Companies are Invited to Buy Industrial Land in Galicia with Discounts of up to 50%

23 February 2019 – La Voz de Galicia 

Galician companies, as well as those from outside the region interested in moving into Galicia, will have a batch of 1.25 million m2 of subsidised business land available to them. The discounts will range between 30% and 50%, depending on the area. With this plan, the autonomous administration is providing continuity to the strategy it has outlined in recent years, which allowed it to award almost 1.5 million m2 of land across Galicia between 2015 and 2018, mostly under a sale-purchase regime.

The public company Xestur, which is in the hands of the Xunta, has called a new tender this year through which it is making available 929,422 m2 of land: interested companies have until the middle of March to process their applications with the aim of acquiring 281 plots located in 17 business parks across the region.

Specifically, the plots being offered by Xestur are located on six industrial estates in the province of A Coruña (…); four in the province of Pontevedra (…); another four in the province of Lugo (…) and finally three in the province of Ourense (…).

Besides the almost 930,000 m2 being offered by Xestur, the Xunta is going to add another 322,258 m2 of industrial plots, also for a subsidised price, owned by the Galician Institute of Housing and Land (Instituto Galego da Vivenda e Solo (IGVS)), which are available to be awarded at any time (…).

Specifically, the offer from IGVS comprises 153 plots in total, located in 15 business parks across Galicia, including: three in the province of A Coruña (…), five in Lugo (…); six in Ourense (…) and finally one in Pontevedra (…).

The mobilisation of industrial land is one of the objectives outlined by the Xunta to attract companies to the region and avoid them abandoning the area (…).

Original story: La Voz de Galicia

Translation: Carmel Drake

Galician Gov’t Sells 24% Of Its Discounted Industrial Land In 2 Years

23 January 2017 – La Opinión A Coruña

The Galician regional government (La Xunta) has recorded turnover of €31 million from the sale of 304 plots over the last two years, after applying a discount of €23.7 million. Its sales increased ten fold during the first year, but decreased by 55% in 2016.

The sale of industrial land by La Xunta decreased by 55% last year, despite significant reductions, of up to 50%, on the initial prices. Acquisitions of plots of land in public business parks have slowed, even though the large discounts and payment facilities have continued. Two years ago, the Executive launched a plan to lighten its stock of industrial land. The result is the sale of 24% of the land it put on offer.

In 2015, the Galician autonomous government, through Xestur and IGVS, managed to sell off 200 plots of land, covering 491,140 m2, after it launched its industrial land sales plan. It was a wake up call, given that it multiplied the surface area sold in the previous twelve months almost ten-fold, up from 53,515 m2 to almost 500,000 m2. Nevertheless, one year later, only 104 plots were purchased, covering a surface area of 195,722 m2. As such, four times more land was sold than before the discount plan was launched, but half as much than during the debut year.

Why the decrease? “There was a significant amount of activity in 2015 because business people made a huge effort to buy, as they expected the discounted prices to apply for one year only. In 2016, they realised that the discounts were permanent and so they were no longer in such a hurry to buy”, say sources at the Regional Ministry of Infrastructure. (…).

After two years, the Galician regional government has sold 304 plots, covering a combined surface area of 686,863 m2, which represents 23.8% of the total space it initially put up for sale. (…).

674 more plots are still on the market, covering a total surface area of 2.1 million m2 and with a global sales price of €139 million.

The sales volumes of plots in industrial parks vary by province. A Coruña was ranked second in terms of the number of operations (19.4%), behind Lugo (46%). It was followed by Ourense (18.6%) and Pontevedra (8%). (…).

Original story: La Opinión A Coruña (by P. Pérez, I. Bascoy and J. Carneiro)

Translation: Carmel Drake