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3w ago

New-Home Supply Collapses in Valencia and Catalonia as Rents Surge

Regional authorities are scrambling to mobilize multi-year public housing programs that face scarce land paired with regulatory inertia.

Una promoción de vivienda protegida desarrollada por el AMB en Viladecans.
Edificios de obra nueva en Quatre Carreres.
Vista general del un bloque de viviendas de nueva construcción en Valencia

Overview

  • Valencia has only 91 new-build homes available, representing less than 0.02% of its 415,000-unit stock, and just 15 active public housing units at 0.0036%.
  • Average monthly rents in Valencia have topped €1,900, driving the emergence of 40 informal settlements where over 200 children live in precarious conditions.
  • Catalunya issued 8,107 new-home permits in the first half of 2025, a 22% year-on-year decline, while Barcelona saw permits plunge more than 34%.
  • Material execution costs have climbed over 30% since 2020 and a shrinking, aging skilled workforce is stalling or canceling construction projects.
  • The Área Metropolitana de Barcelona has 6,000 protected homes under construction and aims for 6,000 more by 2030, but scarce land and bureaucratic bottlenecks threaten its delivery.