Pullman on Vía España: outstanding location in the heart of Panama City

Pullman on Vía España: outstanding location in the heart of Panama City

Pullman Hotel and Casino brings a convenient opportunity for investors who want to obtain residency in Panama. The developer, a world-renowned company, is restoring an old building that is located in the heart of Panama City. A few feet from Via España, Pullman, Panama enjoys a unique location with access to the metro, supermarkets, stores, and one of the city’s main avenues. 

Via España connects to other important spots like the Albrook bus station and Via Argentina, and it’s within walking distance from Calle 50, the banking district. The developer offers investment in hotel shares for USD 300,000, which doesn’t bring returns, but allows application for the Qualified Investor Visa. Its main advantage is its simplicity, residency-oriented approach, and exit convenience, as there is a buying option after 5 years.

When it comes to hotel investment, Panama is quite promising as it is home to several international conferences, expos, and concerts, and Pullman is located in the right spot, with easy access to the most relevant locations.

Key facts about Pullman

• Opportunity to buy shares in a hotel room
• Choose between shares with no ROI or premium residences with rental income
• Integrated casino and rooftop with 360-degree views
• Exceptional location in the core area of Panama City
• Located in Via España, close to two metro stations and the Iglesia de Carmen
• 27 levels, 180 hotel rooms, 126 suites
• Amenities like a gym, wellness center, pool, and cinema 

Vía España as Panama City's commercial and retail spine

Vía España is one of the main thoroughfares of the Central American capital. This is arguably the best location for tourists and short-term visitors, which translates into yield for investors. It’s a busy avenue, with commercial activity, stores, and a branch of one of the largest supermarket chains: El Rey.

Within walking distance, there is a sought-after nightlife district, Via Veneto, a lively and bright street mainly filled with casinos. Inside them, there is much more to see than the roulette and slot machines: they host concerts and music shows, and have restaurants, pubs, and sometimes discos. 

In Via España, there is another district, characterized by being an expat hub: Via Argentina. It stands out for its high residential towers and low-rise buildings, a blend of residential living, gastronomy, and commerce.

How Via España connects Pullman, Panama with the city center and key neighborhoods

Through Via Argentina, Via España connects with Avenida Transismica (Transismica avenue), another fast-track route, and to Plaza Edison, a small and quaint area up on a hill with office spaces, fancy residential towers, and two international schools. 

From there, cars can take another important avenue: Avenida Ricardo Alfaro, which takes directly to more residential neighborhoods and a bustling commercial center called El Dorado. This is a route that residency applicants will definitely take at some point because the National Migration Service is located on this avenue. Nevertheless, when commuting there, visitors should know that most people don’t call this avenue by its actual name, but a nickname: Tumba Muertos. 

In the opposite direction from Via Argentina, Via España is approximately 10 blocks from Calle 50, the banking district, and 15 blocks from coastal districts like Marbella, Parque Urraca, Calle Uruguay, and the Avenida Balboa, which offers fantastic coastal-urban views.

Other places of interest are relatively close, like the colonial quarter, Casco Viejo, which is 10 minutes by car, and the Tocumen International Airport, which is 30 minutes from Pullman through a fast-track tollway called Corredor Sur. 

The advantages of operating under an international hotel brand 

An international hospitality brand, like Pullman Hotels and Resorts, adds a layer of safety to the investment as it’s backed up by the company’s history and prestige. Guests visiting the isthmus for the first time want to ensure quality accommodation, and they know a brand will provide high standards wherever they go. 

For the investor, among other things, this helps maintain the occupancy rate, while they delegate the rental management operations to the hotel. 

More information about Pullman

Two ownership options, one building: the fundamental difference 

Pullman proposes two investment schemes: hotel room investment, acquiring shares, and buying executive suites, obtaining full titled ownership of the purchased unit. The former consists of co-ownership by investing in shares for a value of USD 300,000, a sum that allows investors to apply for permanent residency. 

The second alternative is the purchase of executive suites, becoming the sole owner of the unit. However, the use of such residences is restricted as their main purpose is to be operated and rented out by Pullman. Hence, the investor gets a full title but limited right of use.

What am I investing in? Co-investment in hotel room shares at Pullman

The legal form of the asset and type of ownership 

Choosing the co-ownership alternative is a straightforward path to entering the real estate landscape in Panama City easily and accessibly. It's important to know that this project doesn't bring any returns. Its value lies in the possibility of making an investment that aligns with the Qualified Investor Visa requirements. Through this visa, the applicant can apply for permanent residency and, in 5 years after obtaining residency, apply for citizenship. 

Thus, the developer facilitates a direct path to those who are mainly interested in Panama residency without having to spend extra money on other projects. For QI, the minimum investment is USD 300,000, yet it is very hard to find a unit with the exact price: they are either lower or higher, ranging between USD 340,000 and 550,000 for apartments and 700,000 to 1,000,000 for penthouses.

The table clearly shows how the Pullman hotel investment stands out for its flexibility more than its profitability. Although it doesn't bring any returns, it compensates with a simple exit and access to a permanent residency application without overinvesting.

Another point highlighted by the table is the initiative's limitations when it comes to personal use of the property. Investors can use it only a week per year, while apartments, in general, can be used, decorated, or furnished according to the owner’s preferences. 

Your rights as the co-owner: use of a room

As a co-owner, the investor enjoys another advantage: the possibility of using the room for free for one week a year and a renovation timeline of 18 months.

A simple approach to Panama residency

This is ideal for players who don't want to overspend and whose main interest is residency rather than a real estate investment with rental yield. Furthermore, they can choose to sell their shares once they have complied with the minimum holding period of five years. After five years, the developer will buy the property from them, and they can maintain permanent residency. 

This reflects the Qualified Investor’s inherent flexibility. Unlike other similar programs, it allows you to maintain residency after selling or liquidating and demands a minimum physical presence.

Editor’s advice: Even if the physical presence required to maintain residency is minimum (only a few days a year), if they are planning to apply for naturalization, residents must be ready to maintain an ongoing and verifiable physical presence in Panama, especially a few years before submitting the naturalization request.

Entry threshold and payment structure

Since this approach is mainly geared toward the Panama Qualified Investor Visa, it requires paying the lump sum of USD 300,000. It is not convenient for the investor to pay in installments or through a loan because this will simply leave them out of the application possibility. 

Although the legislation allows pre-construction deals or bank loans, this must be over the remaining sum after having paid the USD 300,000 upfront.

This model’s drawbacks and possible risks

Dependence on a single operator

By buying shares in Pullman, Panama, the applicants will depend on a single hotel operator, while other alternatives allow for self-management or hiring other providers. 

Nevertheless, Pullman’s exceptional location on Via España and the advantages of buying into an international brand by far compensate for the drawbacks. With a strong history in this sector, the Pullman brand has plenty of experience and tools for handling hospitality operations.

Occupancy volatility and seasonality in Panama City

The Pullman model of investing in hotel room shares ties you to a specific niche, which may be a drawback if such a market ever weakens. A hotel room investment is mostly oriented towards short-term visitors, usually traveling for business or conferences. Occasionally, couples or families can choose it too, although the latter are increasingly gravitating towards branded residences or apartment rentals.

Limited control over the asset

Regardless of the project’s advantages, which are many, the investment model is limited. Both the hotel investment and the suites are models oriented towards rental, not personal use. By making a hotel room investment in Pullman, the investor can use the room one week per year. 

Buy real estate in Panama

It’s worth noting that this doesn’t lower the value of Pullman as an investment: it just means that it’s designed to meet very specific objectives. If obtaining residency is the main priority, the hotel room investment will do. On the other hand, the suites are ideal for those who seek returns. If the investor wants flexibility in the long term in case his/her priorities change, then Pullman is not the right option. Luckily, projects abound and, in Panama, foreign investors can buy with freehold titles, thus maintaining 100% of their ownership.

The advantages: Exit and liquidity

Flexibility when exiting after 5 years

On top of the advantages of Pullman, Panama has advantages too. Unlike other investment residency schemes, this country doesn't revoke residency if the applicant sells the asset or withdraws the investment. After holding the property for a minimum of five years, the investor is free to sell and maintain the migration status.

Nevertheless, finding a buyer is not always easy, especially now that real estate developments are rising all across the country, all run by competitive players. 

In 6 to 10 years from now, there will be a high offer of premium real estate and fierce competition. By choosing a hotel room investment in Pullman, Panama, the investor doesn’t have this problem because the purchase is guaranteed after five years. 

Does this alternative support any residency application besides QI?

While this hotel room investment theoretically is enough to apply for other permits, it is specifically geared for the Qualified Investor Visa. For the Friendly Nations, the minimum requirement is $200,000, but the applicant must be from specific countries, and Pensionado requires a lifetime pension, besides the real estate purchase. 

All in all, the combination of this hotel investment, Panama, and Qualified Investor is one-of-a-kind. It opens the path to immediate permanent residency without having to meet any other requirements or spend extra money. It just requires what every visa does: the investment, a legit source of funds, being 18 or older, and having no criminal record. 

Disclaimer: The information about the investment, the development, and the hotel might be inaccurate or outdated at the time of reading. Prices, floor plans, investment conditions, and residency possibilities should be discussed during formal consultations and verified with the developers.

Why buy through Mundo: Master brokers for Pullman and Santa Maria Residences 

Mundo has been appointed master broker for Mercan Group’s projects in Panama. This is the international company that is developing Pullman, on Via España, and Santa Maria Residences, in Santa Maria. This means we are in an excellent position to help you obtain a unit in either of the projects.

If you're interested in apartments from other developments, we work with many reliable companies with a verified record. Some of them have decades of experience delivering premium real estate across the country.

Our team is multinational, but we have a physical office in Panama with an on-site staff. This means our experts can introduce you to the best listings and help you apply for residency. Consult us about other services that are useful for the global citizen, like incorporating companies, trust formation, and bank account opening. 

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