Los Faros Developer Tangled up in Spanish Money Matters

A Spanish judge put Inmoptions, the commercial branch of Grupo Mall, the developer of the Los Faros de Panama project, in involuntary bankruptcy today.

The petition filed late last year by Barcelo, a Spanish tourism company, claimed that the promoter owed them  €2.8 million or $3 million in transportation fees.

The developer has said that Inmoptions will secure payments to creditors, including Barcelo, adding that there is a disagreement in the figures and that they are appealing the ruling, the Cinco Dias economic journal reports.

Los Faros was scheduled for delivery at the end of last year, but to date has only barely filled the cement foundation for what is slated to be Panama’s tallest tower and include a Jumeirah Group luxury hotel.  Developers say that revisions in plans have contributed to the delay and the subsequent shift in delivery date to 2014.

In somewhat related news, Grupo Mall is also developing Campeche Playa in Mexico, a tourism complex with plans for a five-star hotel, a marina, a golf course and 2,500 homes. Late last year, a group of 168 investors demanded that Grupo Mall refund their money due to delays in constructions.