Titled vs Concession Property in Papagayo Explained

Shopping beachfront in Papagayo and hearing both “titled” and “concession” thrown around? You are not alone. Coastal property in Guanacaste follows special rules that affect how you own, build, and even finance. In this guide, you will learn the key differences, how they play out in Papagayo, and the exact steps to protect your purchase. Let’s dive in.

Titled land explained

Titled, or fee simple, means you own the land as private property registered at Costa Rica’s National Registry. Ownership transfers by public deed and is recorded with the cadastral plan.

You can usually sell, mortgage, or subdivide a titled parcel, subject to local rules. Your rights run with the land, and they are documented in the Registry.

What titled includes and limits

The parcel is outside the public coastal domain and is held as private property.
Rights include sale, mortgage, and transfer, subject to registered encumbrances.
Limits come from recorded liens, easements, zoning, environmental rules, and any boundary with the public coastal zone.

Where you see it in Papagayo

In the Gulf of Papagayo, second-row lots are often fully titled with conventional escrituras. These parcels tend to have clearer title opinions, simpler due diligence, and are more attractive to lenders.

Concessions in the coastal zone

Costa Rica treats a coastal strip as public domain, called the maritime-terrestrial zone, or ZMT. Private title does not include this area.

The State can authorize private use of parts of the ZMT through concessions, permits, or licenses. A concession is not land ownership. It grants limited, conditional rights for specific uses and time periods.

What the ZMT is

A public coastal strip where the land is not alienable as private property.
Managed by national environmental authorities.
Any private use there is administrative, not ownership.

What a concession covers

Time-limited authorization for defined purposes, such as beach facilities or docks.
Terms vary. Each concession has conditions, renewal rules, and sometimes transfer limits.
Use can be revoked if conditions are not met.

How this shows up on Papagayo beaches

Many beachfront parcels are titled up to the high-tide line. Any use beyond that line, such as structures or exclusive use of the beach area, usually requires a concession or other permits. This is common near resorts and beach clubs around the Gulf of Papagayo.

Beachfront vs second-row tradeoffs

Both settings can deliver ocean lifestyle, but they come with different paths to the finish line.

Beachfront value, added complexity. You may secure a prime setting, yet expect more administrative review, possible public access questions, and coastal risk checks. You may also need concessions for certain uses in the ZMT.
Second-row clarity, easier financing. These lots are more often fee simple with clean title, simpler permitting, and broader bank support. Beach access is nearby, while legal exposure is often lower.

Local due diligence checklist

Use this step-by-step path as you evaluate property around Peninsula Papagayo, Playas del Coco, and nearby beaches.

Before making an offer

Request from the seller or agent: the current escritura, the latest certificate of encumbrances from the National Registry, and the registered cadastral plan. Ask for any topo survey.
Confirm whether the parcel reaches the high-tide line and whether any concession or permit exists for use in the ZMT.

Title and boundary verification

Order a full title report from the National Registry, including all liens, mortgages, easements, and prior subdivisions.
Hire a licensed topographer to produce a current boundary and topo survey that shows the high-tide line and the parcel’s relation to the ZMT.
Compare the new survey to the registered plano and the deed. Flag discrepancies early.

Concessions, permits, and orders

Get copies of any concessions, building permits, environmental permits, mooring licenses, or administrative authorizations tied to the property.
Confirm with the relevant environmental authority whether a concession is current, its duration, conditions, and if it is transferable. Check for pending applications or enforcement actions.

Municipal and zoning checks

Verify zoning under the local plan regulador for use, density, setbacks, and coastal construction limits.
Confirm legal access via registered road servitudes and any public beach access obligations.

Environmental and coastal risk

Check proximity to protected areas, mangroves, wetlands, or other sensitive zones that carry strict protections.
For beachfront builds, obtain a coastal erosion and sea-level change review. A coastal engineer can help you understand long-term exposure.

Financial and tax review

Verify property tax status, municipal debts, or fines. Ask for proof of good standing.
Confirm mortgageability. Many lenders prefer fee-simple parcels without dependence on concessions.

Contracts and closing

Have a bilingual Costa Rican real estate attorney review your purchase agreement before signing or funding a deposit. Make the deal conditional on acceptable title, survey, and permit outcomes.
Use escrow with a reputable notary for funds and registration.

After closing

Confirm prompt registration of the transfer at the National Registry and updates to the cadastral database.
If a concession is part of the deal, complete any administrative transfer steps with the issuing agency.

Permits near the beach

If your project is near the shoreline, expect a few layers of approval. At minimum, you will need municipal building permits and compliance with zoning. If your plan touches the ZMT or sensitive habitat, you may also need environmental permits and, in some cases, a concession or license.

Each project is unique. The scope of work and the site’s location determine which agency leads and what studies are needed. Plan for extra time and coordination for waterfront designs.

Red flags to watch

A deed that appears to include ZMT or other public domain areas.
Missing or inconsistent surveys and cadastral plans.
Concessions near expiration, with unclear transfer rules, or not properly registered.
Pending litigation, administrative orders, or fines related to coastal use.
Lack of documented legal road access.
Signs of coastal erosion or storm exposure that could affect future usability or insurance.

Who to hire, and when

Before any deposit. Hire a bilingual Costa Rican real estate attorney with coastal and ZMT experience. Ask for a written title and concession opinion.
Early in the process. Engage a licensed topographer to map boundaries, contours, and the high-tide line.
Before design and permitting. Consult municipal planning and a local civil or coastal engineer for feasibility and risk.
If a concession or license is involved. Get written confirmation of status and transfer conditions from the issuing authority, and have your attorney review.
For complex or high-value sites. Consider an environmental consultant, erosion specialist, and an independent engineer.

What this means for you in Papagayo

If you prefer a simpler path with stronger financing options, a second-row titled parcel often fits well. You still enjoy easy beach access, resort amenities, and ocean views with fewer administrative steps.

If you want direct beachfront living or commercial beach use, be ready for more detailed due diligence and permit planning. The right team, clean records, and a current survey give you confidence to move forward.

Ready to evaluate specific parcels around the Peninsula or Playas del Coco? Our local knowledge, private inventory, and concierge buyer support help you compare options and move with clarity.

For curated opportunities and a guided path from first look to closing, connect with 2 Costa Rica Papagayo. You will receive discreet guidance and access to exclusive, off-market listings.

FAQs

Can foreigners own beachfront property in Costa Rica?

Yes, foreigners can own titled property under the same rules as nationals. The public coastal strip is not privately owned, and use there normally requires a concession or permit.

What is the difference between title and a concession?

Title is private ownership registered at the National Registry. A concession is a time-limited administrative authorization to use part of the public coastal zone; it is not ownership.

Are concessions transferable when a property sells?

Sometimes. Transfer rules and approvals are set by the concession terms and the issuing authority. Always obtain copies and written confirmation of transfer conditions.

Is beachfront riskier than second-row in Papagayo?

Beachfront can carry more legal and environmental complexity, along with higher oversight and potential coastal risks. Second-row parcels often have clearer title and easier financing.

What permits do I need to build near the beach?

You will need municipal building permits and zoning compliance. Projects that affect the coastal zone or sensitive habitat may require environmental permits and possibly a concession.