In Costa Rica, 95% of beachfront property is considered concession property and is governed by the Maritime Zone Law and other specific regulations. This property can be leased from the government, but never owned.
“With concession properties the government can come in at any time and say ‘We’ve changed our mind, you can’t do this anymore’,” said developer Bob Spence, owner of Spence Enterprises, LLC. “That’s what makes the Palms so unique.”
The Palms Private Residence Club, located on Costa Rica’s popular Playa Flamingo, falls into the rare 5% category of privately titled beachfront property. The Palms is a private, member-owned residence club comprised of 32 two-bedroom Villas offering over 2,300 square feet of living space and all the services and amenities of a luxury resort. While many fractional purchasers could easily afford full ownership, they choose a Private Residence Club (PRC) for the advantages of resort amenities and services.
Along with a variety of high-end amenities, Spence says the aspect of ownership appeals to buyers. “There’s no risk of loss, no surprise rules or changes,” he explains. Despite America’s recent economic troubles, Spence says business has started to pick up.
“The recession greatly affected our business - buyers either didn’t have the money anymore or they were afraid to spend because of what was happening in the economy,” Spence said “But the last six months have really ramped up. We’ve seen an increase of about 300% in interest.”
The Palms currently has five Villas and 6 fractional properties under ownership. Each Villa’s living room opens to a large terrace that’s only a few steps from the infinity-edged pool and white sand beach. The Villas sleep six people comfortably and owners can travel with a large family or a few couples.
"You can literally walk out of your villa and within two minutes have your feet touching the sand of the beach," adds Spence. "There is no other resort/real estate development in Costa Rica where you can do that."