation 25% discount on domestic airline flights, most restaurants bills, electric, telephone & water bills 20% discount on doctor's visits – also much cheaper in the 1st place 15% discount on dental work 10% discount on prescription drugs Are you traveling to Panama soon? If you are a United States citizen you must have a visa when you enter Panama. This visa form costs you $5.00 and you can receive your visa from the airline you use to fly to Panama or pick one up at the Tocumen airport before you clear thru immigration. This visa allows you to stay in Panama for ninety (90) days.   Other ways for you to legally remain in Panama include: Self-Economic Solvency Visa Immediate Passport Program Business Investor Visa Reforestation Visa   The Top 11 Things To Do When You are in Panama City, Panama Panama Canal – A partial transit of the Canal is an excellent way to experience the 8th wonder of the world. There are tours that take you by boat departing from the Amador Causeway and sailing under the Bridge of the Americas and the newer Centennial Bridge. You also will transit through the Miraflores Locks. The partial transit of the Panama Canal ends at the Gamboa Rain Forest Resort, and then you will be returned by bus to the Amador Causeway. Amador Causewaywas created with the massive amount of dirt that was removed during the building of the Panama Canal. The Amador Causeway is located in the Bay of Panama and it links 4 islands. This is a great place to stroll, jog, bike or enjoy one of the many fine restaurants with wonderful views of the Panama City Skyline and the large ocean faring vessels waiting for their turn to transit the Canal. Panama Viejo – This is the original site of the City of Panama. You can take a self guided walking tour through the ruins of Panama Viejo. The signage is in English and Spanish. The Panama Viejo area was initially settled in the year on 1519 – almost 500 years ago! In 1671 an English pirate named Sir Henry Morgan totally destroyed the city – only these ruins remain and the City of Panama was then relocated to the area that is now known as San Felipe or Casco Viejo. When you visit the Panama Viejo area you will observe that not too far away, in Costa Del Este, skyscrapers of more than 50 stories are now under construction. What a striking contrast of the old and the new! Casco Viejo – The architecture is incredible – similar to the French quarter in New Orleans, Louisiana. Take another walking tour through the balconied, narrow streets with buildings mixed with Spanish and French heritage from days gone by. Don't miss visiting the Panama Canal Museum which is located in Cathedral Plaza, Las Bovedas, but most of the exhibits are only in Spanish. Gamboa Rainforest Resort is not too far away from Panama City. When you visit the Gamboa Rainforest Resort make sure that you take the boat tour to Monkey Island. Actually what is now known as Monkey Island was once really a mountain top. When digging the Panama Canal the Americans created the man made lake known as Gatun. When this area was flooded, the mountain tops became islands in Gatun Lake. This boat tour is only about an hour long and it takes you out into the Panama Canal. During your boat trip you will just about be guaranteed to witness large container ships transiting the Canal, crocodiles resting on the shores, and an assortment of feathered friends flying in the sky. Oh yea, when you arrive at Monkey Island don't be surprised if the monkeys want to jump in to your boat! Taboga Island is known as the flower island. You can take a ferry from the Amador Causeway to Taboga Island for only $10.00 round trip. When on Taboga Island you can just relax and enjoy the views, swim at one of the beaches or hike the trails. The best way for me to describe Taboga Island is that there really isn't much to do on Taboga Island, but, if you want, you can take as long as you want to do it – nothing. For more information, when in Panama call 314-1730. Watch a folklore show with colorful typical costumes and traditional dances. Shows are offered by the Tinajas Restaurant, the Al Tambor de la Alegria Restaurant on the Amador Causeway and Mi Pueblito. When you are feeling lucky visit the Las Vegas style casinos which are located in different hotels and shopping centers scattered throughout the city of Panama. Speaking of shopping centers – I am certain that you will find that the Multiplaza Pacific Mall, Multicentro Mall and Albrook Mall will rival any of the malls that you are familiar with in the United States and Canada, but you will also find that the prices here in Panama are usually much, much less. Another shopping area that you will want to visit for great deals is Los Pueblos which is located at the edge of the city, not too far away from the Tocumen Airport. Los Pueblos is a massive shopping complex which is known as a bargain hunter's paradise, thanks to a wide selection of discount stores with household goods, clothing and other items with prices so low you will not be able to say NO! Fine Restaurants – Sample a different restaurant each & every night. Some Panama restaurant critics have rated EURASIA, MADAME CHANG and ANGEL as the very best. ANGEL happens to be located on the ever popular Via Argentina and this street is lined with many other small cafes and bars – so you may want to stroll along Via Argentina again and again. For more casual dining try CREPES AND WAFFLES located in the Marbella district or any of the restaurant locations in the TAMBURELLI Restaurant chain. It really is not possible to only list 11 things to do in Panama City. You may also want to visit the Miraflores Locks to watch the gigantic cargo ships transit the Canal. Watch the horse races at President Remon Race Track. Take a day trip to El Valle, the San Blas Islands or Contadora Island. Take a leisurely walk in Parque Omar (Panama's version of Central Park in New York City) or Metropolitan Park which is a Rainforest within the city limits.

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Nancy E. Griffin
Kinlin Grover GMAC Real Estate
Certified International Property Specialist
193 Cranberry Highway
Orleans, Cape Cod, MA 02653
ABR, FIABCI, CIPS, TNR
508.632-0576 fax
508.726.7914 cell

Seven rate cuts since the fall...

Thursday, May 1st, 2008

With Seven Rate Cuts Since Fall, Could the Fed Be Exporting Stagflation to Europe?

By Jennifer Yousfi
And William Patalon III
Money Morning Editors

The U.S. Federal Reserve reduced the benchmark U.S. lending rate by a quarter point - from 2.25% to 2% - yesterday (Wednesday), and then hinted that it will take a break from one of its most-aggressive rate-cutting campaigns in decades.

"The substantial easing of monetary policy to date, combined with ongoing measures to foster market liquidity, should help to promote moderate growth over time and to mitigate risks to economic activity," the policymaking Federal Open Market Committee (FOMC) said in the statement announcing the interest-rate move. Central bank policymakers also said that "recent information indicates that economic activity remains weak" before going on to say "uncertainty about the inflation outlook remains high" and noted that the Fed would continue to monitor both economic growth and inflation closely.

The Fed launched this rate-cutting campaign on Sept. 18, not long after it became clear that the U.S. subprime mortgage meltdown was having a global impact. The reason: Banks in Germany and France had - for whatever reason - invested in debt obligations that were backed by subprime mortgages. And when the subprime market blew up, so did the holdings at those foreign banks.

Before the crisis broke, and even in its early weeks, Fed Chairman Ben S. Bernanke and other U.S. leaders repeatedly maintained that the problem was limited in scope and that no real "crisis" would evolve. Today, an estimated $312 billion in write-downs and credit losses later, the central bank has slashed interest rates seven times and helped engineer the bailout of The Bear Stearns Cos. (BSC) by JPMorgan Chase & Co. (JPM).

Yesterday marked the seventh time since mid-September that the U.S. central bank reduced the Federal Funds rate, the interest rate that banks with excess reserves charge one another for overnight loans. The Fed Funds rate also serves as the benchmark for the Prime Rate, the base rate that commercial banks use to price loans to their best and most-credit-worthy customers. Wachovia Corp. (WB) and other lenders pared their Prime Rates by a similar quarter point - reaching 5% - shortly after yesterday's Fed action.

Stocks soared in early trading. But then the markets shed those gains following the announcement of the expected quarter-point cut and ended mostly flat. The blue-chip Dow Jones Industrial Average Index was down 11.81 points (-0.09%), to trade at 12,820.13. The tech-laden Nasdaq Composite Index shed 13.30 points (-0.55%), to reach 2,412.80. And the broader Standard & Poor's 500 Index decreased 5.35 points (-0.38%), to hit 1,385.59.

"The markets pretty much knew what was coming and what we wanted to see were the changes in the statement," said Joel Naroff, president and chief economist of Naroff Economic Advisors, in a note to clients. "There were some, but the Fed still left itself plenty of wriggle room to do what it pleased."
 
Central bank policymakers have slashed the Fed Funds rate by a total of 3.25 percentage points from its starting point of 5.25% level in mid-September, and the comments that accompanied yesterday's announcement seemed to indicate the committee was content to step back and allow rate reductions to work their way through the U.S. economy.

The committee also reduced the lesser-known Discount rate (the rate charged at the Fed's discount window) by a quarter point to 2.25%.

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Nancy E. Griffin
Kinlin Grover GMAC Real Estate
Certified International Property Specialist
193 Cranberry Highway
Orleans, Cape Cod, MA 02653
ABR, FIABCI, CIPS, TNR
508.632-0576 fax
508.726.7914 cell