In an attempt to raise money to curb their growing budget deficits, two of Spain's regional authorities are selling off real estate over the coming months, it has been revealed.
Between them, Catalonia and Andalusia are aiming to sell $1.3 billion (£835.5 million) worth of property by the end of 2011.
The government-owned property stock, which includes 37 properties in Catalonia and 76 properties in Andalusia, has already had several offers from interested parties as investors are attracted by the reliable income from government tenants. The combined debt of the two areas, which have economies equal to the size of Portugal and Ireland, is around €52 billion.
However, the future is looking bright for property in Spain. Tourism has hit new heights this year with August hitting an all time record of 7.6 million visitors, making Spain the fourth most visited country in the world. And destinations like Murcia are proving popular with overseas property hunters who are being drawn by the increased infrastructure and tourism numbers. Murcia based agents Mercers have reported having their best summer sales for five years.
Manuel Sanchez Galey, General Director of finances in Andalusia's treasury department, is one of those hoping that some of Murcia's good luck will transfer itself to Andalucia. He said: “We have to get this right, as people will be watching closely.”
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