The real estate market in southern Gran Canaria is experiencing one of its most tense and lucrative periods in decades. While housing prices continue to rise—with values already exceeding 3.000 euros per square meter in areas such as Meloneras and Puerto Rico—a small group of players wields the economic and political power behind the boom.
One of the key names is Eustasio López González, president of the Lopesan Group. His tourism and development conglomerate has been instrumental in the urban restructuring of the south of the island. With developments geared toward luxury tourism, Lopesan has driven a real estate revaluation that currently generates annual returns of 6% to 8% in vacation rentals, according to financial sector sources. This transformation has been supported by developers such as Ramón Pérez, president of the Las Palmas Real Estate Developers Association, who insists that the increase in prices is due to rising costs and a lack of available land.
Private banking is highlighting a strong concentration of foreign capital. "In some areas, four out of ten deals are signed by German, Nordic, or British investors, with the ability to pay cash and convert the properties into tourist accommodation," explains a bank with a presence in the Canary Islands. Local intermediaries such as Ravi Chhabria, Marc Heidenthal, and Antonello Passarelli act as a bridge between this demand and the limited supply available, in a market that is increasingly closed to residents.
Public administrations are trying to respond to an increasingly evident housing crisis. The Gran Canaria Island Council has announced the construction of 1.000 public housing units, while the Mogán City Council is promoting options such as 75-year building rights. However, experts point out that these measures are still insufficient in the face of a real estate industry operating with international capital and profitability expectations far above those of the traditional market.
Meanwhile, tourist rental platforms like Airbnb continue to fuel the conversion of residential homes into short-term rentals. In this context, housing in southern Gran Canaria is no longer just a commodity: it is increasingly a financial asset in the hands of a few. And in this game, local residents are the biggest losers.
