Category Archives: Investment Opportunity

Spanish Government Announce Plans To Grant Residency Permits For Real Estate Investors.

The Spanish media has today reported Government plans to grant permanent residence permits to non-EU citizens who invest in Spanish property worth over €160,000. The Government are still reviewing how exactly the changes will be implemented but it is believed that Spanish Immigration Law will be amended by the end of the year, in line with similar measures in Portugal.

The measures are aimed at reactivating foreign demand and reducing Spain’s huge surplus of housing stock. They will be focused initially at the Russian and Asian markets whose interest in Spanish property has been steadily rising. The proposal is certain to attract great interest from these and many other emerging market countries as Spanish residency is subject to the Schengen agreement, which allows citizens to move freely around the 25-nation Schengen zone.

There is no confirmation yet as to the exact form that the measures may take, although it is expected that the law will come into force before the end of the year. It has been suggested that there will be a minimum required investment of approximately €160,000, the residency permit will remain valid even if the holder leaves the country as long as ownership of the assets is retained and the residency permit should apply to first degree relatives.
“We have been pushing for this law change for the last 12 months and are delighted to hear that it could soon be in force” commented Alexander Vaughan, Director of Lucas Fox. “We feel confident that these measures will go a long way to reactivate the sale of the Spanish property market on the Costas and help to clear the stock of properties.”

“We are primarily focused on international clients investing in Spain and over the last few years have invested a lot in strengthening our position within emerging markets such as Russia and China. Also we are currently in discussions with Spanish banks to help them sell their properties to the international market. As a result we are well placed to assist those looking to take advantage of these proposed legislative changes. Our dedicated international team have experience of both domestic markets and the Spanish market and understand the potential difficulties facing foreign investors and how we can overcome them.”

The Lucas Fox guide to Sant Just Desvern, Barcelona

The attractive town of Sant Just Desvern is located to the west of Barcelona and stands out for its extensive gardened areas and its architecture and layout, still conserving emblematic modernista buildings and masias. Ancient history is represented by the archaeological sites of Penya del Moro (Moor’s Crag) and the flour mill. Can Ginestar, a Modernista style masia is also one of the town’s attractions, and one of the reference points for the architecture of the Walden-7 development by Ricardo Bofill.
The town is located in the region of the Baix Llobregat – with more than 15 km of wide beaches, it also has the mountains of Garraf, Ordal and the majestic Montserrat mountain, ideal for trekking and nature activities; and the river which, in its last section, gives way to the Llobregat delta, an exceptional site in terms of ecology.

With just over 16 thousand inhabitants (idescat), the town of Sant Just Desvern offers both tranquil and green surroundings, with the magnificent Collserola mountains as a backdrop. The municipality consists of seven districts – North, South, Centre, Walden, Les Basses de Sant Pere and La Miranda. It has its borders with San Feliu de Llobregat, Sant Joan de Despi and Espluges de Llobregat.
The area (around 7km) offers a wide range services including numerous shops, restaurants, cinemas, fitness centres and medum-sized businesses which have helped contribute to the wealth of the town. Due to its proximity to the German and American international schools, Sant Just has proved a popular area with Germans and Americans as well as with some high profile FC Barcelona players, celebrities and politicians. The town is just five minutes from Avenida Diagonal and Pedralbes, 15 minutes to the centre of Barcelona and the airport.

Sant Just Desvern has deeply rooted festivals such as the Festa Major in August, the Festes de Tardor (Autumn Festival, in October), the “karts de coixinets” race (go-karts made of wood) and the celebration of FiraDesvern

Juan Torregosa from the Lucas Fox Barcelona office recommends Sant Just Desvern as an excellent place to invest in property for both its attractiveness and location…

“It’s ideal in that it not just a beautiful place to live, surrounded by green areas and the mountains of the Collserola Park but it is so well connected to the centre of Barcelona by road, rail, bus and tram. It’s also situated a short distance from Barcelona’s business districts and a fifteen minute drive from the airport”

Lucas Fox has a range of fantastic properties for sale in Sant Just Desvern including a spectacular luxury apartment with garden, pool and garage in a splendid renovated palace! Find out more

Other properties for sale include:

Unique property with stunning gardens currently used as a restaurant and wedding venue but could be converted into an outstanding family home

6-bedroom designer house, finished to a very high standard and comes with a pool, garden, terraces, 5 parking spaces and a lift http://www.lucasfox.com/Buy-property/Spain/barcelona/barcelona-city/sant-just/House-Villa/LFS4061.html

Country house (Masia) needing a complete renovation. Set on a large plot of land of 9000m2

For more information on the above properties or any other property for sale in Sant Just or Barcelona please contact Juan at the Lucas Fox Barcelona office by email: juan.t@lucasfox.com or by phone +34 672 156 894

Barcelona property and business relocation

When considering buying Barcelona property that will also be your home here, the health of the local business market becomes a deciding factor. As part of your relocation to Spain, transferring or setting up a business base needs to be weighed up against the local context.

The good news for those interested in Barcelona property is that the local business culture is an excellent environment. This has been proved yet again this month, as Barcelona’s local government-sponsored business incubator, Barcelona Activa, has just won Grand Jury Prize at the European Enterprise Awards 2011.

The award recognises the strength of the local business market in supporting new enterprises, according to key indicators:

Promoting the entrepreneurial spirit,
Investing in skills,
Improving the business environment,
Supporting the internationalisation of business and
Responsible and inclusive entrepreneurship.

For businesses with an international focus, Barcelona makes good sense as a European city base. Direct international flights to key markets such as Miami and Dubai have increased in recent years, making travel to overseas business destinations less cumbersome and faster.

Of course, Barcelona remains a key destination itself and provides opportunities for businesses to connect with new global clients regularly. Barcelona has more participants in conferences, professional events, expos and congresses than any other city in the world, with over 80,000 participants visiting the city for a conference-related event in 2010.

While these factors already make Barcelona a sought after commercial destination, greater confidence in the local business environment is becoming apparent. News agency Reuters has reported that Europe has seen a resurgence in interest in commercial property with 28 billion Euro spent in the first quarter (mostly on retail properties) of 2011, representing a 32% increase on previous year commercial trading. As the trend continues, Spain is expected to see a greater share of the retail commercial property transactions. Barcelona property will no doubt be of great interest amongst commercial asset purchasers.

Barcelona’s business support services focus on emerging industry sectors. This ensures that the environment will strengthen even further in the years to come. Barcelona property investors are recognizing that there is strong local support for businesses setting up in sectors like commerce, IT and communications, creative industries, tourism, and biomedical technologies. This lets property investors build a plan around relocating to their Barcelona property and building a commercial base in a robust, business-focused city.

Tourist numbers help stabilize Ibiza real estate market

Does Spanish tourism have a flow on effect to real estate Spain? The healthy tourist numbers since the start of 2011 could be indicative of a trend that gives further confidence to the Spanish property market.

Spain is top of the list for many holidaymakers:

Travellers love the relaxed and friendly atmosphere of the cities, towns and islands of Spain.
They appreciate the consistency and comfort of the weather, and find the country an easy place to arrive at or to depart from.
Visitors talk about the delicious foods, and how easy it is to get around either within a city like Madrid, or between places, like those hopping from a Barcelona property to a holiday spot on Ibiza real estate.

2011 has already started to look like a bumper year for Spanish tourism. The first quarter of 2011 has seen a solid increase in tourist numbers compared with the same three months in 2010. Recently-released April 2011 figures for airport passenger arrivals show the trend continuing.

This April, passenger arrivals into Spanish airports were 20% higher than for the same time last year. The increasing number of visitors to Ibiza was even more pronounced, with the 266.241 arrivals adding up to a 32.9% increase on 2010 numbers.

“All the signs are that 2011 is going to be a great season on Ibiza,” confirms Alix Bond from Lucas Fox’ Ibiza office. “Holiday rental companies and hotels are already reporting an increase on occupancy from last season with a notably higher demand for luxury villas in the Cala Jondal and Es Cubells areas.”

Tourism can play an important role in increasing the stability and opportunity of a property market. This year’s tourism could be a good news indicator for real estate Spain broadly, while the first four months of the year are buoying the scene in Ibiza. As Alix points out, tourists need accommodation, so a regular flow of holidaymakers can promote a healthy Ibiza property rental market.

“In recent years, Ibiza has focused on attracting more luxury tourism to the island and the positive news for the property market on the island is that many of these holiday makers will go on to buy property on Ibiza. There is a great buzz about Ibiza and Ibiza real estate at the moment. The high level of interest in renting and buying is definitely helping to make Ibiza property an interesting investment with great rental potential and the possibility of capital growth in coming years.”

With the summer months approaching, a strategic property investor would do well to keep one eye on the tourist numbers and one on the rental property vacancies. Weighing up the two may be one of the most useful factors in identifying the best time to buy Ibiza real estate.

15 Reasons To Invest in Spain Real Estate: A Summary of the UK Property Investment Roadshow

Encouraging a fresh perspective on Spain real estate was the goal of last week’s visit to the UK by Spanish Housing Minister, Beatriz Corredor, and Minister of Development, Jose Blanco. The trip, labelled a “property investment roadshow”, was the first in what will be a series of promotional visits by the Ministerial team. With a quarter (23.4%) of all property purchased by foreign investors in 2010 coming from the UK, Spain prioritized Great Britain for its initial roadshow leg. This will be followed by forthcoming tours planned for France, Germany, Holland, Sweden, and Russia.

The trip did receive some negative feedback from those who had previously been burnt by investment in Spanish property. Notably, some of those who had lost money in 2007 and 2008 in illegal property deals in coastal areas were quick to flame forums and news reports with details of their experiences. Other forum correspondents balanced the view with reports of their own successful property investments and at times relocation to Spain. The common elements for those who had lost money were using lawyers and real estate services with limited English/Spanish translation skills and where the full details of the housing deals had not been properly documented. Using a comprehensive real estate service such as that offered by Lucas Fox – with everything from support during your first visit to Spain, connection with relocation services, and access to bilingual lawyers and accountants – is a protection against these risks. Housing Minister Beatriz Corredor noted that housing problems represented only 1% of Spain real estate trading amongst Britons, but all the same was devastating for those impacted.

The trip occurred in a week of busy discussion about the current potential of property investment. From comments by the Ministers and from online sources, Lucas Fox has identified 15 reasons why now is a good time to consider property investment in Spain real estate.

Comments from Housing Minister Beatriz Corredor start our list with 3 enhancements she noted will safeguard those looking for real estate in Spain:

1. Regulations now ensure that new developers provide all paperwork showing building consent and zoning approvals to potential buyers.

2. A sales register with legal status of all properties is now available online, with an English version to be launched later this year.

3. A new police team and special prosecutor have been established to prevent planning corruption.

Minister of Development Jose Blanco added another 6 reasons to consider property investment:

4. Spain is a safe country with low levels of crime and danger.

5. Its proximity to the UK make it a great alternative base with easy access.

6. Spain’s weather and stable climate make it a fabulous holiday retreat if your property investment is also to double up as a holiday home.

7. Spain’s quality of life is high, with Spanish cities like Barcelona and Madrid ranking high in the world’s most liveable cities and with coastal areas envied by countries around the world.

8. Spain offers a full range of public services that are accessible to all European residents.

9. Spain’s infrastructure is world-class, including an extensive fast train system across the country, world leadership in use of renewable energy sources, and commercially efficient port and air terminals.

In a week in which Ministers Corredor and Blanco were talking up reasons to invest in real estate in Spain, Wall Street columnist Brett Arends wrote more generally about why now is a great time to look at property investment:

10. “Prices are cheap.” This is definitely true of Spain, where investors can take advantage of bargain prices. Recent years have dropped free-market housing prices by an average of 15.4% (20% in real terms) according to the Spanish government.

11. “Banks will have to sell.” Arends’ point is a key motivation for the roadshow. Bank ownership of property slows the national economy and re-releasing properties into the market is needed to reduce the weight of housing overstock on the nation’s economic engines. This means it’s a buyers market as banks are keen to offload their housing portfolios.

12. There is a good rental yield potential: In some areas, purchasing real estate in Spain can start earning income as rental property. Holiday rental demand has increased by 20% this year according to some holiday rental specialists, mirroring increased Spanish tourism levels this first quarter of 2011.

13. While Arends is focused on the US property market when he says that there are cheap mortgages available, the same can be said for Spain, with banks jostling to create new loan packages for savvy investors.

14. In his Wall Street Journal column this week, Arends has reminded his readers that real estate is a good long-term protection against inflation, noting that traditionally real estate returns on average 1 or 2% above inflation.

15. And finally, Arends points out that other investment options like bonds are not necessarily offering a good alternative return.

All up, these arguments point to some strong reasons to reconsider property investment in Spain real estate now. With the roadshow sure to drum up interest as it continues its European leg – especially in Germany and Russia where there is already a buzz of excitement for real estate in Spain – wise investors would do well to start looking at properties now. To get started, contact a Lucas Fox representative on +(34) 933 562 989 to discuss your goals for property investment in Spain real estate.

Luxury Country House for Sale on the Maresme Coast, Barcelona | LFS2186

View this latest video of a rare investment possibility near Barcelona; a 10 bedroom traditional Catalan house on the Maresme Coast. Possibly a great investment opportunity for private or business purposes.

Luxury Country House for Sale on the Maresme Coast, Barcelona | LFS2186 from lucas fox on Vimeo.

Take a further look at this unique property by viewing a selection of more images here;