Meet Pablo Arias: Your Trusted Atenas Real Estate Attorney

We recently sat down with Pablo to learn more about his background, expertise, and perspective on real estate law in Costa Rica.

Me:  Pablo, where are you from?

Pablo: I am 100% Ateniense.

Me:  Ateniense?

Pablo:  Yes, Ateniense is a local term meaning that you’re from Atenas.

Me: Tell me about growing up in Atenas.

Pablo:  I grew up in the center of Atenas. At the time, Atenas was a pueblito of close-knit families, most related in some way or another. Everyone knew one another. It’s still that way today.  

Atenas has always been a place where you felt safe and secure. There were very few cars in Atenas at that time.  The streets were unpaved. 

We could play outside without our parents having to worry about us, as long as we were home by dark. It was very rural, so there were always cows and oxcarts in the streets, the way you see cars today.  

Little by little, things began to change, but Atenas has always retained that small, hometown feeling.

Me:  Pablo, tell me about your work experience and educational background.

Pablo:  I studied for five years at the University of Costa Rica, and finished the last year of my education at The University of San Jose. After graduation, I worked with IDA, which is the Institute of Agricultural Development, as well as with the Costa Rican government during  President Abel Pacheco’s administration. 

In 2006, I returned home to Atenas and started my own bufete (law practice). The core of my practice has always been real estate law.

Me:  Pablo, why the focus on real estate law?

Pablo:  I am bilingual, so when I came back to Atenas I became involved in the growing expat community. The real estate boom  was happening and working in real estate just fell into my lap. I began helping everyone with their transactions, buying, selling, and everything related to making a successful real estate transaction.

Me: Pablo, besides real estate transactions, what other services do you offer?

Pablo:  In addition to real estate law, I also help my clients with wills, title transfers on automobiles, and setting up corporations  such as the standard S.A. and LLC.

Me:  Pablo, do you work alone?

Pablo:  No.  About 10 years ago, I partnered with two local attorneys, Henry Viquez and Alonzo Roman, both of whom practice real estate law, creating Arias, Viquez and Roman.  We also have Cintha Castro, who is bilingual, on staff as our secretary.  Cinthia is invaluable to our success.  The idea of the partnership was to create a complete team ensuring that our clients receive the highest level of service that we could offer.

Me:  Pablo, what is the most important advice you can offer to someone wanting to buy or invest in Costa Rican real estate?

Pablo:  As an attorney, the best advice I can give to a client or potential client is to be 100% sure that you are buying the property that you want. 

Once the client is sure that they have found the right property, having a good relationship with their attorney is extremely important. 

There are many details that must be checked at the national as well as local level to ensure a clean and clear property title and a successful transaction. 

Your attorney will do all the proper studies (title search) to make sure the property is in order at the national level, which we call the Registro Nacional.  

In addition, a similar search is needed at the local level at the local municipality where the property is located.  It is important to have a new survey to make sure that the property you are buying corresponds with what is registered at the Registro Nacional.

Home inspections are somewhat of a new concept in Costa Rica, but having a home inspection is also important.

Teamwork with all the parties involved in the transaction such as the buyers, sellers, other attorneys, real estate professionals, escrow agents, and banks are essential for a successful transaction. Being in close contact with everyone is vital in case there are changes that need to be made that may have an impact on the transaction.

Me:  Pablo, clients are always asking Gerardo and I if they should purchase a property using a Socidad Anonima or an LLC?

Pablo: S.A.’s have always been secure instruments that have been used in situations such as family businesses. It facilitates administration, gives powers, makes transfers of possession easy, safeguards the investment, and limits liability in situations such as accidents and financial crises. 

For expats, S.A.’s have always made purchases less complicated in Costa Rica because an S.A. is a Costa Rican entity allowing them to open utility and bank accounts. For many years, this was the only way expats could have access to such services.  The same facts hold true for using an LLC for real estate purchases.

Me:  Pablo, another concern we often hear from our clients is in regards to attorney’s fees. What’s fair? How are they derived?

Pablo:  As attorneys, we are governed by the Colegio de Abogados y Abogadas de Costa Rica, or The College of Attorneys in English. 

The College of Attorneys allows us to practice law and they set the regulations for our practices. In addition, they set forth the guidelines for the fees we charge. We must respect these guidelines.  However, the fees that are set by the College of Attorneys speak of minimums, so each transaction may vary depending on the amount of work involved.

 It is important that you discuss closing costs and fees upfront with your attorney to avoid any surprises or misunderstandings at closing.

Me:  Pablo, what’s your opinion of how real estate development has changed Atenas?  Has the community benefitted from this growth and development?

Pablo:  Traditionally, Costa Rica developed via agriculture with crops such as coffee and bananas.  These crops were exported to international markets. Then, tourism brought foreigners to the country, many of whom fell in love with Costa Rica.  Some ended up wanting to live here. This brought significant changes and development to communities such as Atenas.  

Economically speaking, jobs were created for contractors, engineers, architects, attorneys, real estate agents, gardeners, and maids.  This helped the community by giving a better life to many local families.  It also gave more value to our land here in Costa Rica.

Most people, myself included, see these changes as positive.  However, there are always a few people in every community who are more conservative and traditional, making them less receptive to change.  

For me, what is most important is that development and change take place within the confines of the laws and regulations of Costa Rica, bringing the best results for our future as a country, in turn offering a brighter future for our children. Today, Atenas is more popular than ever and our small village continues to be a hot spot for locals and expats alike.

Me:  Pablo, what do you see for the future of Atenas?

Pablo:  At the end of the 1990s, big changes began to take place in Atenas with urban development that attracted expats from around the world.  

Many were interested in rural tourism and purchasing a vacation or retirement home. Some 10 years ago, with the opening of Highway 27, Atenas became even more attractive, especially with locals who are retiring.

Young professionals are also wanting to leave the city, seeking a more rural, family focused environment, all the while maintaining a close proximity to San Jose.  

In fact, there is such a high demand from the national (Tico) market, that the same developers who once catered to the expat market are now scrambling to meet the demands of the locals moving from San Jose and its suburbs, to Atenas.  

Atenas will continue to develop and grow, but I see our growth continuing with more residential development as opposed to commercial development. Now with easy access via Highway 27, we are so close to all the major commercial centers in San Jose, Escazu, and Santa Ana, it doesn’t make sense for Atenas to grow commercially on a large scale.

Me:  Pablo, there’s often a misconception about real estate prices in Costa Rica compared to the international market, especially in the United States.  Can you speak to that?

Pablo: Because our middle class here in Costa Rica is growing, we can compete in the international market and we have purchasing power. 

We have the capacity to purchase, which helps keep our real estate prices in Costa Rica stable.  Also, Costa Rican people like to own hard assets.  That’s part of our tradition.

Me:  Pablo, is there anything that you want the public to know about you as a private person or as a business professional?

Pablo: It is important that my clients and potential clients are aware of my 18 years experience as a practicing attorney. I am very organized and I take pride in my work. I make sure my clients are well taken care of and get the results they expect.