Beachfront Property

The Law concerning the Shore line – Terrestre or Shoreline Zone Law states that the first 50 meters above the high tide line is public property and nothing can be built on it. The next 150 meters can be leased for private use. All leasing is done through the municipality. Certain construction is allowed in this zone but at the termination of the lease ownership of any improvements reverts to the municipality. In most cases, some payment is made for the improvements. This law applies to islands also. The only exceptions to this law, where land within the so-called "maritime zone" is titled, date back to colonial times or can be found with certain urban property next to the sea.

Leases of land within the maritime zone are granted for from 5 to 20 years. The lease is registered in a special Concession Registry in the Public Registry and a yearly fee must be paid to the municipality for the duration of the lease to keep it valid. They are renewable through negotiation or as the parties may stipulate in the original agreement.

Leases in the maritime zone have certain restrictions concerning foreigners. To hold a lease personally, a foreigner must have lived in Costa Rica for at least 5 years. For a company to have title to a lease, it cannot have more than 50% foreign ownership.