The Partido Popular (Peoples Party, PP) has outlined a new housing strategy centred on increasing the supply of homes by making it easier to convert underused office buildings into residential properties and promoting policies to support a return to a society of broad homeownership. The proposals were detailed by the party’s vice‑secretary for Economy and Sustainable Development, Alberto Nadal, in recent interviews with Spanish media.
Nadal said the current imbalance between housing demand and supply remains a priority issue. He cited data suggesting an estimated excess of demand over supply of around 720,000 homes, and argued that Spain needs around 200,000 new homes annually to prevent the shortfall from widening. In contrast, he noted that only around 130,000 new dwellings were started in 2024, highlighting what he described as a persistent supply gap.
Under the PP’s proposals, planning and regulatory barriers that currently impede the conversion of unused office space into residential units would be significantly reduced. This would include streamlining zoning changes, shortening approval timelines and easing administrative procedures for developers. Nadal said such measures would unlock housing potential in urban centres where commercial vacancy has increased.
A central pillar of the PP’s strategy is to simplify the process for changing property use. Nadal said the bureaucracy involved in repurposing commercial buildings “limits how quickly housing can be made available” and must be reformed to speed up delivery. The PP proposes encouraging municipal and regional authorities to adopt flexible planning guidelines, enabling quicker approval of conversion projects that still meet safety, habitability and energy‑efficiency standards. The party is also exploring fiscal incentives for property owners and investors who repurpose commercial property for residential use, such as reductions in specific local taxes or temporary reliefs to improve investment feasibility.
Supporters argue that such incentives would not only expand the housing supply but also stimulate related economic sectors, including construction and urban renewal.
Alongside supply‑side reforms, the PP has emphasised the importance of promoting homeownership. Nadal said Spain should aim to be a country where ownership is attainable for ordinary citizens, rather than being dominated by large institutional landlords. This, he said, would support social stability and economic well‑being.
The policy proposals include targeted support for first‑time buyers, particularly younger adults and families with modest incomes, with the aim of reducing barriers to purchasing homes once supply constraints are eased. Nadal also criticised certain rent‑control measures, calling them “interventionist” and arguing that they can distort market dynamics without significantly increasing supply. He suggested that greater emphasis should be placed on expanding availability and facilitating purchase as part of a broader housing strategy.
Critics, however, warn that focusing heavily on ownership could overlook those who are unable or unwilling to buy, and argue that balanced policies are needed to ensure secure rental options alongside pathways to ownership.
Housing market analysts have offered mixed reactions. Some welcome the emphasis on unlocking existing building stock and reducing regulatory hurdles as realistic steps to increase supply, especially in urban areas where land scarcity and high prices make traditional construction challenging.
Others note that conversion projects can be costly and technically complex, requiring significant investment to meet residential codes and standards. Structural limitations, location constraints and the need to ensure safety and quality also pose challenges, they say.
Politically, the PP’s proposal has stimulated debate. Supporters argue it aligns with broader goals of economic growth and social mobility, while opponents call for stronger protections for tenants and expanded social housing programmes to ensure fairness and access.
Spain’s housing market continues to face pressure from rising demand, constrained supply and demographic changes. The PP’s proposals are likely to feature in public policy discussions in 2026, as political parties and regional authorities consider how best to address affordability and access.
How the government responds, through legislation, incentives or planning reforms, will shape the pace and effectiveness of any changes. Stakeholders across sectors will be watching closely to see whether streamlined conversions and ownership incentives can help alleviate shortages while maintaining quality and accessibility for residents across income levels.
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