Peru: World Class History, World Class Cuisine

Disclaimer: Most of the information presented in this commentary was gleaned from various tour guides under extremely difficult conditions. With the rapid and constant flow of information, most of the time I felt as though I was drinking from a fire hose. I have attempted to highlight some of the most interesting and obscure facts, but don’t take my word for anything. Rather, readers are encouraged to pursue topics of interest from reputable sources.

We finally made it to Peru, located in the northwest corner of South America. Our first attempt was in July 2024 on the day the worldwide airline industry suffered a major internet outage, causing our trip to be canceled. This trip took 20 hours door to door, topped off by a traffic jam when we landed in Lima, Peru’s capital city.

The major impetus for this trip, besides trying to vacate Las Vegas summer heat, was to confirm the existence of and to explore the ancient Inca ruins of Machu Picchu and to verify the more recent claim that Lima, Peru is today the center of gastronomy on the planet.

Our one week tour was arranged with South America Tours, a partner of Trafalgar in Peru. Our group of 30 consisted mostly of well-educated middle-aged and senior citizens, Americans (50% Californians) with some Canadians, Australians and Filipinos. Only 8% of the local population speaks English fluently, so it’s important to have a tour guide who speaks English fluently. Our tour began and ended in Lima, and the remaining time was spent visiting the Sacred Valley, Cusco and Machu Picchu; a multi-modal excursion involving buses, trains, and airline flights.

Lima lies on the Pacific Ocean and is actually part of a coastal desert, which is one of three distinct regions comprising Peru. The highlands, in the Andes Mountains, where Cusco and Machu Picchu reside, and the Amazon rain forest account for most of the country. However, approximately one third of Peru’s 34 million people live in the Lima metropolitan area.

A Tour of an Old City

Our first day we toured the downtown and its surroundings and must conclude that Lima is an old, heavily blighted city suffering from old and inadequate transportation and other infrastructure. For example, inadequate road capacity causes long traffic jams at the airport. Making matters worse, the urban landscape is populated with unfinished new construction, which we were told is the result of inadequate owner capital to complete projects and their desire to reduce property taxes by not completing projects. (Apparently, owners are content to live in incomplete accommodations and are patient to prolong construction periods.)

The districts of San Isidro and Miraflores, where our hotel was located, are much more visually appealing upscale residential and shopping neighborhoods. Walking around those neighborhoods was time better spent. Peruvian people are very polite and friendly, and we were advised that all of our visits would be safe. (Peruvians seem to be civic minded and in fact our guide told us that it is mandatory that all Peruvians vote in all elections, which is strictly enforced to the point that failure to vote goes on your record and could prevent you from getting government services.)

Peru’s Economic Future will Rely on its Abundant Mineral Resources

Our guide informed us that a major economic issue moving forward is how Peru manages its abundant mineral resources and there have been attempts by foreign mining companies with the assistance of local government to displace indigenous people from their land so they can mine for precious and industrial metals. Ten years ago those were Canadian and US companies and now nearly all of that interest is coming from Chinese companies. I hope that these displaced families and the government is adequately compensated for sharing that enormous wealth, and at the very least, are required to build out road and other infrastructure that is sorely lacking and could be a major boon to this nation’s growth.

Peru has a Rich History

Peru is home to the oldest civilizations in the western hemisphere, beginning in 10,000 BC, when people migrated from Asia through the Bering Strait. Evidence of ancient civilizations date back 3,000 years BC along the coast and in the highlands. There apparently is no evidence of ancient indigenous peoples that lived in the Peruvian rain forest. The Inca civilization flourished from the 13th century until the middle of the 16th century, until the Spanish explorers arrived.

Peru’s colonial period began with the landing of Spanish explorer Francisco Pizarro in 1532 and ended with its independence in 1821. Much of the historical evidence of the Inca and other civilizations were destroyed by the Spanish. The Republic of Peru followed thereafter. The Inca Empire at one time extended well beyond its current Peru border, and included land that is today Ecuador, Bolivia, Colombia, Chile and Argentina. In those days, Chilean sea bass would probably have been called Peruvian sea bass.

There were several regime changes during that long time period and our guide noted that those transitions seemed to correspond with periods of climate change, especially extreme cases of El Nino, when harsh weather conditions threatened survival and reduced the availability of food, conditions that facilitated regime changes. (An El Nino condition exists now and so the climate we experienced was much warmer and sunnier than normally exists during Peru’s winters. Daytime temperatures in Lima approached 80 degrees during our stay.)

Lima: A Global Center of Gastronomy

During our tour of the old city we had an opportunity to meet with Ignacio Barrios, an established chef with his own TV show, and owner of restaurants there and in California. We toured a farmers market with Ignacio before moving to his Urban Kitchen, where he served us lunch after demonstrating his culinary expertise. I told Ignacio that I was skeptical about Peru's status as the world’s top culinary destination, to which he gave three reasons why it has emerged as such during this century: 1. The existence of five cuisines: Indigenous; Spanish; African; Japanese; and Chinese that are fused together to create innovative recipes using chicken, fish, seafood, pork and, yes, guinea pig; 2. The rich and unmatched variety of produce resulting from the availability of 80 % of the planet’s micro climates in Peru; (combining a cold ocean and desert land plus varied topography and rain forest gives Peru a unique environment for producing its rich variety of cheap agricultural products, including hundreds of varieties of avocados and potatoes. Avocados cost $2.50 per pound and oranges cost 10 cents each, for example.); and 3. The concerted effort of both government and private industry here over the past two decades to make cuisine a top priority and part of its national identity. In fact, there are currently 80,000 culinary students (by far the highest per capita for any nation) and numerous educational programs to support this burgeoning industry. Even The Cordon Bleu has its only school outside France in Lima, Peru.

Ignacio’s lunch introduced us to many new local fruits. He also taught us to make pisco sours, which is Peru's national drink made with brandy from distilled fresh white grape juice. He further reassured us that pisco originated in Peru even though Chileans often take credit for it.

Our lunch featured two classic Peruvian dishes; Lomo Saltado, beef with tomato and onions, and Aji de Gallina, a creamy chicken stew flavored with a mild local chili pepper. Both were excellent and consistently good everywhere we had them on our tour. (I had Lomo Saltado under a different name at the Peru Cafe in Las Vegas and I’m happy to say it was as good as the dish in Peru.)

I asked Ignacio about Peru's production of wine, coffee, and tobacco, given Peru's proximity to Chile, Colombia, Mexico, and Costa Rico, which are all well known for each of those products respectively. Ignacio explained that some wine is produced in Peru but more emphasis is on producing pisco which is a wine product; land for coffee and tobacco is better used for growing cocoa leaves, for many high priced legal and illegal uses.

I believe Peru has earned its status as the culinary capital of the world because of its innovation combining unusual produce and fusing them with one or more of its many ethnic cultures.

However, the food quality while generally fresh and wholesome, was not uniformly tasty everywhere. Most surprising, especially considering Peru’s produce diversity was that their local fruits were not very sweet, including papaya, pineapple and watermelon, and baked goods were average at best. Another surprising observation was that for a nation with so many varieties of produce, very few seemed to be used in the cuisine we had an opportunity to sample.

Later that week we lunched at Alfresco, one of Miraflores’ finest eateries, and had seafood ceviche and a fish from the Amazon called Paiche, which couldn't have been better, all for the embarrassing low price of $80 for two, including coffee, dessert, and tip!

Peruvians love our fast food establishments too and Starbucks, Kentucky Fried Chicken, and Domino's Pizza are well represented here. McDonald's was rumored to be here too, although I did not see it.

Flying Back in Time: Sacred Valley and Cusco

The second day of our tour we took an hour flight to Cusco (11,400 feet) and took a bus down to the Sacred Valley (9,000 feet) and visited an indigenous community at nearly 13,000 feet. There we were introduced at their petting zoo to the classic animals of South America, including llamas, guanacos, and the two made famous by their precious skins: alpacas and vicunas. It is interesting to note that the way to test for genuine skins is that they should feel cool to the touch, otherwise they're probably made of acrylic.

They cooked and served us lunch using a cooking technique that they've used for thousands of years: placed food in a ground pit, covering it with hot rocks and other natural vegetation insulation. After 15 minutes they presented us with river trout, chicken, and pork all sided with local vegetables ready to eat. They also prepared us three appetizers: avocado dip (to die for), mango ceviche and a fresh salsa, all unique and all very tasty. They even got us to try guinea pig, which is a staple in their diets but not a favorite of our group or, we are told, of the people of Lima. While eating they serenaded us with traditional flute music, including a song, El Condor Pasa, that Paul Simon had recorded in 1970. ( It turned out that Simon had actually heard their traditional flute music here at this location and years later acknowledged their inspiration by giving them both credit and some cash as compensation.)

Later that week at another village we had an opportunity to sample beer made from corn, very potent and tasty.

The Amazing Inca Empire

The language of the Incas is Quechua. Our guide told us that Incas were systemic thinkers and managed their societies by understanding the totality of their environments rather than isolating and analyzing individual components. This was very impressive as this was centuries before university social systems science programs were introduced toward the end of the last century. Even casual acquaintance with Inca society reveals that they understood math, science, engineering (e.g., earthquake resistant construction), medicine (natural remedies, ayahuasca and DMT), metallurgy (combining gold, copper, silver in coins), farming (terraces to maximize drainage) refrigeration (food storage) and astronomy. Our visits to various ruins made us appreciate the wonder of the Incas; they were able to cut, move and assemble stones, sometimes weighing over 100 tons, in perfect arrangements without obviously any form of machines. That apparently scared the Spanish when they arrived who assumed these amazing feats had to be the work of giants, witchcraft or some other unexplained phenomena.

We also learned that the basic philosophy of these people is to live for today, forget the past and not to worry about the future. It was also interesting to note there is apparently no divorce in their society and young couples are actually forbidden to marry unless and until they've lived together for a few years. These people also did not believe in abortion but rather had programs to place unwanted children with other families, a form of adoption. Although Incas were rumored to make human sacrifices, modern day research of their remains reveals that those “sacrifices” who were put to death were facing terminal illnesses, so actually a form of euthanasia.

In villages there are no police and village elders are charged with enforcing their laws and rules. It is interesting to note that the famous rapper Tupac Amaru Shakur actually took his moniker from the last emperor of the Inca Empire, named Tupac Amaru. “Tupac” means noble or royal in the indigenous language. “Amaru” is a serpent that lives underground and represents knowledge and cosmic renewal.

The Incas had very modern ideas about education and medicine. It should come as no surprise that they were big believers in herbal and natural remedies. For example, our guide advised us that the Incas had identified two strains of potatoes, one to lessen and the second to raise libido, which were used when men went off to war and when they were trying to start families, respectively. And, beyond the use of cocoa leaves used for a variety of remedies, ayahuasca with its DMT, is a psychedelic drug (illegal in most countries) responsible for altering the human state of consciousness.

A Visit to Inca Ruins

We visited three ruins Ollantaytambo, Machu Picchu, and Sacsayhuaman. We took the Vistadome train to Machu Picchu which is the most elaborate and well-known of the ruins. Machu Picchu, which means “old mountain,” is by far the crown jewel of the Inca Empire and considered one of the seven wonders of the modern world. (Our guide pronounced Picchu “pick chu” instead of “pee chu” because the latter apparently sounds like the indigenous word for reproductive male organ.)

Before Machu Picchu, we toured another ruin, named for the peregrine falcon, which is credited for leading ancient indigenous people down from the Yukon down along the west coast of North America to Peru. DNA analysis of ancient remains actually show similarities between Incas and USA’s own such as Hopi and Apache Indians, which today populate the American southwest.

Machu Picchu

Machu Picchu came late in the Inca civilization and was built in the 15th century. It became publicly known in 1911 after its discovery by Hiram Bingham, but unfortunately not much is known about how it was built because, as previously mentioned, the Spanish who arrived in mid 1500s did their best to destroy all Inca records as they believed the amazing Inca achievements were not humanly possible.

Our tour took the second circuit, by far the most comprehensive and most popular of the 3 options available. Our guide told us it takes months ahead to reserve and takes 2.5 hours to complete. Machu Picchu has 5,000 visitors per day so we had plenty of folks along side us as we navigated up and down a treacherous narrow path composed of irregular shaped stones, often uneven steps with virtually no hand railings for support. So by now it should be apparent that this is a physically demanding activity, one which should only be recommended for the most physically inclined among us. I am glad I did, but will not dare do it again!

In passing, our guide mentioned that someone using an umbrella while visiting Machu Picchu was struck by lightening in the past so umbrellas are no longer allowed on site. I CANNOT IMAGINE TOURING THIS SITE IN THE RAIN; RAIN WOULD MAKE THIS ALREADY TREACHEROUS PATH COMPLETELY UNSAFE TO NAVIGATE!!

After Machu Picchu, we toured the ancient city of Cusco, the 5th highest city in the world at more than 11,400 feet with a population of 600,000, with many Inca ruins and Spanish catholic cathedrals. Of particular note was a painting of the last supper with a roasted guinea pig shown as the main course hanging in Cusco’s most important cathedral located in the main square. We visited a highly touted coffee Cafe, called Three Monkeys, that allows you to order a variety of coffee drinks and choose the altitude at which the coffee was grown. Good coffee, but come on!

Hotels in Peru are not Fancy but Adequate for an Overnight Stay

The hotel accommodations for our visit were clearly not a high point of our trip. Souma, in Miraflores, the luxury tourist location in Lima was considered 5 star, but clearly would not have that status in the USA. By comparison, the hotel El Mapi in Machu Picchu, rated 4 stars, had good food but austere accommodations and faulty plumbing and clearly taught us that Peruvians have few safety standards compared with us in the USA. To get to and inside that hotel many stairs needed (many without railings) to be traversed to access rooms. Even the main restaurant was laid out on several levels requiring diners carrying plates to navigate up and down stairs. Clearly Peru has no concept of what complying with the American Disabilities Act (ADA) means. (the ADA, is a US law enacted in 1990, that assures accessibility for people with disabilities in public spaces.) Uneven roads and steps virtually everywhere in this country makes you wonder whether any facilities have liability insurance. Generally, hotel physical facilities and room maintenance are sorely lacking, but in some cases are compensated for with attentive service and excellent food.

We also stayed at a Sonesta posada, a reconfigured monastery, which obviously had austere accommodations, but good food, and was rated 3 stars. In Cusco we stayed at Novotel, a restored colonial mansion from the 16th century, which was rated 4 stars but at least had the best accommodations and the best food of the four hotels used for our tour.

Some tourists like to live dangerously and for those there is what our guide called the “scariest hotel in the world”: Skylodge Adventure suites, located in the Sacred Valley, Cusco, Peru, where lodgers pay $500 per night for the privilege of climbing 1,200 ft to access their room-capsules suspended with cables; that cost includes transportation to and from the hotel, guides, a gourmet dinner and breakfast; and departure egress via a zip line.

This Tour is Challenging

By now it should be apparent that I have mixed feelings about our trip, but I am unequivocal that our tour guide, Daniel Pelaez made this worthwhile. Danny was born and raised in Cusco and has been doing this for 25 years and not only handled all of our logistical and administrative needs but continually taught us about the ancient and current day attributes about Inca culture, customs and philosophy. Danny is an excellent ambassador for his people and I cannot imagine getting as much out of this tour with any other guide.

I estimate that at least half of the seven days dedicated to this tour was travel from one place to another. Without our guide to teach and entertain us during that travel I estimate two-thirds of our time would have been wasted. I am not suggesting our trip could have been more efficient but you need to be aware of these facts, and also know that it took most of our group a full day to arrive here and many came a day early to make sure we got here on time. And travel from many US cities requires getting up in the middle of the night to catch connector flights and returning on a red eye. That’s a lot of travel and a lot of downtime, and in my case gave me a lot of time to take notes and write this long review. I’ll let you decide whether it was for better or worse!

This trip has been more like a camping trip than a traditional sightseeing tour. Starting daily before dawn, hiking on horrible steep cobble stone roads, bouncing around on buses on poor roads, having to change vehicles in order to access narrow roads, carrying a back pack all day, having to prepare for all weather contingencies, making preparations for too much sun and potential bug bites, and with no access to decent restroom facilities. (Restrooms often lacked toilet seats and paper.) Unable to drink tap water we had to not only carry but constantly seek sources to refill our bottles. (We were advised not to drink tap water and purified water was made available to us in many places including hotels free of charge.)

This was more like an astronauts’ training regimen than a vacation. Dealing with a high altitude and the burden of repeatedly needing to show passports just added to the stress of the situation. Travel agents in their marketing brochures could do better in advising customers about the harsh realities of taking this trip. I remember touring Chile a decade ago and having the same thought about our tour company at that time!

I suppose the considerable time commitment and ordeal of making this trip should serve to remind us of just how difficult life was for the ancient indigenous people and should make their achievements ever more amazing to us.

Customer Service from the Airline Industry Continues to Decline

Traveling to and from Peru is another story. I have complained extensively about the decline in airline service for several years, but there are some new points I'd like to make here.

Service from the airline industry continues to decline. First, who’s idea was it to make airplane seats and restrooms smaller? The human race has steadily gotten taller and heavier for decades. Our automobiles reflect it, our homes reflect it, and our clothes reflect it. How can the airline industry expect smaller accommodations on their planes to deliver a comfortable and quality experience?

Second, Most airlines have strict rules about carry-on luggage but then fail to enforce them, and even reward violators with free checked baggage if their luggage doesn’t fit in the cabin. On all four legs of our flights to and from Peru we watched many passengers bring at least two huge carry-ons and a huge personal item when they announced that only one carry on and one personal item per person would be permitted. Making matters worse, flight attendants on two flights tried to make us put our small bags under our seats to make room for all the violators. Outrageous!

Three, I remember a time when traveling internationally airlines would serve meals showcasing the cuisine of the destination. I remember being introduced to Malbec wine during a flight to Argentina. During our four flights to and from Peru, all of which were in excess of five hours, we were served only two pathetic meals on the international legs, cold stale tasteless sandwiches. On the other two transcontinental legs we were served drinks and awful cookies.

Finally, when was the last time you visited an airport that wasn’t under construction or you could clearly hear an announcement over an airport intercom? And the signage and personnel advising passengers about immigration and other matters is sorely lacking. I'll leave it at that as I have ranted about poor airline travel for years and have lamented that the Golden age of travel died with 9-11.

A Challenging but Worthwhile Tour

The bottom line, the tour we took can be worthwhile and enlightening but be aware it will require a substantial time, mental and physical commitment on your part if you dare to do it. Whatever else you do, make sure you attach yourself to an excellent tour guide capable of not only handling your administrative and logistical needs but someone who can help you appreciate this amazing ancient civilization.

The Truth About Luxury High Rise Condominium Living in Las Vegas

This article is an attempt to dispel two misconceptions about high rise condominium (condo) living: first, that high rise condos can easily be compared to investing and living in other formats, most notably single family homes (e.g., how do you compare a high rise loaded with on-site amenities with a single family home with none?); and second, comparisons can be easily drawn between high rise management and managing other residential formats (e.g., how do you compare managing complicated high rises containing common area amenities and resident shared building systems (e.g., AC and plumbing) with stand alone single family communities with few shared facilities?). The first point addresses recent owner tendencies to second guess the wisdom of their condo purchases by comparing them with other residential formats, an acknowledgment that the Las Vegas high rise condo market has softened considerably during the past five years. The second point is particularly noteworthy as it has become apparent, at least in Las Vegas, that competent high rise management is becoming increasingly difficult to find, hire and retain.

The investment community always viewed residential high rise condos as second class investments relative to single family homes, but it’s not until you live there that you truly understand why. It was no surprise to me that most condo owners don’t fully appreciate the investment or the daily living differences, but I was shocked to recently discover that many professional HOA managers, at least in Las Vegas, either don’t understand or are unwilling to admit that there are many and profound challenges posed by managing high rises that just don’t exist elsewhere. Professional HOA managers who are skeptical of those differences should consult with mortgage lenders and other investors who routinely view high rise condos as more complicated, riskier and consequently worthy of scrutiny, conservative appraisals and, as a result, more restrictive underwriting.

High rise living is easy but not for everyone.

Don’t misunderstand me, high rise condo living is ecologically friendly, requires minimal effort on the part of condo owners to maintain (other than their own condos) and can provide very cost effective living, especially if owners and tenants take full advantage of amenities and common areas typically provided, such as pools, gyms, business centers, game and theater rooms, not to mention TV/internet service and 24 hour security and concierge services. However, living here means forfeiting some freedom and some privacy and as investments they are riskier than other residential formats.

High rise condos are typically managed by homeowner associations (HOAs) that govern according to a set of community rules and regulations called CC&Rs (which stand for covenants, conditions and restrictions) as well as statewide and local laws. HOAs are typically managed by a Board of Directors who are owners that have been elected to serve as fiduciaries for their communities. The Board in the best cases are honest, well-intentioned individuals with common business sense that stand ready to monitor their managers and guide the strategic vision of their communities. In Las Vegas, high rise HOAs typically contract with professional HOA/Property Managers who are experts able to handle routine daily operations and to navigate the many issues that inevitably arise in high rises where owners share many common elements with their neighbors. Owners are to some extent restricted in their use of their condos by those two governing bodies and that set of laws, rules and regulations. Single family homes, even as part of an HOA, have far fewer restrictions on their use.

High rises can be complicated investments

When you buy a high rise condo you become living and financial partners with all the owners in your community. You don’t know those other owners and ownership will change over time with sellers departing and new buyers coming into the mix. In addition to agreeing to comply with your high rise’s CC&Rs, you agree to pay a monthly HOA assessment that usually increases annually, and agree to pay into a reserve fund to make future disbursements to replace physical elements that will depreciate and wear out over time. Reserve funds in single family HOAs are much less significant and complicated.

Unlike single family homes where mortgage lenders inspect your home and assess your (the borrower’s) financial condition, mortgage lenders to prospective high rise condo buyers are compelled to consider you and your entire community. Lenders need to become comfortable with several factors related to your high rise’s physical and ownership attributes that they believe will affect their ability to get paid back at mortgage maturity, including your HOA’s budget and reserve fund, community-wide insurance premiums, pending owner litigation, delinquencies and bankruptcies. Lenders will also want to know the ratio of owner-occupants to renters, and may be concerned if there are too many renters.

All of those factors will bear on whether Federal government lending agencies like Fannie Mae and Freddie Mac will back those mortgages, thereby making them willing to buy those mortgages from your lender. This is important to your lender who will then be able to redeploy that capital from the sale of those loans to make other loans. All of those factors will affect the value of your condo (i.e., the lender’s collateral for your loan). All of that means your high rise mortgage is likely to take longer to secure, require a larger down payment by you (20-30% of the purchase price as compared to 5-10% for single family homes) and incur a higher mortgage rate (at least 0.75 to 1.5% higher), all of which will weigh heavily against the value of your condo.

High rise management must be constant and tenacious

Modern high rises are complicated physical structures with mechanical systems that are shared by residents and common areas, including common plumbing, air conditioning, and shared parking structures, all of which have implications for fire and safety issues and security. Given that level of complexity and knowing how important the physical integrity of your high rise is to not only your living conditions but to your mortgage lender, you should expect your professional manager to be hands on and proactive in anticipating challenges that may arise.

General managers need to be hands on and proactive

High rise HOA general managers need to be visible in the community, make regular on-site inspections and engage with owners and residents on a regular basis. In other words exceed the passive activities of monitoring and administering necessary paperwork. They need to be experienced managers of inter-owner issues, which can be numerous and confrontational due to the close proximity of neighbors in high rises. At the same time, these managers need to supervise cleaning staff, security personnel, landscaping contractors on a daily basis as well as elevator and other contractors as needed. Lastly, general managers need to seek ways to improve operational efficiency by using new technologies and to address the constantly evolving and encroaching regulatory environment. On that last point, high rises need to have emergency plans in place in the event of a fire or some other building-wide disaster, situations which obviously don’t exist in single family communities.

All of these tasks need to be done while managers watch the bottom line. Current HOA assessments in Las Vegas high rises have increased sharply during the past five years, approaching $1.00 per square foot annually on average spurred by malfunctioning supply chains that followed the Covid 19 epidemic and hastened by an increasing general inflation rate; huge increases in insurance premiums and electricity costs have led those increases in many cases.

High rise engineers need to be expert and vigilant

High rise building engineers need to be experienced with today’s sophisticated building systems (e.g., HVAC, plumbing, sprinklers and elevators) and should monitor building operations daily and stand ready to undertake small, minor repairs. They also must be advocates for their building when negotiating with third party contractors to ensure the hiring of the best and most cost effective contractors to undertake larger more complicated projects. Along with the general manager, building engineers need to focus on strategies to keep those cost increases in the future to a minimum.

Moreover, building engineers should periodically review reserve study requirements to make sure they accurately reflect the current needs of the property. Since the collapse of a residential high rise near Miami, Florida five years ago and the fact that dozens more high rises built there within the last two decades appear to be sinking, it should be a no-brainer that top quality engineers should be part of the management staff. (Sinking is probably less of an issue in Las Vegas, but earthquakes, which have increased in frequency here lately, should make engineering vigilance a top priority.)

The high rise management industry needs to improve

In conclusion, the high rise HOA professional management community needs to address the apparent dearth of management talent that exists in Las Vegas and nationally and needs to become proactive in retaining and training qualified personnel to serve that market. Future high rise condo buyers need to weigh the challenges, shortcomings and risks as well as the advantages of buying into this otherwise attractive lifestyle.

Panama: Where the Atlantic and Pacific Oceans Meet

Why Panama? Why now? I wish I had a more profound reason but the simple truth is it was time for our annual winter beach vacation and Panama offered a non-stop flight from Las Vegas which got us there in 6 hours, even if it did mean departing at 1am. We thought we were going to El Salvador but discovered at the last minute that its non-stop flights are active only in summer. 

All I knew about Panama was its famous Canal, Panama hats (which are actually made in Ecuador), and that Panama is a global banking center, owing to its front row seat for global shipping and its favorable tax status.

We stayed at the 611-room Westin Playa Bonita which is on the beach facing the Pacific Ocean, a secluded resort 20 miles from the airport and 10 miles from Panama City. Upon arrival we realized we had added to our pantheon of tourist hoaxes; the “playa” or “beach” was barely and the “bonita” or “beautiful” descriptor was a bold faced lie!! In fact, at low tide, the entire ocean recedes several hundred yards leaving nothing but an unsightly rock-laden bog! Lucky the 4 enormous swimming pools compensate for that shortcoming, but this place now joins the company of Rome’s Circus Maximus (a flat ordinary lawn) and the ancient city ruins at Guatemala’s Tikal (which is basically a couple of man-made structures protruding above ground). I did manage to soak in the ocean at high tide so I made the best of the situation. To reach the hotel we crossed the Bridge of the Americas which passes over the Panama Canal and is part of the 20,000 mile Pan American Highway that runs from Alaska to Chile and across to Argentina. We were generally pleased with the quality of our accommodations at Westin, although we wished they lived up to their claim that Wifi was available throughout the hotel.

Panama's formation 10-15 million years ago is considered a pivotal event in earth history, creating a land barrier that enabled the gulf stream, enabled ice ages to form and changed ocean circulation patterns. The word “panama” is widely believed to be an indigenous peoples’ word that means an abundance of fish, although some believe it refers to an abundance of rain or butterflies. One fact is certain: the place does have an abundance of all of those things!

The first European to reach the Pacific Ocean was Vasco Nunez de Balboa who came through Panama in the early 1500s. That is why the local currency is called the Balboa, even though it is completely invisible except for small denomination coins that are less than a dollar. The Balboa is equal to the US dollar which is Panama’s currency. (Apparently, the only reason the Balboa was created in 1904 was to assert its independence from Colombia.)

From the 1500s to 1800s, Panama functioned as a transit point for wealth, particularly Inca gold and silver, which was transported from South America to Europe. That period saw the growth of colonial cities and intense pirate activity, most notably the sacking of old Panama by Captain Morgan in 1671. (Yes, that's the same  Captain Morgan shown on the bottle of spiced rum!)

Today Panama is a unique blend of Central and South America; its history is mostly as part of Spain (until 1821) and thereafter part of Colombia until it declared independence in 1903. Its a culture that identifies more with other Central  American and the Caribbean countries than it does with Colombia.

Panama's population grew greatly during mass immigration, first in the 1850s to build a railroad and again in 1904 to build the Canal. Upon completion, the Canal became known as the eighth wonder of the man-made world. Our guide was quick to point out that, before the Canal, Panama had still been the hub of Atlantic-Pacific commercial activity, which used its transcontinental railroad to move freight across its narrow isthmus. 

Panama's climate is tropical with year round temperatures ranging 70s and 90s, with slightly higher temperatures  and greater humidity in summer months. Its annual rainfall is nearly 14 feet,  the second most in the world after neighboring Colombia.

We visited Panama City and the Canal, which are musts if you visit this country; the former to appreciate its rich history and the latter to observe today's substantial economy here. The highlight of the Canal visit was an IMAX film narrated by Morgan Freeman. The construction of the Canal was first attempted by a Frenchman named Lessup because of his success in building the Suez Canal decades earlier, but he was unsuccessful here. In 1904, the US. took control of the project and after 10 years the Canal was completed in 1914. A recent upgrade and expansion occurred earlier this century and was completed in 2016. It's hard to overstate the scale and scope of this project or the shipping activity it enables, but know that skyscraper-sized ships reserve their place 2 years in advance and take 36  hours to gain access to the Canal and 11 hours to actually navigate the 50 mile stretch. From our hotel looking out to the horizon we saw ships queuing as far as we could see. (Worth noting, especially for my Las Vegas neighbors, more than 100 years ago this engineering marvel and ultimate plumbing project succeeded, but getting  hot water in our recently built brand name high-rise hotel was an issue during our stay!)

Before our trip we became aware that Panama had become a retirement destination for some retiring Americans, and we noted a luxury high-rise condominium (Casa Bonita) adjacent to our hotel and renderings for additional high-rise residences that are planned for construction nearby within the next couple  of years.

Part of the attraction is apparently the fact that Panama is known as a long-standing tax haven with strict banking secrecy and a territorial tax system, exempting from tax all income generated outside the country. The country also offers attractive tax efficient visa options for retirees and expatriates. 

25,000 Americans currently live in Panama where it reportedly costs $1,500 to $3,000 per month to live, including rent. Americans with a lifetime  pension of at least $1,000 per month are eligible for residency and significant discounts on utilities, entertainment and healthcare. Those same reports also claim that it is impossible for hurricanes to strike Panama, because of its proximity to the equator, but recent history shows that to be a false claim, so anyone considering a move here needs to do a lot of due diligence!! 

Panama has a population of 4.5 million, with approximately 40 percent living in Panama  City. 80 percent of this service-based economy consists of logistics and shipping (the Canal), international banking  and tourism. Even though the Canal directly accounts for only 5 percent of Panama's GDP, the Canal is clearly the driving force for the rest of the economy due to local services required to maintain canal activity. The result is an economy among the wealthiest in Latin America. 

Panama City has a very impressive skyline mostly of international bank buildings, especially for such a small city. More surprising, given its international business and close relationship with the US and our dollar, is that only 15% of the population speaks English. Everyone speaks Spanish, and 4% speak French.

The future expansion of this economy is likely to depend on the construction of pipeline infrastructure to enable the transport of oil and natural gas to Central America  and South America. 

Panamanians eat lots of fish from both the Atlantic and Pacific, especially sea bass, red snapper, tuna and ceviche. I ate fish every day and except  for our “day trip from hell” you will read about later it was all the freshest  I have ever eaten. Chicken, rice, corn, plantains, yucca and coconut are also prevalent in their diets and the cuisine blends Spanish, African, Amerindian and Afro-Antillean flavors; generally more savory than spicy relying on garlic, onion and cilantro for flavor. By the way, there wasn't a taco or burrito insight!

It seems everywhere we go we find countries touting the quality of their coffee and Panama is no exception. We’ve all heard about the great coffees from Brazil, Colombia, Ethiopia, Indonesia, Hawaii, Guatemala, Vietnam and so forth. But did you know that Panama’s Geisha-brand coffee is among the most expensive in the world and was priced at auction last year at nearly $14,000 per pound for the best grade? Lesser grades sell for up to $250 per pound and single cups in specialty cafes can cost $100. We tried their lesser priced variety and it seemed lighter and tastier than most, but probably not worth the stated premium price. Other good Panamanian brands are Palo Alto and Duran.

We took a daylong trip to San Blas, which is a collection of islands on the Caribbean (Atlantic) side of Panama to visit  the autochthonous (ie, fancy word for indigenous you’re unlikely to ever hear again!) Guna people and to swim. Imagine that, a chance to swim in both the Atlantic and Pacific Oceans on the same day! By the way, Panama is also the only place on earth where you can see the sun rise over the Pacific and set in the Atlantic (Caribbean), and all in the same day!!

Traveling through the San Blas mountains was an hour long roller-coaster ride in a 4×4 along a steep, narrow, winding road with ups and downs I estimate exceeded 30 degrees in many cases. Our driver was superb and made the trip in half the time less familiar and less skilled drivers might take. Unsurprisingly, to say Panamanian drivers are aggressive is an understatement. We experienced several near accidents during  that day.

During our mountain trek I noted several houses with a swastika insignia on red and yellow flags and wondered if we had wandered into the local chapter of the Aryan brotherhood. In fact, it is the flag of the Guna people and represents their 1925 revolution and subsequent independence from colonialism. The swastika is an ancient cultural symbol  that may symbolize the octopus that created the world. Whew! Never heard that one before but that interpretation sounded much less threatening than my original supposition. 

You should be aware that we have taken many tours of this kind in Europe, Central and South America and despite the great ride in the mountains, this San Blas trip was the worst we ever experienced in many ways; it was unsafe, unsanitary, uncomfortable, unorganized, and worst of all, noneducational; its purpose  was to explore the Guna people, yet we learned nothing about them on this trip.

The trip ran 16 hours, although it was planned as a 12 to 14 hour trip. Travel to and from accounted for 8 hours and at least another 3 hours was wasted time waiting. By the time we arrived at the harbor, which is a filthy, unsanitary and a potentially hazardous environment, we were completely disgusted.

We spent 16 hours in extreme heat without access to basic toilet and wash facilities, or even a place to change clothes for bathing. (Papillion had better facilities on Devil's Island.) The agenda changed throughout the day, and were kept in the dark by the guides who barely spoke English and offered no insight into the day’s attractions; we visited  4 islands instead of the 2 indicated in the brochure, and ended up departing at 5pm instead of the stated 3pm.

The breakfast was barely half a sandwich with a can of pear juice, given to us without a place to consume it; the lunch bears the distinction of being the worst meal we've eaten in Panama, petrified fish and dried up plantains; a major disappointment considering that all of the fish we've had here is the best we've had anywhere in the world.

In all, our week in Panama was a good trip, educational and relaxing. We never knew Panama featured so prominently in our hemisphere. We encourage all to visit but know that travel to Central and South America is not comparable to European travel. English is not prevalent, communication is not robust, clear, timely and is always subject to change, and tourism is not a well-honed industry. Reputable guided tours are a must and know that some of the tours will involve risks and discomforts that are unheard of in the US or Europe. Ask many questions!