metro and apartment value ?

A pain now, but later…

Traffic jams, in large part caused by construction of the Panama City and San Miguelito metropolitan area’s Metro light rail transit system and a new sewer and sewage treatment system to clean up Panama Bay, drive the stress levels of living or driving in the city way up. The traffic situation is one of the major causes of the current government’s unpopularity.

If cities elsewhere are any indication, however, once the Metro is finished and in operation the properties close to its stations will increase in value. Businesses with easy public access that doesn’t involve traffic or parking concerns have an advantage. Demand for residences close to commuter rail stations also tends to go up.

Panama City’s upscale real estate market is overbuilt and kept going largely by the cash infusions of money launderers. The recent Chapter 11 bankruptcy filing of the Trump Ocean Club Panama is an emblem of the boom’s fragility and is likely to take on a life of its own as would-be foreign investors take notice. However, around the Metro stations there are likely to be little real estate booms and these will be driven by factors that are connected to the real world.

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