Concern over new spanish property developments

In recent weeks, two Murcia-based property developers have announced grand plans for new build residential projects in 2011. One, Lake Argos, promises 500 ultra-modern detached homes in a nature reserve setting whilst Polaris World is adding 400 new units to its vast golf-led Murcia property portfolio.

Local real estate company, Mercers, wonders if this could be premature. After 14 years on the ground in the established resort of Camposol Golf in Mazarron, Director Chris Mercer has plenty of experience to draw on.

“The positive news is that these brave developers are showing confidence in the Murcia property market and the return of the holiday home buyer. I imagine that both entities feel that the market has bottomed, prices are indeed 50 to 60% off bringing them down to levels of a decade ago, and from here the only way is up.

"However, as an agent, we genuinely have little demand for off-plan property and in fact haven’t sold one in around two years. My concern is that the Paramount Theme Park has, in part, prompted the decision to launch these new builds and we may be just a little premature.”

“Paramount Pictures is indeed building the biggest theme park in Europe in Murcia, just ten minutes from Camposol Golf, and this will have a huge positive effect locally. Spanish media reports suggest the creation of 20,000 jobs, 15,000 new hotel beds and visits from almost three million tourists each year. But this huge tourist attraction hasn’t even broken ground, the masterplan yet to be revealed, and realistically is several years from making a real impact."

Source: Easier Property