Alhaurín de la Torre giving land away

Alhaurín de la Torre is giving away a large plot of land for absolutely free for a developer to build subsidised homes.

The council has not been able to shift the 2,109.83-square-metre plot for some time and is lacking affordable, price-controlled housing for its citizens. They have just relaunched a tender for the land in Torrealquería, valued at €600,000, after the initial February bidding round ended without takers. The new price is? Zero euros.

The site is large enough to accommodate about 40 VPOs (subsidised homes). The winning developer will have control of the land for the following 75 years without having to pay any municipal taxes related to construction. After that, it will revert to public ownership. VPOs (Viviendas de protección oficial) are properties that have their value controlled by legislation so that they cannot be speculated upon, and maintain an affordable price for lower income residents.

The initiative, first opened on February 4 with offers due by mid-March, drew interest from three companies, but, in the end, none submitted bids, according to the councillor in charge of leasing the land, Abel Perea, who said, ‘It’s hard to get cheaper than free.’ A spokesperson for Malaga’s builders and developers explained why companies were hesitant to bid: high investment costs, and uncertain returns, deterred them, even with incentives. A similar project in Málaga capital, backed by €50,000-per-home European grants, only attracted two bidders.

The council is trying to meet housing needs in the face of rising construction costs and stagnant building sectors in the region, a trend that has been mirrored by other Greater Malaga towns. After this latest setback, Alhaurín de la Torre plans to republish the tender, hoping to draw companies willing to bet on the long-term rental market. For now, the vision of affordable homes in the Torrealquería area of town remains on hold.