ILN: BUYING AND SELLING REAL ESTATE - AN INTERNATIONAL GUIDE

[BUYING AND SELLING REAL ESTATE IN COSTA RICA]

87

be in charge of the administration of the condominium, including the collection of condominium fees, maintenance of the common areas, minor repairs, and the judicial and private representation of the condominium. Such functions may either be carried out by a person or by a corporation, as appointed by the Assembly. ❖ Condominiums in the Shoreline Zone Condominiums may also be constituted on concession areas within the Shoreline Zone. The most essential requirement for this kind of condominium is that the respective Municipality must have validly granted the concession and that it has been registered in the Concession Registry, in order for it to be submitted to the Condominium Property regime. Expenses such as the payment of the annual concession fee are distributed amongst the condominium owners, and compliance with the dispositions included in the concession contract and provisions of the Shoreline Zone Act will be the responsibility of the Condominium Administrator, who may carry our actions against condominium owners who in any way violate such dispositions. The Gulf of Papagayo Tourist Development Project ❖ General The area of Bahía Culebra was designated as an area of public interest in August 1979. This declaration allowed the creation of a major tourist development project in June 1982, whose stated purpose was to develop an area dedicated exclusively to tourism projects such as hotels, residences, golf courses, marinas, and other major tourism activities. The land is leased to applicants in the legal form of a concession, much like those granted for the Shoreline Zone described above, but with the special regulations detailed below. This tourist

development is known as “Papagayo Gulf Tourist Development” or “Polo Turístico del Golfo de Papagayo.” ❖ Master Plan The project has been developed in strict compliance with the regulations and restrictions contained in the Master Plan to develop the area. Any new projects or development must comply with such regulations and restrictions. These vary in accordance with the location of the project and the tourist activity to be developed. Investors are advised to consult legal counsel before engaging in any activities in this special area. ❖ Managing Council for the Project A Managing Council to oversee the project was also created in the Papagayo Development Law, under the authority of the Costa Rican Tourism Institute. This council reports directly to the Board of Directors and is in charge of directing, coordinating, administering, and controlling the development of the project. The council has a total of five members, three representing the Tourism Board and two persons from the private sector, with experience in tourism, which will be elected by the Board of Directors of the Tourism Institute. ❖ Term of the Concession Concessions may be granted for a minimum term of ten years and a maximum of fifty. These terms can be extended for equal periods as those granted, as long as the beneficiary of the concession has complied with the obligations stated in the specific concession contract and the laws and regulations that govern a project. ❖ Procedure to Obtain a Grant, Purchase, Sell or Transfer the Rights to a Concession In order to obtain a grant or concession over lands currently owned by the Costa Rican

ILN Real Estate Group – Buying and Selling Real Estate Series

Made with FlippingBook Online newsletter