Gross yield, net yield, and everything in between — with conservative assumptions and real operating costs.
When you evaluate a short-term rental investment, two numbers matter: gross yield and net yield. They're different, they're both real, and understanding the difference is what separates an informed decision from an unpleasant year-end surprise.
In Panama City, operating short-term rentals in a residential building without an ATP permit can bring fines of up to $50,000 under Law 80 of 2012. Generation Tower operates under a licensed condo-hotel regime — registered paper, not a verbal assurance. Combined with its Costa del Este location minutes from the corporate corridor and hospital cluster, the guest profile is the corporate traveler whose company pays the bill.
Conservative assumptions: ADR $145/night, 62% occupancy (226 nights), gross income $32,770/year. After management (20%), HOA fees, platforms, local rental tax and reserves, net income lands near $15,568 — a net yield of ~3.5% on total invested capital of $448,500 (unit + closing + furnishing).
Add conservative capital appreciation of 4–5% and the total return approaches 8.5% annually — in dollars, with no currency risk, legally licensed. Compare that to a treasury bond back home and the mental traffic jam clears.
Active ATP license (document in hand), building administration financials, the full co-ownership regulation, floor-by-floor availability, and the operator's track record. Ask us for the personalized model with your numbers.