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Increase in the price of residential rentals in the South of Tenerife

Studio 1 bedroom apartment for rent | Paradise Court Tenerife

In Arona it increased from 7.05 euros per square meter (May 2015) to 10.02 euros (February 2017), the price of the square meter of rent in Adeje was of 7.09 euros, where last February was 9.32 euros.


Ashotel reminds the Association of Holiday Rental that its activity is regulated by decree of the Government of the Canary Islands.

The hotel management warns that this modality also influences an excessive increase in the rental price of apartments for residents in tourist areas.

The Hotel and Extra-Hotel Association of Tenerife, La Palma, La Gomera and El Hierro, Ashotel, recalls that the holiday rental in the Canary Islands is regulated by decree 113/2015 of the regional government, reason why it considers contradictory that the associations of entrepreneurs of this Modality claim legal certainty for the exercise of its activity.

The president of Ashotel, Jorge Marichal, sees with concern that in reality what the Holiday Rental Association (Ascav) is not a normative framework, which already has it, but a modification of the current one, which allows this activity legally in The tourist areas and consolidated tourist centers of the Islands, “a serious error that would endanger the successful tourist model of the Archipelago”.

It is this model of success, the economic engine of the Canary Islands and which accounts for more than 30% of its GDP, which nowadays allows only the accommodation (hotels and apartments) is one of the sectors that more workers use in the Archipelago, about 65,000 , According to the latest quarterly published employment data registered in accommodation services of the Canary Islands Institute of Statistics (Istac). “It is precisely employment that does not create the holiday rental activity”, recalls Marichal, who asks “in what section of Social Security is registered the workers of this modality?”.

Likewise, Ashotel questions the data provided by Ascav, who speak that 3.5 million tourists choose this type of tourist accommodation in the Canaries and that its economic impact is 1.5 billion euros, according to announced yesterday the Ascav in wheel Press in the capital of Tenerife.

“I am very interested in knowing the source of the data that this Association handles,” says Marichal, who refers to the study commissioned in 2015 by the Canary Islands Government, in which it reduces to 1.25 million tourists staying in holiday rentals during this year.

In addition, this study cites some 28,000 holiday homes in the Canary Islands (November 2015) published on different platforms on the internet. In the case of Tenerife, these homes amount to 11,373, of which only 439 (3.8%) are registered in the Cabildo of Tenerife.

Increase in the price of residential rentals


This debate is also addressed in other tourist autonomous communities, such as the Balearic Islands, whose capital, Palma de Mallorca, has just announced that it will ban tourist rents from this summer, precisely because of the problems that this activity has generated at the time of Guarantee access to housing for residents and that in the last year the average increase of the square meter to lease has grown by 40%.

As a thermometer of this variation of prices, for example, the website specializing in the real estate market Fotocasa reveals some revealing data. Thus, in May 2015, the month in which Decree 113 of the Canary Islands Government was approved, the price of the square meter of rent in Adeje was of 7.09 euros, whereas last February it was of 9,32 euros. For an average floor of 80 square meters, the monthly rent increases from 567 euros to 745 euros in this time interval.

In the case of Arona, another of the tourist municipalities of Tenerife par excellence, this same web site places this time sequence from 7.05 euros per square meter (May 2015) to 10.02 euros (February 2017). Translated into the monthly rent of the aforementioned middle floor, this increase would go from 564 euros to 801 euros. If these figures are related to average wages, it is clear that there is a problem with access to housing.

Ashotel considers that a lax regulation of this activity to allow it in areas of tourist influence puts at risk the traditional hotels. This has been made known to the different representatives of the Canarian parliamentary groups, as well as to the Minister of Tourism of the Government of the Canary Islands, Maria Teresa Lorenzo, who reminds her that the true locomotive of the sector is the traditional offer. His recent public statements referring to his team working to meet the regulation of vacation rental also in tourist areas are for the hotel management “an error that we can repent in the Islands,” said Marichal.


Courtesy of El Digital Sur