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Volume 14, Number 14
July 24, 2008

economy

Also in this section:
The  tipping point in the Panama Oeste beach communities?
A chat with New Orleans Mayor Ray Nagin
A scene from the Corozal Industrial Zone
Condo projects collapse
GM's notice to salaried retirees
Strike coalition gathering
The growth of Petrocaribe
After the parade
Business & Economy Briefs


Coronado international school in the works

Are the Panama Oeste beach communities at a tipping point?

by Eric Jackson

Yes, there are concepts and phrases that lend themselves to mindless hype, or more properly, to hype aimed at convincing those with weak minds. Yes, everything is always changing, so that point at which one thing changes can always be called a "tipping point." Thus some explanations and definitions ought to be in order before you take in the headline above and think "buy now!" --- or "sell now!" for that matter.

Once you get over Cerro Campana and before you get to Cocle province, you come across these communities on the Pan-American Highway, including Gorgona, Bejuco, Chame, Las Lajas, Coronado, San Jose, Lago Mar, San Carlos, Rio Mar, Las Uvas, Corona and so on. They have long been the places where members of this country's American community have built weekend and vacation cottages. Their neighbors have always included upscale Panamanians, and increasingly, people of many nationalities. Coronado, which took off in the 70s, has always made a play for Canadians and done well with this pitch. With time, a bunch of Americans retired from the canal or the military and moved into what had been their part-time homes on a full-time basis. Now there's construction going on all over the area, with the target market being mostly foreign retirees who are far wealthier than most Panamanians. The influx may or may not fall short of expectations, but it's very real and it's bringing in people, mostly Panamanians, of all economic levels to take advantage of new economic opportunities. The Panama Oeste beach communities are growing.

One might say that the opening of the El Rey supermarket in Coronado was a "tipping point," which made it far easier for residents to do their grocery shopping without going east toward the capital or west to Penonome. Then one private bank opened next to El Rey, and another one has come in across the parking lot. Not far away, a large Cochez building materials store is under construction. These are just some of the more prominent new business initiatives in the area over the past several years.

But tipping toward what?

This reporter, who spends a lot of time in Panama Oeste, has long had an observation and a hypothesis based upon the observation. They go like this:

1. Panama City may be the place where the nation's public business and private economy are centered and highly concentrated, but the place is so chaotic and stressful that, except for certain activities that absolutely must be centered there, it has become an undesirable place to do business. The driving's a nightmare, even when the schoolkids or SUNTRACS or some other aggrieved party are not doing battle with the riot cops on a main traffic artery. The noise makes it hard for creative people and other thinking professionals to concentrate on their work, and because we have high electric rates the standard defense of an air conditioner's white noise is increasingly less affordable. The Norieguistas in charge may have put little spy cameras all over the city and hired a thousand more cops, but the maleantes are ever more brash --- even diplomats and government ministers are finding themselves the targets of home invasion robberies.

2. These being the trends, one would expect that a number of economic activities would move out of the capital, many of them to the beach communities to the west. Certainly those who work alone on computers, or who are part of a larger business organization but can "commute" to work online, would be among the first to make the move. But this tendency would be limited by certain practical considerations, such that only when certain key things became available in the area would companies decide to move west from Panama City.

Shopping was one of the obvious things 10 years ago, but that's here with ever increasing options. Health care is another, and notice that San Fernando will be the first of several private health care companies to build facilities in the beach area. A cultural life is also important, and although Starr and Steve's Finca La Maya cultural center in San Carlos is not the only response to this need, a bookworm still can't be satisfied with the area's offerings.

This reporter, however, always thought that the sort of excellent schools where professionals would feel comfortable would be the principal factor that would allow businesses that don't particularly cater to the tourists and retirees to relocate from the capital to the beach. That's the hunch: that educational opportunities for kids will be the "tipping point" that brings companies and professionals in their prime working years out past Cerro Campana to live and work full-time. Businesses that need not be next to the canal or to national government offices will flee the city when their key employees find desirable education alternatives for their kids.

And now we have Kathy Kress, a veteran schooteacher who has taught at international schools in China and elsewhere. Possessed of a master's degree in educational administration and a Colorado teaching license and recently moved to Gorgona, she's been home schooling her kids with the k12® online program and is now looking into establishing an accredited English-language school in Coronado. The plan --- which is sure to face a governmental obstacle course --- is to begin later this year with the primary grades, and gradually build a k-12 school.

Of course, one school, and a foreign language one at that, does not make the range of choices for young professional parents fully attractive. But still, the development of educational opportunities beyond the wretched public schools may well be the "tipping point" that turns the beach communities of Panama Oeste from a retirement and recreation economy into something substantially more complex.



Also in this section:
The  tipping point in the Panama Oeste beach communities?
A chat with New Orleans Mayor Ray Nagin
A scene from the Corozal Industrial Zone
Condo projects collapse
GM's notice to salaried retirees
Strike coalition gathering
The growth of Petrocaribe
After the parade
Business & Economy Briefs


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