The suit, lodged by Mr. Luis Carlos Sanchez and Robert Faris, denounced the use of well water without an authorized concession and tree felling of high value timber.
"The project is located in an area where there currently is not any legal operator established for the providing drinking water through an aqueduct, which means that a letter of availability can not be issued" says a letter given in evidence and signed on May 12 last by Guillermo Arce, of the Water and Sewerage company", reported Nacion.com
The project located in Santa Cruz and Carrillo in Guanacaste, includes the construction of 2,500 luxury villas in an area of 469 hectares.
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Demand for luxury properties in Panamanian coastal areas has grown and it is not unusual to end up paying up to $1,800 per square meter.
Residential projects, depending on their proximity to the beach and how well esteemed the area is, in many cases can exceed a million dollars.
The Chamber of Builders and the government are working together to achieve the funding necessary to reach the target of 10,000 new homes every year.
Laprensa.com.ni reports that "After fulfilling the goal of building 4,000 houses and delivering them in 2012, the goal is to raise the annual figure by a thousand houses.
In Costa Rica, this niche market was hit hardest by the U.S. housing crisis.
According to the Costa Rican Chamber of Construction the outlook is not encouraging and they do no foresee recovery in the short term.
Jose Alfredo Sanchez, vice president of the group, said "In Costa Rica, there has been a dramatic effect on the coast, where (project development) has not recovered in the short term because this would require strong economic growth in the U.S., which is not happening. "
Spectrum Real Estate presented its Alamedas de Santo Domingo project which will require a $ 26 million investment.
The project comprises the construction of 396 houses with six different designs, located at km 30.5 of the highway to El Salvador.
Rodolfo Fajardo, sales manager, told Siglo21.com.gt that housing "... will be for families with income greater than $ 2 thousand and prices will range from $ 92.000 to $ 116,000."