Land Shortage: A Major Obstacle to Lowering Housing Prices in Alicante Province

Land scarcity is one of the major challenges facing the housing sector. The lack of plots available at competitive prices for building properties is hindering the decrease in housing prices, which are soaring in the province of Alicante.

This was one of the main conclusions reached by real estate and construction experts during a breakfast hosted by the TodoAlicante newspaper, held in the cultural area of El Corte Inglés. Participants included Lucas Serrano, Director of Communication and Corporate Responsibility at TM Real Estate Group; José Antonio Izquierdo, General Director of Alibuilding; Emilio Vicedo, President of the Alicante College of Architects; and Rosa Vinal, Secretary General of the Federation of Public Works of the Province of Alicante (FOPA).

The experts discussed the main issues facing the housing sector. In this regard, Serrano from TM Real Estate Group called for "decisive steps towards public-private collaboration," asserting that it is necessary to unlock real solutions. He highlighted the "scarcity of available land, which is strangling the possibilities for housing at adequate and affordable prices."

He emphasized the bureaucracy "that is prolonging all these processes." José Antonio Izquierdo from Alibuilding aligned with this view, acknowledging the "land problem" and stating that "there are no measures to allow more housing in cities."

Izquierdo criticized the "land modification" and proposed various alternatives to the lack of new construction, such as "using office buildings for housing or public buildings for mixed or affordable housing." These measures are necessary to increase the housing stock, as "we are coming from an expansive cycle and everything indicates that the trend will continue if interest rates keep falling," he noted, reminding that household growth "is outpacing new construction permits."

In this context, Emilio Vicedo, President of the College of Architects, demands "a shock plan" and asserts that the solution "must come from the developers." Regarding the land issue, he highlights the difficulty of "balancing sustainable growth, as European regulations require city consolidation before expansion." Vicedo states that land reform "is essential" and criticizes the administration: "I do not agree with the privatization of urban planning, but it is the only solution available right now."

The problems with housing prices are a major hurdle affecting the population. Rosa Vinal, Secretary General of the Federation of Public Works of the Province of Alicante (FOPA), insists that "not everyone can own a home, so they resort to renting," and highlights public-private initiatives like the Plan Vive, which is "heading in the right direction." However, the situation returns to square one due to the "lack of quality land with attractive services."

Vinal emphasizes that prices "are not reaching the standards of housing value" and criticizes the excessive bureaucracy and administrative procedures in the construction sector. This issue is shared by all four speakers, who see it as one of the major burdens on the housing sector.