The premier announced the transfer of two million square metres of land to a newly created public company to construct “thousands and thousands” of affordable social housing units.
Social housing makes up only 2.5% of Spain’s total stock, whereas in EU peers France and the Netherlands it is 14% and 34% respectively, Sanchez said.
The premier announced higher taxes and tighter regulation for tourist apartments, often blamed for reducing the availability of residential properties and causing rents to spike in the world’s second most-visited country.
“It is not fair that those who own three, four, five apartments for short-term rental pay less tax than hotels,” Sanchez said.
Sanchez also promised a tax exemption for owners who rent their properties according to the official index, even in areas not declared under market tension.
His government passed a flagship housing law in 2023 aiming to boost the construction of social housing, cap rents in areas under the greatest market pressure and inflict penalties on owners who leave their properties unoccupied.
But rents have continued to climb, increasing by 11% in 2024 according to real estate portal Idealista.
© Agence France-Presse
