Costa Rica Papagayo Dispute Freezes $700 Million in Investment
A court fight over the planned removal of 748 trees at Playa Panamá has grown into a broader dispute over tourism investment, jobs and the protection of state-owned forestland in Guanacaste. Hotel developers say precautionary measures imposed by Costa Rica’s Constitutional Chamber have placed about $700 million in construction and expansion plans on hold inside the Golfo de Papagayo tourism zone. They warn that a lengthy legal delay could damage the country’s reputation among international investors and affect employment across the province. The figures come from tourism industry representatives and have not been independently audited. They estimate that the wider pipeline of planned development in Papagayo is worth close to $3 billion. The immediate dispute centers on the Bahía Papagayo tourism and real estate project at Playa Panamá, near the communities of Playa Hermosa and Playas del Coco. The planned development includes hotels, residences, sports facilities and other t...