All about musical instruments and not only!

TheUltraSoundTechnician

Return on property in Spain

Rates of return on commercial property in Spain is higher than the average for Europe. Shops in the main streets bring about 4.3% per annum, offices – 5%, shopping centers – 5.5%, retail parks – 6.2%, student housing and industrial and warehouse complexes – 8% (data Savills, I quarter 2015). “The profitability of commercial real estate depends on location and purchase price. Currently, the approximate profitability is 5-7%, with resale after five or seven years – 15% per annum. But there are cases when the profitability can rise to 10%, the income from resale – up to 25%. This is the case when buying commercial space and entire buildings,” says Esteban Batier, president of Mas-Spain Luxury Properties and CEO of Spanishabitat.

Now the resale of real estate in Spain will not bring much profit, as prices are still just beginning to rise. Buying profitable objects is a long-term investment, so, according to Esteban Batier, you should wait at least 3-5 years before putting up the property for sale. “Prices today are almost half as low as 10 years ago. The objects in the new residential complexes of Marbella are offered at a lower price than their construction. Accordingly, buying such an object today, you can certainly count on profit in the future, as its price will only increase,” – says Mary Dunn.

At purchase of the commercial and inhabited real estate for investments special attention should be paid to a site of object. “In the best areas the property does not lose in price, and the number of available objects less. It is worth buying objects in quality residential complexes, with good administrative structure and service,” – says Mary Dunn.You should also pay attention to some other aspects of the regions where you buy real estate.

Transport

Each region has major international airports: Costa del Sol in Malaga, Costa Blanca in Alicante, Costa Dorada in Reus and Costa Brava in Girona and Barcelona. The airport in Barcelona is the busiest airport in Spain after Madrid.According to Esteban Batier, a flight to Barcelona will cost many tourists cheaper and faster than at any other airport in Spain, such as Alicante.

Barcelona is a major transport center. At the end of 2011, three new terminals were put into operation at once at the airport of Alicante, which became the second in Spain and one of the leading in Europe. In June 2013, a high-speed railway line Alicante-Madrid-Santander was introduced. Now the train runs from Alicante to Madrid only two hours (distance – 450 km).

According to Mary Dunne, Managing Director of MP Dunne (Marbella), the Costa del Sol has a favorable geographical location from other coasts: “The region is in close proximity to Morocco, where you can easily travel by ferry. The Costa del Sol is easy to reach from the Atlantic coast and Gibraltar. One hour by car – and you are already in Tarifa, the Spanish “paradise” of kite surfing at the junction of the Mediterranean Sea and the Atlantic Ocean. According to her, only on the Costa del Sol you can ski in the morning in the mountains of Sierra Nevada, and after an hour by car to enjoy the sea and the sun on the beach. If you compare three major seaside cities on different coasts, taxis and public transport are cheaper in Alicante (Costa Blanca) and Malaga (Costa del Sol), the most expensive being Barcelona (Costa Brava).

Real estate in Mallorca

Separately worth noting real estate in Mallorca, as the resort islands are always more likely to regularly get a good profit from the rental of their property. To learn more about renting out property in Mallorca you can follow this link https://yes-mallorca-property.com/offers/sale/.