Spanish still has hotspots

An in-depth look at one of the lesser known Costas in Spain shows that good investments are around for those buyers who take the time to research their prospective investments.

Titan Properties, which has a specialist real estate advisory team, has found that the Costa de la Luz, has the potential to thrive where other areas are performing badly.

Andrew Benitz, a former Investment Banker and now director of Titan Properties, said that when the company first looked at the Western Huelva province the area was relatively unheard of but after extensive research the firm believed it would be a success story of the future.

'Five years later our latest research document contains hard evidence backing up the fact that whilst the heavily developed Costas are floundering in turbulent times, Huelva is standing tall and still charting impressive gains,' he said.

The report shows that property prices in Huelva rose by 7.6% in 2007, the best growth performance on coastal Spain. Huelva remains the least built up of Spain's coastal provinces with less than 13% of the coastline occupied by urban development. Huelva accounted for less than 1% of new construction in Spain in 2007 yet accounts for more than 2% of the nation's surface area.

On price/m², beachside or golf-front property is 39% more expensive on the Costa del Sol and 48% more expensive on the Algarve, the research discovered. It has 15 beaches, eight of which have Blue Flag status.

Tourism in Huelva increased by 74% between 2001 and 2006, versus 10.1% on the Costa del Sol. One big attraction in the area – golf - is 50% cheaper than the Algarve or Costa del Sol. Planning permission exists for a further seven golf courses to be added to the current tally of ten.

The report points out that Huelva is arguably the best connected Spanish Costa – under 60 minutes from Seville International Airport where passenger traffic has shot up 99% since 2003, even closer to Faro International Airport where no less than eight new routes from the UK were introduced in 2007 meaning all 26 UK International Airports now have regular flights into Faro, and a green light for Huelva International Airport which, at just 15 minutes' drive, could be fully operational by 2012

'Marry these facts with Spain's bigger picture of supply falling in line with demand, low household debt, high household wealth, low mortgage interest rates, burgeoning tourism, in particular golf-related, an influx of low-cost carriers and of course sublime weather and coastlines and Spain's property market, Huelva in particular, should remain robust for the foreseeable future,' added Benitz.

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