Construction sector in Malaga sees almost 3,000 housing projects approved in first half of the year

Malaga city and the western Costa del Sol are driving the post-pandemic recovery, though higher energy prices and difficulties in sourcing materials are slowing down the completion of works

FRANCISCO JIMÉNEZ

Malaga

Friday, 19 August 2022, 10:26

The construction sector in the province of Malaga continues to recover the ground lost after the pandemic with a significant increase in new residential projects. However there are noted difficulties in meeting deadlines due to the rise in energy prices and problems in the supply of materials.

According to information from the Malaga Association of Architects, the province has closed the first half of the year with a total of 2,987 projects approved, which represents a 22 per cent increase on the 2,445 approved in the same period of 2021. But the figures remain far below pre-pandemic levels.

In these first six months of the year, 552 new residential developments have been certified, which represents an investment of 431.5 million euros. Of these projects, 453 are family homes, with a total of 877 properties, while 97 are apartment blocks, with a total of 1,925 apartments. The remaining two projects are public housing developments in Coín (with 112 apartments) and Marbella (with 73 apartments).

Francisco Sarabia, head of the Malaga Association of Architects, said the activity recorded in the first half of 2022 reflects "a contained, but steady growth", although he advises on "being cautious in the current economic situation".

Next Generation funds

Sarabia added that, despite this uncertainty, he is confident that the pace in the construction sector will be maintained thanks to the boost provided by the implementation of the Next Generation funds for energy rehabilitation, "which should serve to transform the housing stock and buildings already built".

An analysis of the figures shows that a total of 1,506 projects were approved in the second quarter of the year, a figure similar to that recorded between January and March when 1,481 units were certified. And, from April to June, 276 projects were certified with a budget of more than 203.5 million euros.

The month with the most new building permits was March, with 622, followed by June with 572 and May with 543. The areas with most activity has been Malaga city, which leads the number of new homes planned, with a total of 79 investments that will see 586 new homes reach completion. The western Costa del Sol has also seen a welcome rise in the number of new projects with 37 being approved in Marbella, Benahavís (48), Mijas (39), Benalmádena (27) and Estepona (23). Additionally, Alhaurín de la Torre had 58 projects approved and Coín had 21 project permits granted.