MARBELLA LOOKS FOR SOLUTIONS TO LEGALISE PROPERTIES

Features » Property » Spain / Spanish Real Estate

Rosalie Diepenbrock / 2010-06-23 14:18:20

Properties to be legalized?

Many retired Europeans, most of them Britons, have purchased homes on the Costa del Sol looking for a quiet life on the coast upon retirement.

Amongst other destinations, Marbella became a hotspot in the nineties and a lot of North-Europeans bought properties on the Costas in good faith, not realising that their houses were illegal and could be levelled to the ground at any time. Luckily, there is now a way out for those affected residents. The Junta de Andalusia and Marbella's town council have now initiated negotiations with real estate developers to agree on turning the houses into legal properties.

The corruption scandal of 2006, which saw several local politicians and civil servants end up in jail, made it impossible for property owners in Marbella to sell their houses, because they were built in public parkland or green areas. This appeared to be against the Ley de Costas (1988) which delimits, by restricting private ownership, the public domain area along the coast in order to prevent excessive urbanisation.

At that time, the property boom allowed this to happen and corrupt alliances between mayors, councillors and builders were part of the daily routine on the whole Costa del Sol and Costa de Almería. In Marbella there are around 18,000 illegal buildings: ranging from houses to hotels, most constructed a decade ago under the famous Marbellian chief of urban planning Juan Antonio Roca. He was arrested four years ago due to allegedly making corrupt deals with the town council in order to change the local urban planning law (PGOU). Last week, a term of 30 years prison was requested by the public prosecutors against Roca, as well as the payment of a fine of not less than 810 million Euros.

The Junta de Andalusia got many complaints about the lack of transparency and reliability in governmental policies and has now said that it will decide later this year on the issue of illegal constructions. Property owners are hoping for a positive outcome. The demolition of houses will cost a lot of money, while maintaining the properties will boost the economy of the Costas. The national government, at first, became very cautious and did not try to prevent the demolishing of the affected homes. The principal reason was that this type of construction will lead to more over-development and therefore will damage the coastal environment. At this time, the price of the properties remains low which combined with the positive situation of the British pound, once again creates a very attractive market for prospective investors which increases house purchases and can stimulate the economy.

In Marbella, the PGOU got final approval this April from the city council and it now seems likely that the Junta de Andalusia will support them. The Council of Marbella is already negotiating with the real estate developers and is seeking compensation by claiming payment in land, which the city will then use to construct green areas or sport centres. For the owners of illegally situated houses, it is much harder to gain any compensation. Most of the developers who sold the illegal houses are bankrupt or unable to pay any damages to the owners.

But there are a few neighbourhoods in Marbella that will remain under the status of being illegal. 400 flats in Marbella are at risk and could be taken down at any time as they are located in restricted green areas. Other houses, like in the Las Chapas neighbourhood will be legalised. The owners will be given licenses so they can prove their existence to mortgage lenders and other institutions. However, no other compensation will be offered by the state or the developers, although there was a lack of information when buying their houses. Malaga, Mijas, Benalmádena and Estepona are also trying to legalise properties by demanding changes in the delimitation of public and private areas within their territories.

It will take a long time to restore the reputation of Marbella. Mayoress Angeles Muñoz is currently trying to legalise 16,500 properties as the debate continues with the socialist party of the Junta. Furthermore, living in a legal house carries some extra expenses such as taxes and additional fees, which must be paid to the city council. This can therefore turn living on the Costa del Sol into an expensive Spanish dream.

Tags: Marbella, Property, Legal, Propertyportal

Comments

bob dunford 04-11-2010 / 18:32

I have just sent you a comment.And looking at the Laws of Spain.The Council.Solicitors .Notary .Land Registry.Are Hired to Protect the People Buying Properties.If with all there know how.Find a Property Illegal by any Means.They must stop the Sale of that Property.They are Legally Bound.To Protect the Buyers.The Council is paid by the Taxis of Spain to Legalise and Illegalise all Newly built Homes.If they find a House being built illegally they must by Law of Spain pull it down.The Solicitors and Notary like wise.If the find for any reason a House which is Illegal they must not raise the Deeds of this Property until they know it is fully Legal.That also is the Law of Spain.The Land Registry is their to make sure no Law is Broken.That the Council has given Permission.The Solicitors and Notary have looked into every thing to make sure this House is Legal before passing the Deeds back for Stamping.It seems the whole Law has Broken Down ,Not any Fault of the Buyer.Who they should protect by Law, Who thought the House was Legal when the Solicitor and Notary and Land Registry .Passed the Deeds to him Signed and Stamped.And then took his Money.The Whole System must be looked into.And see if the Council.Solicitor ,Notary and Land Registry know their job or not.To Spanish Law.

bob dunford 04-11-2010 / 18:10

I understand correct me if I am Wrong .First the Council .They know when a House is being built Illegally.And by Spanish Law must pull the House Down.If they don't they are making the House Legal.The Solicitor should not raise Deeds on a House which is Illegal.He must have known this.And Signing the said Deeds.And taking the Money from the Buyers .is one Fraud.And signing the Deeds is making the House Legal.The Notary.He looks into what Work the Solicitor has done.If it is Legal or not.If he finds the House is Illegal.He tells the Solicitor and Tears up the Deeds.So the House cannot be Sold.The Land Registry.Checks on his Land Survey reports and his Computer to see one if the land has Permission to be Built On.If it has Enough Land.Who owns the Land, Did the Council give Permission for a House to be Built on to it.If he finds all is Correct and Legal .He passes the Deeds back to the Notary to be Stamped.If he finds any thing wrong he Stops the House being Sold.I thought this was the ruling on Spanish Built Homes .And I think the European Law Courts also think this is the Law in Spain.Speaking to Marta Andreasen British MEP.s in the European Courts also thinks So.If this is not the Law why do we have Councils. Interfering in the Legal Process on Properties.Working on Newly Built Homes.What do they do.if a House is being Built Illegally.Forget about it.If this is not the Law why do we have Solicitors and Notary .Checking the out the Property.And getting paid for it.Why do they Sign and Stamp the Deeds of a Property.Do they Sign them because they are Illegal.No I don't think so do you.If this is the case why do we have Land Registry..Do they just sit there and do Nothing, No they must Check everything to make sure the the Land the House was Built on was Legal.And Permission Gained from the Council.If it is found not to be Legal then by Law the Land Registry should not let it go any further, But do there Job.And make Sure a Illegally Built Home is not Sold.If all the parties Mentioned Pass the Property on and Sign and Stamp the Deeds.And the Land Registry Passed them back to the Notary to be Stamped the House must be fully Legal, Or its a Great Fraud Going On.Just ask any Lawyer.In the European Hall of Justice.Or any Judge in Spain.It is Common Sense We have these people the Council .Solicitors, Notary, Land Registry to safe Guard the People who are buying these Properties.They must make sure the Property is Legal before Signing and stamping the deeds,Allowing the Property to be Sold.If they cant do this then we don't need them.Do We.