The Panamanian government has formally created a special development zone for the new San Miguelito cable car system. Officials published Executive Decree No. 13 in the Official Gazette of Panama on November 24, 2025, establishing land use rules for the project aimed at solving severe mobility issues.
This decree from the Ministry of Housing and Land Management (Panama) designates the cable car as a public utility and social interest project. It specifically addresses the transportation crisis affecting the districts of Panama and San Miguelito. The legal framework sets the stage for accelerated development by coordinating all state institutions.
Addressing a Deepening Transportation Crisis
Rapid urban growth combined with a sustained increase in public transport demand has deepened mobility problems in these areas. The cable car will serve as a complementary alternative to the existing mass transit system. It is particularly designed to connect hard-to-reach communities that currently lack efficient transportation options.
“The accelerated urban growth and sustained increase in public transport demand have deepened displacement problems in these zones,” the decree states. [Translated from Spanish]
Project planners envision the cable car providing critical first-and-last mile connectivity. It will integrate directly with the existing Panama Metro System while serving neighborhoods where traditional infrastructure faces geographical challenges.
Project Route and Station Locations
The cable car route will feature six stations stretching across key urban areas. The system will begin at Balboa station, proceeding to Cincuentenario. Station three will be located in Samaria, followed by Mano de Piedra. The route then passes through Valle de Urraca before terminating at Torrijos Carter station.
This alignment connects densely populated communities that currently experience significant travel difficulties. The elevated cable car system will bypass ground-level congestion entirely. It promises to dramatically reduce commute times for thousands of residents daily.
Technical documents accompanying the decree provide detailed mapping of the influence polygon. This designated area encompasses all territory where development will be coordinated with the cable car project. The final alignment will determine the exact location of the service easement.

Legal Framework and Development Controls
The decree establishes that Metro regulations are matters of public order. All state institutions must coordinate with Metro de Panama, S.A. on administrative procedures and actions necessary for project execution. This streamlined approach prevents bureaucratic delays that often plague major infrastructure projects.
Once authorities define the final alignment, they will establish corresponding easements. These will maintain obstacle-free spaces both vertically and horizontally to guarantee safe operation. The requirement ensures no buildings or other structures will encroach on the cable car’s path.
“Any act related to modifications of real estate, changes in land use, economic activities or rights within the polygon must have prior non-objection from Metro de Panama, S.A.,” the document mandates. [Translated from Spanish]
This provision gives the metro authority veto power over developments that might conflict with the cable car system. It represents a significant consolidation of planning control within the designated area.
Property Acquisition and Valuation
The decree provides specific guidance regarding land required for the project. Property acquisition or occupation must be based on values current at the time the decree took effect. This provision protects both property owners and the project budget from speculative price increases.
Officials hope this valuation approach will facilitate smoother negotiations with landowners. The process for determining these values will follow established appraisal methodologies. Any disputes would likely be resolved through Panama’s existing legal channels for public works projects.
The publication in the gaceta oficial gives the decree full legal force. This formal step allows project coordination to begin immediately across all relevant government agencies.
Next Steps for Cable Car Implementation
Metro de Panama, S.A. now bears responsibility for coordinating with competent public entities on all necessary technical, legal and administrative processes. The company will lead the effort to move the project from planning to construction phase.
Local authorities have previously requested integration of public and community spaces into the cable car design. They emphasize the importance of creating transportation hubs that serve broader community needs beyond simple transit. The established development framework may accommodate these suggestions during detailed design phases.
This cable car project represents Panama’s latest innovation in addressing urban mobility challenges. The government appears committed to implementing alternative transportation solutions that complement traditional infrastructure. Success could establish a new model for other cities facing similar geographical and congestion challenges.

