Property Land vs. Long Lease in Aruba: Which Should You Buy?

If you've browsed Aruba listings, you've seen every property tagged one of two ways: property land or long lease. And if you're like most buyers from the US or Canada, your instinct says: I want to own it outright — skip the lease. Here's the thing. In Aruba, that instinct can quietly cost you the perfect home.

What each one means.

Property land is owned outright, in perpetuity — full rights to use, develop, and transfer. Long lease, or erfpacht, is land owned by the State and leased to you, typically for a long fixed term (often cited as around 60 years), for an annual payment called the canon — commonly around 6% of the ground value; confirm the exact term and canon for any specific property. The arrangement is set in a notarial deed, and terms are reviewed over the life of the lease.

Why the difference matters less than you'd expect.

A long-lease holder in good standing has rights very similar to an outright owner — to use, develop, transfer, and sell. Because property land is scarce and long lease is common, prices for the two are broadly similar; what really drives value is location and potential use. In fact, much of Aruba's highest-value real estate — hotels, the airport, the refinery — sits on long lease land.

What to actually check.

If a property is long lease, ask two questions: how many years remain on the term, and what is the current canon? Then have your lawyer confirm the lease is in good standing as part of due diligence. Do that, and a long-lease listing can be every bit as sound as property land.

The takeaway.

Judge a property on location, condition, price, and the standing of the lease — not on the label. You may find your dream home was on the "wrong" side of a distinction that, in Aruba, barely matters.