Foreign Investments in Balearics and Spain

Recent economic and real estate market data show that real estate leadership has returned to Spain, highlighting in some communities as Balearics, it’s a fact that foreign investment has placed its focus in the brickwork.

Spain is positioned as one of the main European markets with Madrid and Barcelona as a star destinations and REIT (Real Estate Investment Companies) in front of the revitalization of the market. More than a third of foreign investment in Spain focused on brickwork along last year.


Spain has become a focus of great interest to international investors who see in our country profitable opportunities in different markets and in different areas depending on the type of asset. According to the Registry of Foreign Investment of the Ministry of Economy, the construction sector and real estate activities captured 34.5% in foreign direct investment in 2015. This means that one of every three euros of international capital received by the Spanish economy in 2015 was destined to construction-related activities. Such that channels investment tripled its profits in 2015. The SOCIMI‘s (of which we have discussed in previous articles) stand out as major market cheerleaders, going from 89.5 million euros in 2014 to 251.2 million last year, according to the CNMV. In 2015, of the total investment in real estate assets, 41% corresponded to SOCIMIs, which allocated 5,237 million euros to asset transactions. The real estate industry is experiencing a period of normalization and stabilization with sustainable growth in a more mature and more professional market. The price of housing was up 1.4% between January and March, according to Tinsa Valuer, whose forecasts point to increases of 5% for the full year.


In order to expose international investors the country’s macroeconomic situation and plans of Spanish companies is being held in Madrid the Spain Investors Day, a meeting is attended by about 200 investors from Switzerland, United Kingdom, Germany, Belgium, France, Denmark, Canada, Singapore, United States, Austria, Italy and Spain with the 40 large Spanish listed attendees can meet to do business.

Do not hesitate to contact Ripoll & Mateu Solicitors Mallorca if you want to know more about the Real Estate Market situation in the Balearics. We offer legal assistance regarding funds from other countries for investment in real estate and business.


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