Colombia’s economy expanded at an estimated annual pace of 2.7% in the second quarter of 2026, according to the latest reading of the Grupo Cibest NowCast Bancolombia indicator. The figure sits 20 basis points below the rolling quarter ending in May, which the group revised upward by 20 basis points to 2.9%. With the second-quarter estimate in hand, the economy is now judged to have grown 2.4% year-over-year in the first half of the year, a pace the analysts say confirms that activity remains below its potential.

“The economy is estimated to have grown 2.4% year-over-year in the first half, confirming that economic activity remains below its potential.” — Grupo Cibest, Economic, Industry and Market Research (July 2, 2026)

NowCast Bancolombia is a family of proprietary, high-frequency indicators built by Grupo Cibest — the financial holding group that owns Bancolombia (NYSE: CIB) and adopted its current name in May 2025 — from transactions across the group’s payment channels. The indices are designed to complement, not replace, the official statistics published by the Departamento Administrativo Nacional de Estadística (DANE, the National Administrative Department of Statistics), whose figures are available through its website.

For the second quarter, the group revised its NowCast forecast upward by 10 basis points to 2.7%, bringing the projection into line with the market consensus average among analysts. The indicator rose from 2.6% at the end of May to 2.7% at the end of June, matching the 2.7% consensus.

Subdued Growth Across the Board

The monthly readings were more subdued. On a seasonally adjusted basis, the NowCast index contracted 1.2% from the prior month in June. In year-over-year terms against June 2025, growth eased to 1.9%, some 0.5 percentage points below the May reading of 2.4%. Measured as a three-month moving average, year-over-year growth held at 2.7%.

At the sector level, the second quarter showed a divergence between primary and secondary activities. Faster growth appeared in recreation, professional services, agriculture, and manufacturing. The public sector, real estate, communications, trade, and electricity utilities held steady growth rates. Construction activity continued to decelerate, while mining was the only sector to contract by the close of the quarter.

Grupo Cibest’s sector heat map, which tracks year-over-year change on a three-month moving-average basis, put entertainment as the standout in June at 9.7%, followed by financial services at 6.0%, and wholesale and retail trade at 4.0%. Manufacturing reached 3.7% and agriculture 3.5%, both near the top of their recent ranges. At the other end, construction slowed sharply to 0.6% after running above 3% for much of the past year, the information sector managed just 0.2%, and mining slipped to -0.5%.

The report was prepared by Grupo Cibest’s Economic, Industry and Market Research area, led on quantitative work by Arturo Yesid González Peña, the group’s Head of Quantitative & Analytics, with Sebastián Ospina Cuartas serving as data controller. It follows the group’s prior-month estimate, which had pointed to a second-quarter acceleration toward 2.6%.

Above: The construction industry’s growth continued to decelerate as Grupo Cibest reports a 2.7% economic growth for Colombia as a whole in the second quarter. Stock photo by Ncpancy via Pixabay.

The Gran Salón Inmobiliario, one of Colombia’s largest real estate events, will return to Bogotá’s Corferias from August 20 to 23, 2026, marking its 20th edition with an expected participation of more than 25,000 visitors and nearly 170 exhibitors.

Organized by Corferias and the Lonja de Bogotá, the fair has operated as a sector partnership since 2005, bringing together developers, financial institutions, housing organizations, and specialized service providers.

The 2026 edition will showcase more than 1,600 real estate projects across approximately 4,900 square meters of exhibition space. The offering will include VIS (vivienda de interés social, or social-interest housing) and non-VIS developments, alongside tourism projects, commercial properties, business developments, and investment opportunities.

International showcase highlights tourism and investment projects

This year’s fair will feature an international showcase, where organizers expect more than 30 exhibitors to present projects focused mainly on tourism investment and short-term rental models.

The event announcement states that participating markets include Panama, the Dominican Republic, Mexico, the United States, the United Arab Emirates, Guatemala, and Spain, with Panama serving as the edition’s guest country. The international section will feature residential, commercial, tourism, and business developments from Colombia and overseas markets.

Academic program and visitor support services

The event will also include an academic agenda focused on topics such as real estate financing, housing subsidies, market trends, sustainability, technology, and emerging investment opportunities.

The organizers also announced experiential areas designed to connect visitors with participating brands and provide additional tools for those evaluating property purchases or investment decisions.

Throughout the four-day event, attendees will have access to financing guidance, information on subsidy programs, expert discussions, and real estate options aimed at different buyer profiles and investment objectives.

According to the organizers, the Gran Salón Inmobiliario continues to focus on connecting real estate supply and demand in a specialized environment, while providing visitors with access to guidance and support throughout the event.

Above photo: View from building of Corferias in Bogota Colombia (Photo: {Rainercol@} / Wikimedia Commons)

The Gran Salón Inmobiliario, one of Colombia’s largest real estate events, will return to Bogotá’s Corferias from August 20 to 23, 2026, marking its 20th edition with an expected participation of more than 25,000 visitors and nearly 170 exhibitors.

Organized by Corferias and the Lonja de Bogotá, the fair has operated as a sector partnership since 2005, bringing together developers, financial institutions, housing organizations, and specialized service providers.

The 2026 edition will showcase more than 1,600 real estate projects across approximately 4,900 square meters of exhibition space. The offering will include VIS (vivienda de interés social, or social-interest housing) and non-VIS developments, alongside tourism projects, commercial properties, business developments, and investment opportunities.

International showcase highlights tourism and investment projects

This year’s fair will feature an international showcase, where organizers expect more than 30 exhibitors to present projects focused mainly on tourism investment and short-term rental models.

The event announcement states that participating markets include Panama, the Dominican Republic, Mexico, the United States, the United Arab Emirates, Guatemala, and Spain, with Panama serving as the edition’s guest country. The international section will feature residential, commercial, tourism, and business developments from Colombia and overseas markets.

Academic program and visitor support services

The event will also include an academic agenda focused on topics such as real estate financing, housing subsidies, market trends, sustainability, technology, and emerging investment opportunities.

The organizers also announced experiential areas designed to connect visitors with participating brands and provide additional tools for those evaluating property purchases or investment decisions.

Throughout the four-day event, attendees will have access to financing guidance, information on subsidy programs, expert discussions, and real estate options aimed at different buyer profiles and investment objectives.

According to the organizers, the Gran Salón Inmobiliario continues to focus on connecting real estate supply and demand in a specialized environment, while providing visitors with access to guidance and support throughout the event.

Above photo: View from building of Corferias in Bogota Colombia (Photo: {Rainercol@} / Wikimedia Commons)

Signed on June 9 by Housing Minister Helga María Rivas and published in the Diario Oficial (Official Gazette) on June 16, the measure sets the minimum technical guidelines that special-category and category 0, 1, 2, and 3 districts and municipalities must use to ensure that buildings whose construction licenses are properly filed include an electrical connection for charging or refueling electric vehicles.

The rule applies to new-construction, expansion, and modification licenses for residential, commercial, or mixed-use projects, and it takes effect only where a municipality has a minimum number of registered electric vehicles in its jurisdiction. Municipal categories follow the classification set by the Contaduría General de la Nación (National Accountant General’s Office). Social-interest and priority-interest housing — Vivienda de Interés Social and Vivienda de Interés Prioritario — are excluded, as are projects that generate no new private parking or that authorize only a single private parking space.

Under the resolution, the builder or license holder must run the electrical connection and supporting infrastructure from the main distribution network — which may include the public grid, solar panels, or battery banks — to a point near the private parking spaces, so that charging equipment can be connected later. The share of parking spaces that must be prepared is calculated from the total private spaces required in each license.

“The builder or holder of the construction license must foresee and provide an electricity connection for charging or refueling electric vehicles that facilitates the later installation of any of the possible charging schemes in the private parking spaces generated.” — Resolution 0337 of 2026, Ministry of Housing, City and Territory

That percentage is set annually by the Ministry of Housing in coordination with the Ministerio de Transporte (Ministry of Transport), drawing on data from the Registro Único Nacional de Tránsito (National Traffic Registry), known as RUNT, and published in the first quarter of each year. The wiring requirement applies only when the calculated percentage for a given jurisdiction reaches 2% or higher.

Installations must comply with the Reglamento Técnico de Instalaciones Eléctricas (Technical Regulation for Electrical Installations), or RETIE, and other technical standards set by the Ministerio de Minas y Energía (Ministry of Mines and Energy). Connections must allow electricity consumption to be metered individually, so that each parking-space owner bears the cost of their own charging. In buildings under a horizontal-property regime, an owner installing a charger in an individual private space need only notify the homeowners’ association in advance and assumes the full cost.

For buildings already licensed before the new guidelines took effect, owners may voluntarily adapt their installations to accommodate charging infrastructure. Curadores Urbanos (Urban Curators) — and, where they do not exist, the local licensing authority — must report the licenses issued under the measure. The Ministry of Housing has up to nine months after the resolution enters into force to establish the reporting mechanism.

The resolution builds on Ley 1964 de 2019 (Law 1964 of 2019), Colombia’s framework for promoting electric and zero-emission vehicles. The country has worked to encourage adoption through measures such as reduced import duties on electric vehicles, and the consumer market has continued to develop since Tesla’s official launch in the country.

As Colombia heads into its June 21, 2026 presidential runoff, some companies are writing a contractual escape hatch into their deals — a provision the construction trade group Camacol Antioquia calls the “Cláusula Cepeda,” or “Cepeda clause” — that would let them pause or unwind agreements if leftist candidate Iván Cepeda wins, according to Teleantioquia and a televised news report. The accounts come from business representatives describing market sentiment; the prevalence of the clauses has not been independently quantified.

According to Eduardo Loaiza Posada, manager of Camacol Antioquia, “we know that the implementation of the ‘Cepeda clause’ exists in the market.” He said the possibility of a Cepeda win “generates so much uncertainty that many businesspeople have considered that, in the event of his victory, they would unwind deals already agreed.” Loaiza Posada framed the issue as one of confidence: “When there is doubt, uncertainty follows — and uncertainty is legal insecurity,” he told Teleantioquia, adding that “legal insecurity makes investment frightened.”

The trade group says the clauses surfaced across several productive sectors — housing, construction, and the financing of hotels and logistics centers — and that some projects have been shelved outright. “Even companies that were planning to build a new institutional or corporate headquarters have told the builders: ‘Let’s get the contract ready, but if this candidate wins, we undo the deal,'” Loaiza Posada said, according to Teleantioquia. He added that the hesitation is not limited to domestic players, citing instances of international funds and hotel chains reconsidering whether to finance or lend their brand to projects.

In a separate televised report, a real estate agent confirmed that some home purchase-and-sale contracts now include a clause letting the buyer withdraw based on market expectations and on changes to government policy and housing subsidies. The agent said the provision is “very much named at the moment” and is meant to offer investors an additional guarantee against a continuation of the current government’s policies, allowing a party to exit “without any penalty.”

“When there is doubt, uncertainty follows — and uncertainty is legal insecurity.” — Eduardo Loaiza Posada, manager of Camacol Antioquia

The practice is not new, and it is not unique to Cepeda. The same reports note that a “Cláusula Petro” appeared during the 2018 and 2022 campaigns, when Gustavo Petro was a candidate, transferring political expectations onto investment decisions in the same way. Legal commentators have described these as conditional clauses that are valid under Colombian private law: as Portafolio and El Tiempo reported in 2022, a contract can lawfully be made contingent on a future event, including an election outcome, and undone if that event occurs. By that reading, the “Cepeda clause” is a recurring feature of Colombian electoral cycles — a form of risk management — rather than a novel maneuver.

It also lands in a housing market already under strain for reasons that predate the runoff. According to figures from Camacol cited in the broadcast report, more than 134,000 households abandoned plans to buy a home between 2022 and February 2026, a 130% increase in the social-interest (VIS) segment. The report attributed much of that to regulatory uncertainty and policy decisions such as cuts to housing subsidies, alongside higher costs and rising interest rates. Data from the portal Finca Raíz cited in the same report showed sale prices climbing above inflation, with increases of up to 13%, as fewer project launches tightened supply. Colombia builds a little over 100,000 homes a year, the report noted, while DANE figures suggest 230,000 to 250,000 new families form annually — a structural gap that the slowdown widens.

Cepeda’s campaign has not publicly responded to the clause, and his published platform is more measured than the business alarm implies. His roughly 118-page plan, built around the idea of an “economy for life,” does propose a larger role for the state, a stronger internal market, and an emphasis on the peasant, popular and solidarity economy. But as La Silla Vacía and El Colombiano have reported, the document is more moderate than several positions President Petro has defended: it does not call for eliminating the independence of the central bank, a constituent assembly, or forced investments, and the campaign has sought to present a more pragmatic version of the current government’s agenda.

The runoff offers voters two markedly different economic visions — Abelardo de la Espriella campaigning to shrink the state, cut taxes and lean on the private sector, and Cepeda proposing deeper state intervention and expanded social programs — which is what the contractual hedging ultimately reflects: uncertainty about which direction policy will take. Cepeda advanced to the second round after the May 31 first round, in which he took 40.9% of the vote to De la Espriella’s 43.7%. With days to go, the market is watching the result and the signals it will send for housing and investment policy.

Tecnoglass, Inc. (NYSE: TGLS) reported first-quarter 2026 revenue of $249.0 million USD, a 12.0% year-over-year increase and a first-quarter record for the Barranquilla, Colombia-based window and architectural glass manufacturer. Despite the top-line growth, net income fell to $31.9 million USD, or $0.71 per diluted share, from $42.2 million USD, or $0.90 per diluted share, in the same period of 2025, as elevated US aluminum costs linked to import tariffs, mandatory minimum wage increases in Colombia, and a strengthening Colombian peso combined to compress gross margins by 540 basis points to 38.5%.

Multi-family and commercial revenues rose 20.4% year-over-year, driven by continued activity across key markets including geographies beyond Florida, which has historically dominated the company’s US revenue mix. Single-family residential revenues were relatively flat on a year-over-year basis, with management attributing the result to the timing of order conversion into revenue rather than underlying demand, noting that order growth in the segment remained positive into April 2026. On a geographic basis, the US accounted for $237.1 million USD, or approximately 95% of total revenues, up 11.6%. Colombia generated $7.5 million USD, up 17.2%, and other international markets contributed $4.4 million USD, up 27.3%.

Gross profit declined to $95.8 million USD from $97.5 million USD in Q1 2025 despite the higher revenue base. The company cited an unfavorable revenue mix driven by a greater proportion of installation-related revenue, higher raw material costs — with US aluminum tariffs representing an incremental headwind of approximately $6.4 million USD in the quarter — higher salary expenses resulting from annual minimum wage adjustments in Colombia, and the effect of a stronger Colombian peso on costs incurred locally. Pricing actions and operating leverage on higher volume partly offset these pressures.

“We see a clear path to fully offsetting the impact of tariffs in 2027, when full-year pricing across both businesses and incremental automation savings are expected to be realized.” — Santiago Giraldo, Chief Financial Officer, Tecnoglass

Selling, general, and administrative expenses rose to $50.9 million USD, or 20.4% of revenues, from $42.5 million USD, or 19.1%, in Q1 2025. The increase reflected higher personnel costs from annual salary adjustments, peso appreciation, and higher transportation and commission costs tied to revenue growth. The period also included a one-time charge of $2.9 million USD related to Colombia’s *impuesto al patrimonio*, a government-imposed wealth tax levied on large corporations to fund measures addressing recent climate-related events in the country.

Adjusted EBITDA — which excludes non-cash foreign exchange gains and losses, the bad-debt provision, non-recurring charges, and equity-method adjustments related to the company’s joint venture in Vidrio Andino with Saint-Gobain (EPA: SGO) — came in at $61.5 million USD, or 24.7% of total revenues, compared to $70.2 million USD, or 31.6%, in Q1 2025. Adjusted net income was $34.6 million USD, or $0.78 per diluted share, versus $43.1 million USD, or $0.92, in the prior-year quarter.

Cash provided by operating activities was $6.7 million USD, a significant decline from $46.9 million USD in Q1 2025, driven in part by a deliberate build-up of US-sourced aluminum inventories — up $34.3 million USD in the quarter — as part of the company’s tariff mitigation strategy. Capital expenditures of $17.3 million USD reflected scheduled payments tied to previously announced capacity and automation projects. During the quarter, Tecnoglass returned $16.5 million USD to shareholders through share repurchases and paid $6.7 million USD in cash dividends. As of May 7, 2026, approximately $92.5 million USD remained available under the current share repurchase program. The company ended the quarter with total liquidity of approximately $425.0 million USD, comprising $91.1 million USD in cash and cash equivalents and more than $330.0 million USD in revolving credit facility availability, against total debt of $200.3 million USD.

The company’s order backlog reached a record $1.36 billion USD at quarter-end, up 19.1% year-over-year, extending multi-family and commercial pipeline visibility into 2027. Tecnoglass cited continued expansion of its dealer network and showroom footprint as supporting geographic diversification and market share gains, with vinyl product lines identified as an incremental growth driver broadening the company’s addressable market.

José Manuel Daes, chief executive officer, commented on the results: “First quarter results were in line with our expectations, with resilient performance across our key metrics reflecting the continued strength of our vertically integrated business model despite a dynamic cost environment. Demand for our product offerings remains strong, as demonstrated by another quarter of record backlog and healthy order activity, with momentum continuing into the second quarter. Our previously announced pricing actions are now in place, and the broad-based nature of industry cost pressures supports our confidence in executing these increases while preserving our competitive positioning.”

Christian Daes, chief operating officer, addressed the tariff response and the company’s assessment of a potential US manufacturing presence. “Our pricing initiatives and cost mitigation efforts are well underway, including logistics improvements, further automation across our operations, and ongoing supply chain optimization,” he said. “We are also advancing our assessment of a proposed US manufacturing initiative, with a well-located site identified and significant state and local incentives secured that strengthen the project’s potential economics if we decide to move forward based on market demand.”

Santiago Giraldo, chief financial officer, reaffirmed full-year 2026 guidance and outlined the company’s tariff offset timeline. “Based on our strong execution to start the year, we are reiterating our full year revenue outlook in the range of $1.06 billion to $1.13 billion USD and Adjusted EBITDA outlook in the range of $225 million to $245 million USD,” Giraldo said. “This reflects the impact of the recently implemented 10% tariff on finished aluminum window imports as previously disclosed, which is expected to be partly offset in 2026 through pricing actions effective on orders from early May forward, with additional efficiency initiatives from logistics optimization and automation underway and expected to begin contributing benefits by year end. We see a clear path to fully offsetting the impact of tariffs in 2027, when full-year pricing across both businesses and incremental automation savings are expected to be realized.”

On the corporate structure front, Tecnoglass’ board of directors has approved a plan to redomicile the company from the Cayman Islands to the United States, subject to shareholder approval. If approved, the redomiciliation is expected to be completed during Q2 2026. The company stated that the move is intended to simplify its organizational and regulatory structure, improve the tax efficiency of dividend distributions, and expand its potential investor base to include funds and accounts limited to US-domiciled securities. Tecnoglass will retain its Miami, Florida headquarters following the change.

Separately, the company is conducting a feasibility study for a potential new US manufacturing facility. A site meeting project specifications has been identified and substantial state and local tax credits have been secured. The proposed facility is described as highly automated and intended to support future growth while also improving lead times, reducing transportation costs for certain markets, enhancing supply chain efficiency, and enabling the company to compete for Buy America-eligible projects and rapid-turnaround contracts. Tecnoglass expects to complete the purchase of land for the potential facility during Q2 2026, at an estimated cost of $20 million to $25 million USD to be financed through available credit facilities. The company noted that the land purchase does not constitute a commitment to proceed with construction, which would occur in phases contingent on demand, market conditions, and return profiles. The company’s 5.8-million-square-foot vertically integrated manufacturing complex in Barranquilla, Colombia, would continue to serve as its primary production base.

Above photo: Tecnoglass facilities in Barranquilla

Economic activity in Colombia expanded at an estimated annual rate of 2.1% during the first quarter of 2026. According to the latest NowCast report issued by the Grupo Cibest, unit of Bancolombia (NYSE: CIB, BVC: BCOLOMBIA), this outcome reflects a loss of momentum compared to the rolling quarter ended in February. That previous period recorded a growth of 2.2%, which was revised downward by 10 basis points from an initial estimate of 2.3%.

The 2.1% growth rate for the quarter indicates a slowdown relative to both the market consensus average of 2.7% and the internal growth forecast of 3.3% held by the bank. On a month-over-month basis, the seasonally adjusted series of the NowCast index posted a 1.3% contraction in March 2026. When compared to March 2025, economic activity grew by 2% year over year, representing a 50-basis-point decline from the 2.5% reading recorded the previous month.

“Overall, these results suggest that the economy is beginning to lose steam, amid multiple sources of uncertainty.” — NowCast Bancolombia Report

Analysis at the sector level reveals a broadly weaker growth profile, with deceleration appearing across most productive areas. Slower momentum was identified in trade, manufacturing, recreation, real estate, and financial services. Manufacturing expansion cooled to 1.0% in March 2026, while financial services recorded marginal growth of 0.6%. The real estate sector maintained a steady growth rate of 1.9%.

Construction and communications were the only sectors to record negative growth during the period. The construction sector saw a significant downturn, contracting by 2.3% in March 2026 after having posted 1.4% growth in February. The information and communications sector contracted by 0.4%, marking its fourth consecutive month in contractionary territory. Conversely, acceleration was noted in public administration, which grew by 5.1%, agriculture at 3.7%, and mining at 0.8%.

The NowCast family of indicators is prepared by Grupo Cibest through the processing and aggregation of transaction data from the bank’s various payment channels. Using advanced quantitative tools, the index provides high-frequency estimates of Colombian productive activity to complement official data from the Departamento Administrativo Nacional de Estadística. The report was authored by Arturo Yesid González Peña, Head of Quantitative and Analytics, and Sebastián Ospina Cuartas, Data Controller.

The report also incorporates data from the Bloomberg platform and FocusEconomics Consensus Forecasts to provide broader economic context. While the national economy remains in expansionary territory, the analysts suggest that the current results indicate the market is losing steam due to various sources of domestic uncertainty.

From Fedesarrollo this week we had two reports:

Firstly, their monthly financial sector for February survey saw a sense of calm. The expectations for 2023 inflation rose slightly (from 8.89%-9.00%) as did the terminal interest rate (13%-13.25%) but growth for the same 2023 fell from 1.5% to 1.1% – although that remains above many other estimates, including the Central Bank (0.3%). In terms of the COLCAP, Ecopetrol and Bancolombia remain the top picks, but amidst a pessimistic view for the overall market.

Briefly on interest rates, the Central Bank head Villar stated on Thursday that Colombia was close to the end of the tightening cycle and that the impact on inflation should come soon.

Also from Fedesarrollo we had the Retail ($29.7%) and Industrial (3.6%) confidence data for January and both came in better than expected and significantly higher than December – a surprise given the poor Consumer Confidence number (-28.6%) for the same month.

Within the construction sector there is something of a confusing picture. There was a 50% drop in new home sales in January and with mortgage rates, which have never been low anyway, rising sharply, that is understandable. That said, anecdotally, at least here in Medellin – prices continue to rise sharply, that is if you can find anything to buy ! On the public side the 4G projects are largely into the home straight but the 5G works will be coming on line towards the back end of 2023 which will compensate and move that sector forward.

Solid news from the oil sector again as Campetrol reported January production of 773k bpd – down slightly on December’s 784k bpd however it was still 4.6% higher YoY and part of a gradual improvement in the trend which began to manifest itself in October.

Sticking with oil – Brent has had a complicated week and this has been reflected in the Peso which has been struggling. DXY has also largely moved against the Peso due to a mix of interest rate concerns and geopolitical events.

Within the equity market, the MSCI Colcap is still playing with a dangerous support level. In the meantime, Grupo Argos has joined Celsia & Cementos Argos in announcing continued buyback programs, between the three entities approvals are sought for US$200mn.

Wishing you all a peaceful weekend.

Roops

The new PriceSmart is being built on Transversal Inferior, a two-lane one-way residential feeder road. (photo: Loren Moss)

PriceSmart is a successful chain of warehouse-club style stores that while headquartered in San Diego, California, operate exclusively in Latin America and the Caribbean, with no stores within the US 50 states or México. Well loved in Colombia, it is no surprise that the company chose to open a second Medellín location, though the Poblado location, a residential area already infamous for traffic congestion is questionable when new high-capacity roadways are being constructed in the nearby, commercialized Las Palmas area, also easily accessible by the high-income bedroom communities of El Retiro, La Fé, and Llanogrande.

The urban curate, or Curaduría, is the local authority in Colombian municipalities responsible for enforcing building regulations and issuing (or not) construction permits.

Exclusive Interview: Pricesmart Assures All Permits In Order For Poblado, 2nd Medellín & 10th Colombia Location Pledges To Be A Good Neighbor (click here)

The curate issued the following decree (translated by Finance Colombia):

THROUGH WHICH A DIRECT REVOCATION PROCESS IS BEGUN

The Second Urban Curate of Medellín, according to Appointment Decree 0381 of the19th of June 2018, in use of its legal powers and especially those conferred by the Laws 388 of 1997, 1801 of 2016, 1437 of 2011, as well as National Decrees 2150 of 1995 and 1077 of 2015

CONSIDERING

1. That through 202330016551 sent on January 20, 2023, by the Undersecretary of Management and Territorial Control of the District of Medellín, informs that in exercising the functions of urban control and taking into account the presentation of various complaints by Councilwoman Claudia Marcela Ramírez Echeverri, an exhaustive review of administrative acts was ordered through which the PRICESMART project was approved in the property located at 32^nd street with South 11th Avenue.
2. That in developing the function of urban control, said dependency requested detailed information on the advance procedure for the issuance of the urban planning license to the project, for which supporting documentation was requested through the filed document 202230497081 of November 17, 2022. This document was in response to the files 202210411050 of December 6 and 202210412631 of December 7.
3. That the Secretary of Management and Territorial Control of the District, upon receiving the information submitted by this office, proceeded to carry out its analysis, in coordination with the approved urban planning licenses and the applicable regulatory framework, which conceptualizes:
   • The licenses were granted without fulfilling the requirements demanded in the applicable urban regulations, contained in Agreement 62 of 1999, Agreement 23 of 2000 and its respective regulatory file and the provisions of the Agreement 38 of 1990
   • The number of floors and parking spaces does not conform to what is allowed in the residential use areas.
     

     Pricesmart Poblado mandatory construction poster (photo: Loren Moss)

   • There is a mixed application of the standards for commercial use that is contrary to the land use regime.
   • The technical concept was never requested from the Administrative Department of Planning, as contemplated by the norm for the application of previously restricted uses, as for department stores.
4. That, based on this analysis, the Urban Curate is requesting the initiation of the process of direct revocation of the administrative acts through which the PRICESMART project, because in its judgement, in the issuance of the administrative procedures did not take into account the urban regulations adopted in the Agreements 38 of 1990, 62 of 1999, Decree 568 of 2011, since it is considered on the part of the district entity that the issuance of the licenses was carried out in opposition to the law and the constitution and violate the public interest that [the curate] seeks to protect with urban regulations.
5. That, based on this request, the order is to proceed with the review of the decision and inform the municipal administration within ten (10) business days following receipt of the request.
6. That, in order to meet the District’s request, [the curate] is initiating the process, taking note that:
   • Article 2.2.6.1.2.3.10 of National Decree 1077 of 2015 authorizes the application of direct revocation to the administrative act that grants the planning license, making express reference to the procedure enshrined in the Code of Administrative Procedure and Administrative Litigation, specifying that:
     1. They are competent to advance the direct revocation of the licenses, the same curator who issued the act or whoever has been designated as such by means of an administrative act of a provisional or definitive manner, or the municipal or district mayor or his delegate.
     2. They may request the direct revocation of the licenses of the same applicants, the adjoining neighbors of the object property, as well as third parties and competent administrative authorities that have become part of the Procedure.
     3. During the direct revocation process, the file will remain available to the parties for consultation and issuance of copies and the interested party must be summoned, as well as third parties who may be affected by the decision, in order for them to participate and assert their rights. For this purpose, from the beginning of the action, they will be informed, by means of an official letter that will be communicated to the persons indicated above, the reasons that support the process. A term of ten (10) business days will be granted for them to respond to interrogatories.
     4. Once the interrogatories have been carried out and within the term established by the Code of Administrative Procedure and Administrative Litigation to resolve the procedure, the decision will be adopted.
     5. The term to resolve requests for direct revocation is two (2) months from the day after the date of submission of the application. If this term expires without resolution of the request, it will be understood that the request for revocation was denied.
     6. The direct revocation of administrative acts will not proceed with respect to which the petitioner has exercised the remedies.
   • Article 3 of Law 1437 of 2011 establishes the principles that must be taken into account in administrative action, and specifies that by virtue of due process ‘administrative actions will be carried out inaccordance with the rules of procedure and competence established in the constitution and the law, with full guarantee of the rights of representation, defense and contradiction.
   • Articles 93 to 97 of Law 1437 of 2011 enshrine the procedure to advance the direct revocation procedure, specifying in article 97 that when it comes to the revocation of a particular and concrete act “it may not be revoked without the prior, express and written consent of the respective owner”
   • For the Council of State “The direct revocation consists of its own tool of the authorities in administrative headquarters and without validation of prior judicial process, which can be initiated ex-officio or at the request of a party, consisting of the modification or substantial change of firm decisions that have been adopted as a unilateral manifestation of the respective public entity and that have created general or particular legal situations, provided that they are matched with one or more causes or events of provenance provided for in article 93 of the CPACA (EC, Contentious Administrative Chamber, No 17001-23-33-000-2017-00100-02(4103-18),2020, Considerations).
   • This high court ratifies that “the prohibition of revoking administrative acts that: “have created or modified a legal situation of particular and concrete character or recognized a right of equal category” except in the prior, express and written consent of the owner of the respective right. The Chamber notes that, with regard to the possibility that the administration had to revoke administrative acts of a particular nature, in the events in which any of the grounds for revocation already mentioned, in the case of positive facts, or if the illegality in its issuance is evident, the same disappears from the new statute of Administrative Procedure and from Administrative Litigation. Indeed, the two final paragraphs of article 97 of Law 1437 of 2011 prescribe that in cases where the administration considers the unconstitutionality or illegality of an administrative act, or that its issuance took place by illegal or fraudulent means, it must appear before this jurisdiction, to file suit, as long as it do not have the prior, express and written consent of the owner of the rights in the respective administrative act”. (EC, Contentious Administrative Chamber, second section, No 76001-23-31-000-2004-03824-02 (0376-07) 2015 Considerations).
   • Article 99 of Law 388 of 1997, modified by article 35 of Law 1796 of 2016, specifies the scope and consequence of the issuance of the urban planning licenses by stating that “The granting of the urban planning license involves the acquisition of development and construction rights in theterms and conditions contained in the respective administrative act, as well such as certification of compliance with urban regulations and earthquake resistance and other regulations on which it is based and entails the specific authorization on the use and development of the land, whether it is in force or when the work has been executed as long as it has complied with all the obligations established therein.”
   • Article 2.2.6.1.2.1.7 of Decree 1077 of 2015, is clear when determining that it is the responsibility of the Ministry of Housing, City and Territory to determine the requirements for the study and processing of urban license applications, through the issuance of a resolution that so consecrates them, “(…) Without prejudice to the documents that guarantee compliance with the rules of the provisions related to the protection of assets of cultural interest, the territorial ordering plan and the regulations that develop, regulate or complement, in compliance with the provisions in numeral 7 of article 99 of Law 388 of 1997, modified by Article 182 of Decree 019 of 2012, urban planning licenses must be filed and resolved exclusively with the requirements set by the mentioned Resolution”

In light of the foregoing,

BE IT RESOLVED

ARTICLE ONE: INITIATE the procedure of direct revocation of the Resolutions through which urban planning permission was granted to the property identified with real estate registration 001-1374003.

ARTICLE TWO: SEND communication to PRICESMART COLOMBIA SAS, commercial company with NIT 9003197533, who acquired the property by public deed 879 of March 16, 2022, granted by the Notary Public 25 of Medellín, requesting the authorization to revoke the planning licenses granted to the identified property in the first article.

ARTICLE THREE: INFORM the Territorial Management and Control Secretariat of the District of Medellín, the beginning of the process of Direct Revocation of the licenses granted to the property identified with real estate registration 001-1374003.

NOTIFY AND COMPLY

Issued in Medellín on the 3^rd day of February of the year 2023

LUIS FERNANDO BETANCUR MERINO
Second Urban Curate of Medellín
Decre 0381 of 2018
1311-12.4-

During the trip, Varadkar met with Colombian President Ivan Duque, and accompanied by Irish Ambassador to Colombia, Fiona Nic Dhonnacha, reached several agreements on security, education, and commerce.

Irish companies such as Smurfit Kappa, Planet Payment, Mainstream Renewable, and Irelandia Aviation already have a strong presence in Colombia.

“Colombia is a key partner for Ireland in this region. The visit of Deputy Prime Minister Varadkar confirms the interest in deepening our political and economic relations with Colombia, and takes place in the context of the recent launch of our Irish Strategy for Latin America and the Caribbean,” said Ambassador Nic Dhonnacha. ““Both countries are experiencing a very positive post-pandemic economic recovery, and this visit will allow us to explore more opportunities for trade and investment in the future.”

The Colombia-Ireland Business Network Launched

During the visit, the two countries launched a bilateral business network, with 20 initial corporate participants from both countries, in a ceremony attended by Vradkar (above left), Colombian Vice President and Foreign Minister Marta Lucia Ramirez (above center), and the Minister of Commerce, Industry and Tourism, María Ximena Lombana (above right).

“Today we had the opportunity to launch a network uniting Irish companies that are doing business here in Colombia. This includes companies that are great in different industries such as financial services, fintech, agritech, aviation, construction, engineering, education, life sciences and digital health, as well as food, beverage and other digital technologies,” said Vradkar, indicating that his government expects the business network to grow in the coming years as trade relations expand.

“We hope to see more imports from Colombia, including coffee and other products, and we look at the potential of working together on renewable energy,” he said.

“Ireland is a country that has come a long way in terms of technology and its economic growth has been amazing. During the year of confinement, it was one of the only countries that had positive growth and all thanks to the fact that it has a very solid economy based on innovation and knowledge,” added Vice President Ramirez. “For Ireland it is important to identify business opportunities in Latin America and, what better than having Colombia as a platform to be able to produce, to develop a greater presence of Irish companies, hopefully throughout the region and throughout the hemisphere.”

“Today we have new investment channels. And, today, Ireland is present in the paper sector of our country but linking it to the concept of the circular economy, where producing-conserving and conserving-producing are not a motto, but a reason for being and where we see Irish companies that perform in this sector, improving in-depth all practices, not only in reducing emissions, but also avoiding environmental damage,” said President Ivan Duque in a speech.

“It has been an extraordinary visit and I am convinced that we are going to see the strengthening of our relations at all levels.”—Tánaiste Leo Varadkar

“It is very important to highlight the role that Ireland plays in Fintech…but above all where we are accessing technologies that have been developed in Ireland. And that transfer of knowledge means a lot to us. In terms of energy transition, Ireland has been accompanying us in the goals that we have defined to be a carbon neutral country in the year 2050 and to be a country that reduces 51% of greenhouse gas emissions by the year 2030, but also we have received accompaniment and support so that this year we can declare 30% of the national territory as a protected area. And I deeply value the presence of Irish companies in this transition towards non-conventional renewable energies, where there are already players and many more will come. And now, also, we appreciate the interest of Irish companies in what will be the strategic route of green hydrogen in Colombia,” Duque continued.

Bilateral Educational Opportunities

A memorandum of understanding was signed between the Colombian Institute of Educational Credit and Technical Studies Abroad (ICETEX) and Ireland’s Department of Continuing and Higher Education, Research, Innovation and Science that facilitates the sharing of experience and practices “regarding the design of the educational system; the exchange of pedagogical practices and information; the strengthening of relations between educational institutions; and the inclusion of the arts in a transversal way in the curriculum from initial education and secondary education,” among other topics.

“This agreement with Ireland will open up opportunities for more Colombian students in Irish territory; but we also hope that it will allow us to have exchanges so that more Irish citizens are in our country and can contribute to our great objectives such as bilingualism,” said President Duque.

Solidarity with Ukraine

Varadkar praised President Duque for his leadership regarding the situation in Ukraine and in the attention to migrants. “I particularly want to recognize the leadership of the President, who has been the leader in Latin America who has come forward the most on these issues to defend democracy and the sovereignty of the territory of Ukraine. We thank him very much for that leadership. All of us in Europe are very grateful for the solidarity that Colombia has offered in response to the crisis in Ukraine.”

President Duque added: “I want to emphasize, and I am deeply honored, that today, Ireland and Colombia also work for humanitarian purposes and the unrestricted defense of democracy. Colombia has been the strongest and clearest voice in this entire Latin American and Caribbean environment, rejecting this cruel, inhumane attack that violates international law and sovereignty that Russia has committed with Ukraine. We condemn it and express our voice in all instances of multilateralism. Today we are through our participation in NATO as a strategic partner supporting humanitarian action.”

The Venezuelan Crisis

Varadkar said that “Colombia has also shown a humane approach by welcoming its neighbors from Venezuela…Giving temporary status to Venezuelan migrants is something we consider a lot in Ireland, as we are opening our doors to Ukrainians. And I think we have to take into account the humanitarian response of Colombia with the Venezuelans who have had to flee the dictatorship.”

Duque agreed, saying: “I want to emphasize that we are supporting European countries in migration management issues, since Colombia has become a benchmark in the management of 1.8 million Venezuelan migrants who have come to our country due to the opprobrium and dictatorship of Nicolas Maduro.”

Intergovernmental Issues

Varadkar signed a letter of intent with Colombian President Ivan Duque to formalize cooperation between the Irish and Colombian police force in the fight against international crime, and to facilitate the exchange of information between the two Atlantic nations.

Duque also said that progress was being made in resolving double-taxation issues between the two countries, and he hopes the two countries may finalize an agreement soon. On this, he called for urgent action by the Colombian congress.