Formentera housing crisis intensifies as tourism capacity increases

A new study by the Sa Unió government on Formentera proposes increasing the island's tourist capacity from the current 15,069 places to 18,836. This expansion of over 3,700 additional tourist spots comes amid a severe local housing crisis.

Residents face significant challenges finding affordable housing, with purchase prices reaching 10,300 euros per square meter and rental prices increasing by more than 50% over the last decade. Critics argue that the expansion of luxury establishments increases the demand for seasonal workers, further intensifying competition for scarce long-term housing.

Local opposition highlights that the current administration has failed to expand the public housing stock or effectively manage illegal tourist rentals, despite existing moratoriums. Calls for reform include stricter limits on vulture funds, potential restrictions on foreign investment, and a shift in the regulatory framework to treat housing as a right rather than a speculative asset.