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Expat homeowners win victory over demolitions

New legislation will protect thousands of homeowners across the Spanish costas whose properties are threatened with demolition after falling foul of planning laws.

Expat homeowners win victory over demolitions
The luxury villa belonging to Helen and Len Prior was demolished in 2008 Photo: AUAN

Helen and Len Prior have yet to receive compensation, seven years after becoming the first British homeowners in Spain to have their property demolished over 'planning irregularities'.

But on Wednesday they won a victory that will ensure nothing similar will befall those other property owners who have fallen victim to administrative planning errors.

The Priors, both now 71, witnessed a vote in Spain’s Senate that will mean the introduction of legislation to halt all house demolitions until owners have been paid compensation.

In 2008 the Priors saw their €350,000 ($392,000) villa demolished after the regional government revoked a planning licence issued by their town hall – making their property, and others on the development, illegal.

The Senate vote represents a shallow victory as has no bearing on their own case; they are still waiting for compensation, seven and a half years after watching the bulldozers roll in and flatten their luxury villa in Vera, Almeria.

But it marked the culmination of a massive campaign for justice by not just the Priors but the hundreds of expat homeowners threatened with demolition across the region.

From left to right: Maura Hillen, Helen and Len Prior and lawyer Gerardo Vazquez at the Senate Photo: AUAN

“It is a great victory,” Maura Hillen president of pressure group AUAN, told The Local.

It is the second such measure to be introduced this year.

Legislation passed by the Senate in March saw a suspension of the demolition of homes found to be built illegally by unscrupulous developers, until owners have been compensated.

That measure was extended on Wednesday to include homeowners that were under threat of demolition not because of criminal action but “administrative error”.

 “It means that not only will there be protection for those living in homes built illegally by rogue builders but also those who bought in good faith with all the papers in order only to see the licence revoked at a later date,” Hillen told The Local.

“That anomaly needed to be addressed and now it has been. Authorities cannot demolish a property unless responsibility is determined first and the owners paid compensation. It means there won’t be any more cases like Helen and Len Prior,” she explained.

“We have achieved something hugely significant that many thought was impossible,” said Hillen, who became a local councilor last month and is now in charge of Tourism and International Relations at the Albox town council.

“The only sadness is that is has come too late to help the Priors who have been tangled up in a legal system for seven years and have yet to receive proper compensation.”

 

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Q&A: What to do if you buy a property built illegally in Spain

Buying an illegally built property in Spain is fairly common but can have several consequences down the line. Here's what you need to know, how to make it legal, whether you can sell it, and the benefits of doing so.

Q&A: What to do if you buy a property built illegally in Spain

Unfortunately, over the years, many properties have been built illegally in Spain, not adhering to local rules and regulations. Foreigners who don’t know the legislation can easily fall into the trap of buying one of these properties, only to find out later down the line.

Maybe it’s when they come to sell or perhaps it’s when they want to do works or improvements on the property.

There are several reasons a home could have been built illegally in Spain. Firstly, it could have been built on the wrong type of land. This is it could have been built on suelo rústico, rural land where residential properties are prohibited, also called no urbanizable

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It could have also been built too near the coast. This is down to the Ley de Costas or Coastal Law, which was brought into force in December 1989 in order to protect the costas from overdevelopment and high rises spoiling the landscape. 

The law defines different areas of the beach and dictates which is public land, owned by the state and which parts can be owned privately and built on.

If you buy or own a house in one of these non-buildable zones, there are many problems you could face down the line, often sooner rather than later. This is because there are several rules you have to abide by concerning works, reforms and extensions. In some cases, they may not be allowed at all and everything must be approved first by the local government by providing a detailed project.

Because of coastal erosion, this issue is getting worse as some shoreside homes that were once built outside of these areas are finding that they’re now illegal.

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The house may have also had extensions made to it that were built without a license, meaning that the extra parts are illegal.

Q: How do I know if my home is legal or not?

A: Unfortunately it can be difficult to know if your property is legal or not. You could have bought and signed for it with a notary and it could be inscribed on the Property Registry, but this still doesn’t mean it was built to the correct specification and on the right land.

The only way to truly tell is to find out if your home ever had a Licencia de Primera Ocupación or First Occupation license, also referred to as a Cédula de Habitabilidad or Certificate of Habitability. This means that according to the authorities, it is suitable to live in and has the correct licenses.

READ ALSO: How to get Spain’s certificate of liveability for properties

Q: What happens if my property doesn’t have a habitability certificate?

A: If your property has never had a Certificate of Habitability, you must regularise the legal situation. First you’ll need to start a legalisation file (expediente de legalización) and contact the town hall. Depending on the seriousness of the case (ie. where exactly it was built, if there’s any structural danger, whether the entire property is illegal or just an extension) the cost of making an illegal property legal can be considerable. As such, each case must be studied individually with the help of an expert to determine whether it is even feasible or worth the investment.

The next step is to bring in an architect and check whether the property complies with all the building regulations. If it does, you simply need present the expediente de legalización to your local town hall, who will confirm whether or not the property adheres to building regulations and can be made legal.

If it doesn’t, you’ll need to consider whether it will comply with the regulations after some renovations. If that’s the case, you’ll need to draw up a renovations project document (proyecto de reforma) outlining the proposed changes and how they will adhere to building regulations. It must be presented to the town hall along with your expediente de legalización.

According to law firm Acal, the legalisation process can be broken down into steps as follows:

  • Contact the town hall.
  • Begin with the expediente de legalización when the town hall confirm whether or not the property can be made legal.
  • Pay the corresponding fees and taxes (in this case it will be IBI) depending on your municipality and region.
  • If you need to make renovations, obtain the proyecto de reforma and hire an architect.
  • Obtain a building permit from the town hall.
  • Once completed, register the property in the Land Registry.

READ ALSO: What is Spain’s IBI tax and how do I pay it?

Q: Do I really need to make my property legal?

A: Yes, because it will benefit you in the long run. It doesn’t matter what the previous owner told you when you were originally buying the property, owning a property that isn’t fully legal (or legal at all) can create problems and even lead to fines worth up to 20 percent of the property’s value in extreme cases.

By going through the legalisation process and making the relevant renovations, if necessary, you gain a legal property for all purposes and with all the benefits that entails.

You will not have problems setting up, paying, or cancelling electricity, water or gas utility services. You won’t have to undertake reforms and renovation work unofficially, avoiding the eyes of the authorities. Instead you’ll be able to register your property in the Land Registry, which will make things much easier when you decide to sell it or pass it on.

In terms of selling it, perhaps that is the biggest benefit of legalising your illegal property: by registering it properly, you will be able to benefit from its full value when selling it. When a property is illegal, the appraised value will probably be no more than 40-45 percent of its real value at best.

The renovations needed to get your property in shape to meet the building regulations could be costly, but will they cost you half of the total value of your property? 

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