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COPA Success and Panama Investment
COPA Holdings (CPA), the owner of COPA Airlines, Panama’s flag carrier has outperformed expectations. COPA’s revenues are doing well and COPA is holding down costs. COPA Holdings is rated a “buy” by various stock analysts. COPA Holding’s New York Stock Exchange stock price as of November 2008 is around $25 with expectations of reaching $43 by another six months. COPA is doing well because of all the air traffic in and out of Panama. With 46 destinations from Panama and rising COPA serves the entire Western Hemisphere. Panama is increasingly becoming the airline hub for the Americas.
Despite glum economic news throughout the world Panama continues to do well. One of many indicators of Panama’s continuing economic success is the stock price for COPA Holdings. Air traffic continues in and out of Panama with business travelers a large percentage of those visiting Panama.
Panama has the highest per capita foreign investment in Latin America. Panama’s free trade pacts and free trade agreements under negotiation promise to expand Panama’s trade base. As more companies come to do business in Panama they do not only buy and sell in Panama. Countries such as Canada want a free trade agreement with Panama in order to move their products into position to trade throughout Central and South America.
Panama’s as well as most of South America’s middle class is expanding and becoming wealthier. Thus much of the expansion of COPA’s routes is to accommodate Latin American business and vacation travel as opposed to North American and European travelers.
With an upcoming reduction in fuel surcharges we can expect to see a reduction in air fares throughout Central and South America with more traffic for COPA and other Latin carriers. North American and European tourist traffic is still strong as Panama aims for 1.4 million visitors in 2008.
Panama Real Estate Investment
Panama commercial real estate investment has done well for a decade or more. Ever since the USA handed over the Panama Canal to Panama the notion that Panama is a US colony has been dispelled. Investment has flowed into Panama and continues. Despite the business downturn throughout the world Panama investment in real estate projects especially continues. Crews are still working on the high rises going up all over Panama City. Investment in such projects as the Panama diamond exchange reflects the belief that Latin America’s middle class has more money to spend. Investment in the high end of Panama’s residential real estate market may be a great deal in the coming months as North American buyers take a break and deal with their own credit concerns. Prices in housing have temporarily leveled off making investment in a home in Panama very attractive at this time.
As with any investment getting expert and trustworthy advice is critical. There are great real estate investments waiting for the wise investor. Come to see us at ABPanama and let us show you opportunities for residential real estate investment in Panama’s central highland as well as commercial real estate investments in thriving Panama City.
For example, investment in the Panama Pacific Economic Area on the site of the decommissioned Howard Air Force Base is just getting off the ground. This projected $707 million USD project will unfold over many years providing numerous commercial and residential real estate investment opportunities.
There are great investment deals and there are clunkers. Come and talk with the experts at ABPanama. We have over 23 years experience managing real estate portfolios. Getting you in and out of the real estate investment market in a timely fashion is our specialty.
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