The Junta president announced a new regulation, developed with professional associations, to increase land and residential supply
Seville
Taisia Karaseva on Unsplash

Andalusia is set to introduce a new Housing Law in 2025, as announced by Juanma Moreno, president of the Junta, during his speech at the 4th National Housing Congress of the APCE in Malaga. He indicated that the new regulations are expected to take effect in the first half of next year.

According to Moreno, the law is currently in the objections stage and aims to be presented to the Governing Council in early 2025. The regulation will focus on generating more affordable land, increasing residential supply in the market, adding 20,000 subsidised housing units to the rental market over five years, and providing subsidies and aid in areas with the greatest access challenges. Also, the final text will be developed with professional associations.

During his speech, the president of the regional government emphasized that the Administration must "make every effort to reduce the imbalance between housing supply and demand." He noted that this imbalance has worsened in recent years due to population growth and stagnant new construction.

According to the Bank of Spain, Andalusia currently faces a housing shortage of approximately 90,000 units; however, this figure is likely higher, as the region's population is increasing by about 25,000 people annually. In fact, a population increase of 700,000 is projected in the autonomous region by 2040, with more than half expected in the province of Malaga.

The President of the Junta also underscored the importance of the construction sector to the Andalusian economy. “We must speak with great respect for the housing sector, as it generates significant economic activity and approximately 250,000 jobs in Andalusia alone, all within an increasingly digitalised environment.” He added, “The sector is committed to building more and building better.”

Moreno then identified several factors currently hindering development, including a lack of workforce, excessive bureaucracy, land shortages, and legal uncertainty stemming from over-regulation.

“If we change the rules of the game after it has started, investors will flee. We cannot create laws about laws; it’s better to reform what isn’t working,” he stated.