Residential property construction in Ibiza stands at less than 3% of peak
Official figures out this month show that in the first half of 2013, only 43 homes were given the go-ahead for construction in Ibiza. This is 50% lower than 2012 and represents less than 3% of the 1,501 housing units that were given the green light at the height of the boom in 2006.
Daniel Chavarria Waschke, Managing Director of Balearics Sotheby’s International Realty with offices in Mallorca and Ibiza, comments, “The crazy building frenzy of the peak is over, partly because bank lending is virtually nonexistent and partly because attitudes have changed towards construction. Many people are choosing to refurbish existing homes rather than build from scratch and unnecessarily urbanise more of the landscape. This is very healthy in my opinion and will help preserve the Island’s natural beauty and desirability.”
The Balearics College of Architects say that up to July, of the 250 projects approved across the Islands of Mallorca, Menorca, Ibiza and Formentera, 70% are refurbishments versus just 40% in 2012. There is also more activity in the construction sector with far fewer companies going bust but instead gaining new enquiries and income streams.
Daniel continues, “One of the rare few to be given a green light for construction was Cala Conta, a gated condominium resort on Ibiza’s western coastline within 500 metres of fantastic beaches. Here the focus is on five-star services and security alongside a high level of environmental awareness. The 24 hour concierge handles everything from housekeeping to yacht charter whilst there is an on-site wellness centre with Spa and gymnasium. Undoubtedly the developer’s commitment to rainwater recycling, use of native plants and building materials and geothermal energy would have helped smooth the planning application process in such an unspoilt part of the Island.”
Cala Conta has been very popular with Ibiza Sotheby’s International Realty’s clients and, with more than half the project now sold, the developer has been confident to put prices up by 15%.
At Cala Conta the 32 villas come in three designs ranging from 559.78m² built area (to include four or five bedrooms, a garage, patio and a bright basement) up to a two storey four or five bedroom home with 661.91m² built area. All have private swimming pools. Prices range from 1.95 million euros (approx 1.67 million GBP) to 3.3 million euros (approx 2.83 million GBP).
Balearics Sotheby’s International Realty’s Half Year Market Reviews for Ibiza and Mallorca are available on request.
For further information, visit ibiza-sothebysrealty.com.
