[SPI News]

Price

The value per m2 of urban land fell 11.5% year on year in the first quarter of 2013. The average price is now 157.2 euros/m2 which is the lowest level since before 2004.

The price since the start of the economic crisis in 2007 has now registered a total fall of 43%.

Sales

There were 2,801 completed purchases of urban land in the first quarter of this year, a number that is down 22.2% year on year and 27% from the last quarter of 2012.

The value of these purchases amounted to a total of 495.42 million euros, down 38.2% from last quarter and 15% year on year.

By region

Prices per m2 fell in all of Spain’s regions when compared with 2012’s last quarter. The regions worst hit were Cantabria, where prices almost halved with a 48% fall, Navarra (-43.3%) and La Rioja (-33.2%).

In year on year terms prices fell in all but two of the regions. The Balearic Islands registered a 2.4% rise in values and Extremadura posted a 19.9% increase.

A graph showing the evolution of the average price/m2 of urban land in Spain

[Anonymous]

There’s basically no market for anything but the best of the best of prime land, where you can charge a premium for housing, and even that is hard to make sense of.

Land prices I have seen recently leave no room for an investor to make a decent profit, given current market prices for finished housing. Crazy situation.

[Author]

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