Costa Rica Squatters: Just when it seemed that investing in property in Costa Rica was safe, today saw the expropriation of property occupied by Costa Rica squatters. After a lengthy legal 2-year battle, a group of Costa Rican squatters expropriates land from owners. Squatters (“Campesinos”) have managed to take approximately 1050 acres from Dutch investors after a lengthy 2-year court battle.
April 2011 saw 316 families enter the farm in Medio Queso de Los Chiles. Located in Costa Rica’s central Northern Zone, near the border of Nicaragua. I know, the land belongs to a group of investors, who rented the property to Costa Rica farmers. Consequntly, the land grab continues. If you have property here especially now, and you are an absentee owner beware you are at risk.
What is a squatter?
In the US, a squatter is any person who has moved onto property without permission of the owner. Commonly known as adverse possession. Similarly, Costa Rica squatters move onto the property. Your intervention can stop the squatters building and protect yourself. I know the land is owned by a group of Dutch investors, who rented the property to a Costa Rican farmer. The farmer has been using the land to grow crops for the past few years, but the investors have decided to sell the land to a new buyer.
The farmer is worried he will lose his land and his livelihood if the new buyer decides to evict him. Shifting buildings and dwellings and claiming the land as their own. The squatters claim the owners were not producing on the land. This is despite the declaration by the Costa Rican that had leased the land. Subsequently, asserting that he had made over $2 million in improvements to the agriculture area since the time he leased it.
The conflict grew over the next two years, with the Costa Rica squatters being evicted numerous times by the police. On several occasions, the attempts to evict the squatters turned violent. The squatters alleged in addition to destroying their homes on several occasions the owners hired men to destroy farm animals. Moreover the men in doing so their belongings as well.
What happened next?
The squatters frequently returned to the property after being evicted, sometimes within hours of the eviction, and begin rebuilding. The dispute made Costa Rica national headlines last year when a secret audio recording of a police officer instructing privately hired guards to “shoot to kill” was made public.
The government agency that oversees such disputes, known as the Rural Development Institute (INDER) issued resolution 032-2013 this week, which orders the land to be expropriated and given to the squatters.
Over the years, the squatters have drawn support from many Costa Ricans, including on social networks. The local daily, newspapers heralded the decision by INDER to expropriate the property. One paper *Dario” declared, “This agreement is a triumph for rural families of that community”. “The successful expropriation sets a precedent for struggling “Campesinos” (squatters) of the country. It shows that INDER is legally qualified to expropriate and distribute land to “Campesinos” who need it,” the newspaper continued.
Adverse possession in the US
Unlike the United States which has statutes in all states covering adverse possession, Costa Rica has none. Costa Rica law provides that unimproved agricultural land can be occupied by squatters. Furthermore, once they erect a structure they can obtain title to the land. There is no time restriction, thus the land once occupied by the squatter takes a court action to remove. The United States adverse possession laws give time limits with most requiring seven years of occupancy openly and notoriously prior to the squatter obtaining title.
This decision will have a chilling effect on foreign land investors. Gear said that any investor contemplating investing in unimproved land in Costa Rica should seek the services of a licensed attorney in Costa Rica prior to buying such land.
1. Do not do anything you would not do in your own hometown: Many foreigners seem to believe they can outsmart the system when they come to a less developed country. Perhaps. the kind manner most Costa Ricans behave with ex-pats. Which in turning them into wishful thinkers. Always bear in mind that the legal system in Costa Rica is Napoleonic, not Common Law. Consequently, things are handled very differently than in the US or Canada.
Are you thinking about buying Costa Rica real estate? I know there are many beautiful places here. But, before you sign on the dotted line, there are several things you need to be aware of. Real estate 