New Housing and Urban Agenda Measures Move Forward in Spain
The Ministry of Housing and Urban Agenda will present a proposal to the Council of Ministers this March to modify the Soil Law and Urban Rehabilitation. Isabel Rodríguez confirmed this during a Senate Housing Commission appearance. If the plan follows the expected path, the regulation will receive approval at the next week’s Cabinet meeting, the final session of March, according to ministry sources.
The reform is highly anticipated by the real estate sector. It aims to prevent project delays caused by formal defects and to shorten timelines for launching housing projects. The idea originated with Isabel Pardo de Vera, former Secretary of Transport, Mobility and Urban Agenda, and has been revived by the current housing minister. After Cabinet approval, the bill will advance through parliamentary steps toward approval in both the Congress of Deputies and the Senate, with the question of whether the Popular Party will support it remaining uncertain.
This measure arrives in a crucial month for the ministry. Last week, the Official State Gazette published the new rent index, which is now active in Catalonia. From March 15, new rental contracts in Barcelona and 140 Catalan municipalities will be capped by the state index. Other regions, including Navarra, Asturias, and the Basque Country, have shown interest in applying the tool, though none of the territories governed by the Popular Party plan to implement it yet.
A third development adds two lines of guarantees from the Official Credit Institute (ICO). The first line, up to 2.5 billion euros, will back the purchase of a home for young people and families with children. The second line will provide soft loans to developers to fund housing aimed at affordable rent. The minister noted that these lines will soon receive final Cabinet approval and be ready to sign with the ICO.
3,233 new homes announced
During the appearance, Rodríguez announced that 44 agreements with ten autonomous communities will be signed tomorrow to build 3,233 social rental homes. With these new deals, the ministry already has, under contract or in construction or delivered, a total of 25,000 new homes funded by the Recovery, Transformation and Resilience Plan (PRTR), representing a near 1,000 million euro investment.
These 25,000 homes are part of the president’s pledge to deliver 184,000 affordable dwellings in the coming years. In addition to PRTR-funded projects, notable programs include 37,000 homes by the state land agency Sepes, 50,000 by Sareb, 11,000 through the Social Housing Fund in collaboration with banks, 14,000 from the two state housing plans (2018-2021 and 2022-2025), 9,000 with local entities, and 43,000 financed through ICO loans to developers.
This substantial push aligns with a broader national housing strategy aimed at expanding access to affordable housing and stabilizing rental markets across regions. The ministry emphasizes a mix of public, private, and social housing initiatives designed to accelerate construction, reduce rents, and support families in need with predictable housing options. ”