BY ALEX THOMPSON

Hello Readers! As mentioned on the last issue of Costa Rica Today, in relation to properties, the Costa Rican legal system determines the existence of different types.

The present article verses on a special type of property of Public Domain, called “Maritime Zone Property” or “Coastal Land Zone”. I believe a lot of our readers may be interested in knowing more about this category, because you may already leased a beach front property or planning to.

Since 1977, the Law regulates the Maritime Zone as the 200 meters from the high tide, establishing a division of the zone in two parts: The first fifty meters from the high tide is a public and inalienable piece of land; the second 150 meters may be leased by the Municipalities to private individuals or corporations, according, obviously, to some conditions.

The initial fifty meters from the high tide are based under the government’s consideration and principle of granting the general public access to the beaches, without being considered private property. That’s why you cannot go and put a fence over the beach and call it your own.

The second 150 meters are subject to be leased by the Cities or Municipalities in exchange for the payment of an annual fee. The City lease you the property as if it was private, so you are allowed to build or exploit the property as owner. Payment is not only a condition, because the use you give the property must comply with a “Regulatory Plan” that establishes the objectives and uses of the City’s Maritime Zone stripe.

A “Regulatory Plan” is, basically, a Zoning Plan of the 150 meters strip. It shall establish which zones are for commercial use, housing, tourist projects, environmental protection, etc.

If you have a concession or lease in the Maritime Zone stripe and you want to start a project not considered in the Regulatory Plan for that zone, you’ll have to start a procedure of modification of the Plan.

Let’s start with the confusing facts: A Maritime Zone property will never be yours!!!! However, it’s leased for renewal periods up to 20 years each, according to the city’s regulations.

In the case that you hold a lease and the City wants to cancel it, this institution has to justify its decision with certain motives that even may end on an Administrative Judicial Court Procedure, if the individual wants to contest said decision.

However, once you’re granted a concession on Maritime Zone the reasons for its cancellation are qualified. Therefore, as long as you comply with the contract, under normal situations, the cancellation is not possible.

Other important consideration is that, according to the Law, the recipients of the right of use of the Maritime Zone stripe shall be Costa Rican individuals or Costa Rican corporations, with at least 50% percent Costa Rican ownership of the capital stock of the corporation; as well as, residents with a minimum of five years residing in Costa Rica.

A concession application has to be filed before the City (with jurisdiction) for approval. Through the whole process a lot of requirements must be filled, including a tourist declaration on behalf of the ICT (Costa Rican Tourism Institute), an inspection to the site and a valuation of the property, performed by the Treasury Ministry, in order to establish the city’s annual fee.

Once you get the approval of the Concession Department of the City, the City Council votes and approve the “resolution project” sent by the Mayor, who shall be instructed to sign the “Concession Agreement”.

After the agreement’s signature, the lease has to be approved by the ICT (Costa Rican Tourism Institute) or IDA (Agrarian Development Institute), depending if the property has a Tourism Declaration, and send to registration before a Notary Public to the General Registry of Concessions.

Without a doubt it’s a long but rewarding process, because, once hired the qualified legal advice, and finished with the procedure, you’ll enjoy your Costa Rican beach front property of your dreams.