Costa Rica July 2025 – As sun-seeking Americans and Canadians search for their next slice of paradise, Costa Rica’s Papagayo Peninsula has emerged as the hottest second-home destination since Cabo San Lucas hit its stride over a decade ago. Darren Throop—a former entertainment executive who sold his company to Hasbro for nearly $4 billion—says his gated community Pacifico has become ground zero for a surge in foreign buyers snapping up condos, lots and custom homes at a pace that rivals Mexico’s boom years. Here’s how Costa Rica’s unique blend of stability, natural splendor and savvy real estate incentives has ignited a buying frenzy—and why insiders believe the best (and biggest gains) are still to come.
From Media Mogul to Mountain-Top Developer
Michael Kaminer of Mansion Global reports that Darren Throop, longtime CEO of Entertainment One and current chair of IMAX’s board, launched Pacifico after acquiring 175 acres above the beach town of Playas del Coco in 2022. Throop’s pivot from Hollywood to home-building isn’t as surprising as it sounds: he brought the same strategic vision and eye for untapped markets that led Entertainment One to a $3.8 billion Hasbro buyout in 2019.
“When I first visited Papagayo, it struck me like Cabo did about fifteen years ago,” Throop told Mansion Global. “There’s still a huge upside here—property values are climbing, and the infrastructure is improving daily.”
Throop isn’t alone. As of early 2025, Papagayo has attracted a wave of developers and investors who see parallels between Costa Rica’s unspoiled coast and Mexico’s once-hidden coves, now teeming with luxury resorts.
Why Papagayo? Seven Appeal Factors Driving the Boom
Real estate professionals point to a perfect storm of advantages that make Costa Rica’s northern Pacific coast irresistible:
- Golden Visa Incentive
– Starting at roughly US$150,000 in local investment, the visa offers residency privileges without the red-tape and high costs of European alternatives mansionglobal.com. - Geopolitical Stability
– Costa Rica abolished its army in 1949, fostering a reputation for safety and political calm—qualities increasingly rare on the global stage. - Robust Healthcare System
– Ranked among Latin America’s best, the country’s mixed public-private model provides peace of mind for retirees and families alike. - Consistent Climate
– “The weather is fantastic year-round,” notes Throop—no snowstorms to contend with, and a clear division between green-season rains and sunny peaks. - Eco-Tourism Ethos
– Strict environmental regulations safeguard beaches and forests, ensuring development never overwhelms nature. - Accessible Infrastructure
– New roads, upgraded airport facilities and reliable utilities mean buyers can enjoy mountain-top views without sacrificing modern comforts. - Cultural Allure
– The famed “Pura Vida” lifestyle—laid-back yet richly communal—resonates with foreigners craving authentic local experiences.
“These seven pillars create a value proposition that’s hard to beat,” says Ana Rodríguez, a Costa Rican-American investment advisor based in San José. “Buyers aren’t just purchasing property; they’re buying into a lifestyle that checks every box.”
Who’s Buying? Demographic Breakdown of Pacifico’s Investors
Throop estimates that nearly 50% of Pacifico’s buyers hail from the United States—particularly Texas, California and Florida regions offering direct flights to Liberia International Airport. Another 20% come from Canada, with the remainder comprising Europeans (notably Germans and Swiss) and “a smattering of Latin American families,” according to Throop.
- Lower-Elevation Condos (US$200K–$300K): Favored by investors seeking rental yields.
- Mid-Level Lots (US$400K–$800K): Popular with families looking for vacation homes.
- Mira Estates (US$750K–$3M): Draw affluent, older buyers relocating semi-permanently.
“On the mountaintop, you find buyers who plan to live here part-time or even year-round,” Throop explains. “Down below, investors are flipping or renting.”
Building With a Conscience: Regulation and Sustainability
Contrast Costa Rica’s approach with fast-track developments elsewhere and you’ll see a clear difference:
- No Beach Towers: Law strictly prohibits high-rise construction on shorelines, protecting public access and vistas.
- Ecosystem Buffer Zones: Developers must maintain natural corridors for wildlife and impose reforestation requirements on cleared land.
- Community Access Mandates: Every beachfront project must guarantee locals’ right to the sand and surf.
Such regulations have not stifled Pacifico’s growth—in fact, they’ve become selling points, reassuring buyers that their investment supports conservation rather than indiscriminate sprawl.
Customization vs. Standardization: Finding the Right Balance
Pacifico blends pre-designed architectural templates with bespoke build options, ensuring aesthetic cohesion without stifling creativity:
- Standardized Framework: Rooflines, color palettes and landscaping follow a natural-materials ethos—think polished concrete, local hardwoods and endemic plant species.
- Custom Builds: Buyers can work with vetted firms like Garnier Arquitectos or Lacayo Arquitectos, or bring their own architects, to tailor layouts and finishes.
- Approval Process: A local architecture committee ensures designs honor environmental and cultural guidelines.
“Buyers demand contemporary design that still feels rooted in Costa Rica,” says María López, Pacifico’s head of design. “We’ve hit a sweet spot between sophistication and sustainability.”
Amenity Deep Dive: The Nimbu Boat Club and Beyond
In addition to ocean-view homes and infinity pools, Pacifico offers a suite of curated amenities intended to mimic five-star resort living:
| Amenity | Details |
|---|---|
| Nimbu Boat Club | Four boats (27’–43’) for $400/mo + $7,500 initiation; includes captain and crew. |
| Private Beach Club | Pools, cabanas, restaurant (Alma Santa) on a secluded stretch of sand. |
| Retail Village | Anchored by Automercado supermarket; boutiques, cafés and wellness clinics. |
| Hiking & E-Bikes | Guided trails through tropical forest; battery-assisted bikes for hill climbs. |
| Fitness & Spa | Indoor gym, yoga pavilion and spa services featuring local volcanic clay. |
“Some buyers wondered why they’d ever need a boat,” Throop laughs. “Now they can’t imagine life without Nimbu.”
Market Momentum: What the Numbers Tell Us
Industry data confirms Papagayo’s rapid ascent:
- Average Home Appreciation: 8–12% annually over the past three years, outpacing national averages.
- Sales Volume Growth: Papagayo real estate transactions rose 35% between 2023 and 2024.
- Rental Occupancy Rates: Homes in well-managed communities achieve 65–75% year-round occupancy, a boon for investors.
A report by the Guanacaste Chamber of Real Estate predicts that international arrivals—and subsequent real estate purchases—could climb another 20–30% by 2026, especially if infrastructure projects (like the planned high-speed rail) move forward.
Comparing Cabo and Costa Rica: Parallels and Divergences
While Papagayo shares Cabo’s early-2000s trajectory, key distinctions set it apart:
| Factor | Cabo (2008) | Papagayo (2025) |
|---|---|---|
| Development Density | High-rise hotels and condos | Low-rise, eco-zoned communities |
| Environmental Oversight | Less stringent; rapid commercialization | Strict beach-and-forest protections |
| Investor Profile | Predominantly U.S. buyers | U.S., Canadian, European and Latino mix |
| Cost of Entry | $250K+ for modest condos | $200K starter condos, golden visa from $150K |
| Cultural Integration | Tourist-focused enclaves | Integrated local workforce, cultural events |
“Cabo built an entire luxury brand,” says Rodríguez. “Costa Rica’s edge is that it’s doing it with its eyes wide open about environmental and social impact.”
The Road Ahead: Expansion Plans and Future Risks
Throop and his team are already scouting nearby valleys for Phase II of Pacifico. Yet they acknowledge challenges on the horizon:
- Infrastructure Strains: Rapid growth could outpace road improvements and water management systems.
- Market Saturation: Overdevelopment risks pricing out local communities and eroding that “Cabo 15 years ago” vibe.
- Global Economic Shocks: Currency fluctuations or travel restrictions could cool buyer enthusiasm.
To mitigate these risks, Pacifico’s leadership advocates for public-private partnerships to upgrade utilities, expanded reforestation commitments and ongoing dialogue with local stakeholders.
Expert Perspectives: Why Agents Are Bullish
Local real estate agents point to two enduring drivers:
- Demographic Shifts: Boomers and Gen Xers seeking safe, warm climates in retirement—and Gen Zers eyeing digital-nomad lifestyles.
- Wealth Diversification: Investors hedging against stock-market volatility by owning tangible assets in politically stable countries.
“Real estate is a global commodity,” says José Mora, a Guanacaste property consultant. “Papagayo offers stability, lifestyle and upside—three pillars every savvy buyer covets.”
Conclusion: Riding the Next Wave of Growth
Costa Rica’s second-home boom is more than a passing trend—it’s a structural shift driven by strategic incentives, environmental stewardship and world-class development. As Pacifico’s mountain-top condos soar in price and Papagayo’s pristine beaches fill with new neighbors, the region confirms one thing: the window to buy at “Cabo 15 years ago” prices is closing fast.
For international buyers eyeing their next investment or retirement haven, the message is clear: act now, because paradise waits for no one—and neither do property values.
