Majorca Property News

Balearic Government's legal security for investors

For months the reports circulating about new and planned major projects. In the south of the island, at Sa Rapita (Campos) is to develop a new hotel with room for more than 1.000 guests. In the northeast, in Canyamel (Capdepera) the construction of a luxury tourism complex is being planned. Ses Fontanelles on the Playa de Palma investors intend to build a shopping and entertainment center. In Son Bosc, right next to the Albufera wetlands (Muro), is to create a golf course. Also on the Finca Son Saletes in Sencelles (island center) an 18-hole golf course should being built. All the projects are still at an early stage, but the promised turnaround in the construction policy is clearly visible.

Had once ruled from 2007 to 2011 in the Balearic Islands, a center-left coalition and blocked with a reference to the Landscape Protection numerous construction projects, now there is a different climate: Simplifying the licensing process and higher efficiency of the management will facilitate the expeditious execution of construction projects. The framework for land use policy by the Government is to protect nature and landscape, the balance, the restriction of construction activity and a sustainable social and economic development. We can´t afford to hamper projects for which all permits are present. Otherwise the investor in the end prefers to go elsewhere. Projects are not rejected outright, but checked and matched with the social groups and then taken the necessary decisions.

Of these, the regional government is hoping for increased private investment. Since the public has reduced drastically because of the tight financial investment in construction projects, the economy could only be so again and boost job creation should be encouraged.

By 2013 the economic crisis will be over in the Balearic Islands. One survey found that even 20% of companies pay for itself in 2012 with a significant improvement in the economic situation in the Balearic Islands. Most assume that Mallorca will benefit from an economic recovery in Europe stronger and faster than the Spanish mainland.