Over the past 25 years, Panama City has experienced a remarkable expansion of its urban footprint. The reversion of the former Canal Zone to Panamanian control, state policies encouraging both national and international private investment, changes in zoning and land-use regulations, and the population increase in the metropolitan area have all been decisive factors behind this rapid growth.

Historically, this expansion was shaped by the political boundary that separated the city from the U.S.-controlled enclave, limiting longitudinal growth toward the east and concentrating it along the coastline of the Bay of Panama and certain areas in the northern and western parts of the metropolitan territory. This condition produced a relatively extensive city compared to other capitals in the region, such as Bogotá or Santiago de Chile. For context: the distance from Nuevo Tocumen to La Chorrera is approximately 60 km in a straight line and nearly 80 km by road, while Bogotá spans 45 km linearly and almost 60 km by road between its farthest points. Comparing this extension with population density per square kilometer reveals that Panama City, despite its size, is notably low-density in contrast to a compact and concentrated Bogotá.

This pattern produces an urban footprint that is costly and unsustainable: the farther urban nodes spread from the center, the greater the investment required in public infrastructure—transportation networks, water and sewage systems, electrical lines, urban amenities, and basic services. The result is a fragmented, dispersed, low-density city with limited land-use efficiency, reduced quality of life for its residents, and a significant impact on the tropical rainforest ecosystem that surrounds it.

In the face of climate change, asking ourselves how we want the city to grow is the first step toward envisioning more sustainable and resilient urban development. Today, there are models that promote growth aligned with environmental, social, and economic realities. Strategies such as the “15-minute city,” which allows daily needs to be met on foot or by bicycle; the promotion of mixed-use zoning in central areas to foster sustainable socioeconomic development; investment in high-quality public spaces; and the expansion of efficient public transportation are examples of measures capable of transforming the city. However, their implementation requires political will, private investment, and social commitment to develop housing aligned with these principles.

Panama City offers opportunities that deserve attention. A clear example is the urban core. Neighborhoods such as Calidonia, La Exposición, and Bella Vista Viejo have been progressively vacated despite their strategic location. Expansion toward the peripheries, rising land values, the deterioration of the urban fabric, and the occupation of large plots by government entities have turned these districts into “ghost neighborhoods”: active during the day as workplaces, yet deserted and unsafe at night. Redirecting attention to these areas—through sustainable housing projects supported by public investment and social engagement—could foster a more integrated, safer, and more resilient city.

There are relevant architectural precedents to consider. The work of French architects Lacaton & Vassal, recipients of the 2021 Pritzker Prize, focuses on transforming, reusing, and retrofitting existing spaces by leveraging local resources and limited budgets, always prioritizing people and communities. Projects such as the Grand Parc Bordeaux housing units or the Palais de Tokyo in Paris demonstrate how minimal intervention and the creative reuse of space can improve quality of life without demolishing existing structures.

Adapting approaches like those of Lacaton & Vassal to abandoned central areas of Panama City could help densify uninhabited neighborhoods, curb excessive expansion, reduce the housing deficit, and enhance residents’ quality of life—while respecting the city’s identity as a tropical, coastal metropolis. This model shows that it is possible to integrate social well-being, local economies, and urban investment in a sustainable and replicable way, building a more human and resilient city for future generations.