The Mayor of Madrid, José Luis Martínez-Almeida, has unveiled plans to tender more than 700 affordable rental homes in the Los Berrocales area of Vicálvaro, aimed at providing housing solutions for young people. This initiative is part of the city council's efforts to enhance the availability of affordable housing in the capital.
Managed by the Urban Planning, Environment, and Mobility Department, the project involves eight municipal plots designated for residential use. The successful bidder will be required to allocate at least 50% of the homes in each plot for rental to individuals under the age of 35.
The monthly rent for a typical three-bedroom home, covering 90 square metres, is expected to be around €949.50, which is over 30% below the current market rate. Additionally, the city council plans to launch another package of homes under this model in the nearby Los Ahijones area.
During the opening of the first Housing Forum organised by the newspaper El Debate, Almeida highlighted that the new residential units will be available for affordable rent, with an option to purchase after seven years. This model aims to provide an alternative to protected housing for those who do not meet the criteria for such schemes but still struggle to secure bank financing under market conditions.
Under the terms of the tender, the monthly rental prices will be capped, and any adjustments will not exceed a maximum annual increase of 2%. When it comes to purchasing the homes after the rental period, the estimated price for a property of this type will be approximately €300,000, also around 30% below market value.
The eight plots are divided into three lots, with interested parties able to submit proposals for one or more lots. The first lot includes over 260 homes across four plots on Luis Prados Avenue and Meco Street, with a sale price of €27,831,000. The second lot could see around 230 homes built on two plots on Colmenar de Oreja and Corpa Streets, with a tender price of €19,608,452. The third lot involves over 210 homes on plots on Corpa and Fresno de Torote Streets, priced at €17,963,872.
These homes and parking spaces will be available for affordable rent for seven years from the signing of the lease agreements. After this period, tenants will have the option to purchase the properties. In the event of early termination of the lease, the successful bidder may sell the homes to third parties, provided they meet the established criteria.
The city council has set a 15-year period during which the homes can only be transferred freely after purchase, ensuring the affordability of this housing model is maintained. To qualify for rental, tenants must demonstrate that their annual household income does not exceed the maximum limit set by the Public Indicator of Multiple Effects Income (IPREM).
For households of more than six individuals, the limit is €61,200 annually; for two to five-person households, it is €54,000; and for single-person households, €43,200. Only individuals with ties to Madrid, either through continuous residency or employment in the city, will be eligible to rent these homes.
The city council will prioritise bids that offer lower rental prices, awarding up to 50 points for such proposals, along with additional points for reduced sale prices and sustainable building designs. The deadline for submitting offers will be three months from the announcement's publication in the Official Gazette of the Community of Madrid (BOCM).
