Colón's New Cash Cow: The Panama International Merchandise Mart (PIMM) May 14, 2007
Panama City, Panama Earlier this year, it was announced that the Atlantic town of Colón would be the site of Panama's first wholesale merchandise mall, dubbed Panama International Merchandise Mart (PIMM). Now developers of the billion-dollar project say the money is rolling in, and discussions with the World Bank may result in a $50 million loan. The mega-mall, to be constructed near the Colón Free Zone, will offer Latin American and Caribbean wholesale buyers greater convenience closer to home. It is anticipated that more and more of these buyers will need an alternative marketplace to the U.S., where heightened visa restrictions can be an obstacle to doing business. PIMM has already received over 87 applications from companies (mostly Chinese and Indian factories) interested in showroom space. These parties will offer a wide range of products, such as textiles, foodstuff, health care products, household appliances, communications and mechanical equipment, building and decorating materials, and petrochemicals. Additional possibilities for PIMM include a strategic alliance with Dallas Merchandise Mart (the group that operates the Shanghai Merchandise Mart). Also, a New York-based investment-banking group has shown interest in the project-not for showroom space, but for the purchase of some $48 million worth of shares. The Panamanian government indicates that it too will give support, but details have yet to be confirmed. The PIMM complex will house nearly 5,000 showrooms for international manufacturers, as well as convention and expo centers, hotels, offices, residential and visitor accommodation, and banks. Construction of the 92-acre complex begins this year and is scheduled for completion in 2015. Best Regards, Jessica Ramesch
Editor, Panama Insider
International Living P.S. If the project is as successful as expected, it may contribute to the revitalization of crime-ridden Colón. The once-pleasant seaside town has a great deal of potential and some of its best samples of early 1900s architecture are undergoing slow renovation. Rumor has it speculators are starting to sniff around in anticipation of Atlantic-side Panama Canal expansion works. More on this in upcoming issues of Panama Insider. | 
