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Increased foreign investment in rural property for tourist rental

Country villas for tourist rental are increasingly popular. | Archive

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In 2016, 56% of building permission requests on rustic land in Majorca came from Majorcan residents. The Council of Majorca's figures show that in 2009, by contrast, 72% of requests were from residents. The difference is explained by requests from companies or foreign owners. And by and large, these are for properties to be made available as holiday rentals.

The total number last year was 291, which is way down on the 1,289 in 1999. But there has been a notable increase since 2013, when there were 155 requests. Improved economic conditions may be an explanation for this rise.

Traditionally and fairly obviously, rustic land building was related to agricultural activities. Over the past twenty years, it has predominantly been for residential purposes, especially for Majorcan residents' second homes. This has now given way to tourism use, with companies and foreign buyers having a particular interest in holiday rentals.

In addition to requests to build there are also those for permission to develop existing properties. A large number of these requests are for swimming pools, which are important for the rentals' sector.

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