Panama’s Horizontal Property Law Reforms: Enhancing Inclusion and Resident Rights
Following the III Horizontal Property Congress and IV Expo PH 2024 held in September 2024, Panama is advancing comprehensive updates to its condominium and real estate regulations. Spearheaded by the Ministry of Housing and Land Management (MIVIOT) and the Horizontal Property Directorate, these reforms aim to align laws with urban growth while safeguarding fundamental rights for residents, particularly those with disabilities.
Key Proposed Changes
Universal Accessibility:
Inclusive Design: New projects must incorporate ramps, spacious elevators, and adapted common areas.
Retrofitting Existing Buildings: Mandatory reasonable adjustments (e.g., installing chair lifts).
Resident Rights Protection:
Transparency in Meetings: Strict regulation of voting processes to prevent decision-making abuses.
Non-Discrimination: Equal access to amenities, regardless of disabilities or age.
Sustainability and Technology:
Green Certifications: Tax incentives for renewable energy or waste management systems.
Smart Building Standards: Rules for integrating digital security and automated energy systems.
Government Commitments
MIVIOT will establish a National Horizontal Property Registry to centralize licenses, violations, and complaints.
Implementation Timeline: Reforms will be phased in between 2024 and 2026, with a transition period for compliance.
Impact on Real Estate Sector
Developers: Must include accessibility studies in architectural plans, increasing upfront costs but boosting market appeal.
Condo Managers: Mandatory training on resident rights and reserve fund management.
Practical Example
A condominium in Punta Pacífica installing ramps and motion sensors for wheelchair users could qualify for tax exemptions under the new laws, enhancing its market competitiveness.