# May 2013 Lanzarote Observations



## Ptarmigan

Hello Forum,

We have just come back quite disappointed from a trip to Lanzarote, and thought we'd share our observations and ask if these are also the situation elsewhere in Spain and the other Canary Islands.

For severeal years we have thought we might retire to Lanzarote around 2016. This recent trip was the first for 18 months as several things prevented us visiting late in 2012 as we originally planned. 

During our last trip we identified areas we liked, and since then have tracked properties for sale / prices in those areas. Mainly we were looking at Playa Blanca.

Several things struck us during this trip. 

The amount of new build property inventory that is partially built, but unfinished, or finished but unsold, is staggering. Certainly around Playa Blanca, also Costa Teguise. We didn't really look at Puerto Del Carmen.

We are used to the property agencies talking up the market. Several said that the signs of recovery are strong, but pretty much everything we had been watching was still available. We do wonder if there is a "real" recovery happening.

The areas we visited seemed pretty quiet. We know its not exactly peak season but in particular Costa Teguise was like a ghost town.

Many bars and restaurants are closed. We knew that this was an area being badly hit by "the crisis".

Are the above the same in Tenerife and Alicante which we have also considered as candidates for retirement?


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## Lonely

*37 %* unemployment rate in the Canary Islands should answer to your question.


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## Ptarmigan

Lonely said:


> 37 % unemployment rate in the Canary Islands should answer to your question.


Not really, we know all of the stats, and as noted above we are specifically looking at retirement, not employment  

If anyone who has seen what is going on can contribute something useful, that would be appreciated!


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## xabiaxica

Ptarmigan said:


> Not really, we know all of the stats, and as noted above we are specifically looking at retirement, not employment
> 
> If anyone who has seen what is going on can contribute something useful, that would be appreciated!


actually I'd say the unemployment figures explain what you found....

I'm in the Alicante region, and while unemployment is around the national figure here (27%) , we have a similar situation inasmuch as there are part finished & almost empty urbs/developments here too - although in my town it's not _too _bad because building has always been somewhat more controlled

of course property agents are talking the market up - but some properties are selling - those which are priced to sell - low.........

but really & truly - no - there's no sign of recovery & those of us who live here are certain that it will get much worse yet


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## Ptarmigan

Thanks xabiachica, your response is appreciated.

My view may seem pedantic, but like unfinished / unsold inventory, closed restaurants, etc, unemployment is another effect of the macro economic crisis, not a cause.

Your view that there is no visible sign of recovery, and even a fear that it could get worse, fits with a view that an economist gave me that no recovery can happen prior to 2020 in Lanzarote, which will be at the tail end of Global then European then Spanish recovery.

Interesting that in your town, there has been building control. Lanzarote currently doesn't give that impression, and the situation re Playa Blanca golf courses, PB harbour development and a second airport (ridiculous!) doesn't give us a lot of confidence.

Again thanks for the information!


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## Sirtravelot

Ptarmigan said:


> Hello Forum,
> 
> We have just come back quite disappointed from a trip to Lanzarote, and thought we'd share our observations and ask if these are also the situation elsewhere in Spain and the other Canary Islands.
> 
> For severeal years we have thought we might retire to Lanzarote around 2016. This recent trip was the first for 18 months as several things prevented us visiting late in 2012 as we originally planned.
> 
> During our last trip we identified areas we liked, and since then have tracked properties for sale / prices in those areas. Mainly we were looking at Playa Blanca.
> 
> Several things struck us during this trip.
> 
> The amount of new build property inventory that is partially built, but unfinished, or finished but unsold, is staggering. Certainly around Playa Blanca, also Costa Teguise. We didn't really look at Puerto Del Carmen.
> 
> We are used to the property agencies talking up the market. Several said that the signs of recovery are strong, but pretty much everything we had been watching was still available. We do wonder if there is a "real" recovery happening.
> 
> The areas we visited seemed pretty quiet. We know its not exactly peak season but in particular Costa Teguise was like a ghost town.
> 
> Many bars and restaurants are closed. We knew that this was an area being badly hit by "the crisis".
> 
> Are the above the same in Tenerife and Alicante which we have also considered as candidates for retirement?


We are on a 3 week trip in the south of Alicante. One week in and I already strongly dislike it.


It's the same as what you say, there's villages with huge urbanizaciones. It's all ugly, it's deserted, it's scary, it's boring. I would never buy anything here. No culture, no infrastructure. Every European should see it to understand just what a mess Spain has on its hands.

In some ways you definitely would not notice any signs of a crisis because people are eating out, buying stuff, but that's cuz a huge percentage of the population are pensioners. Otherwise, the people spending money are Russian. The country is in crisis and I've almost seen more Russians and Chinese than Spaniards working.

I expect the north of Alicante to still have quite a lot of urbanizations, but not as many. If it disappoints, I'll look at Mallorca.


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## Lonely

Sirtravelot said:


> We are on a 3 week trip in the south of Alicante. One week in and I already strongly dislike it.
> 
> 
> It's the same as what you say, there's villages with huge urbanizaciones. It's all ugly, it's deserted, it's scary, it's boring. I would never buy anything here. No culture, no infrastructure. Every European should see it to understand just what a mess Spain has on its hands.


Show us some photos please


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## Lonely

Ptarmigan said:


> we are specifically looking at retirement, not employment


I understand English.

If you can't understand the difference between a community in good financial status compared to Las Palmas province and the relation that unemployment plays with infrastructure development and consumer sentiment, than I am afraid I don't know what to write to you.


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## xabiaxica

Ptarmigan said:


> Thanks xabiachica, your response is appreciated.
> 
> My view may seem pedantic, but like unfinished / unsold inventory, closed restaurants, etc, unemployment is another effect of the macro economic crisis, not a cause.
> 
> Your view that there is no visible sign of recovery, and even a fear that it could get worse, fits with a view that an economist gave me that no recovery can happen prior to 2020 in Lanzarote, which will be at the tail end of Global then European then Spanish recovery.
> 
> Interesting that in your town, there has been building control. Lanzarote currently doesn't give that impression, and the situation re Playa Blanca golf courses, PB harbour development and a second airport (ridiculous!) doesn't give us a lot of confidence.
> 
> Again thanks for the information!


the lack of employment & the empty &/or half built properties & the general atmosphere of an area are inextricably linked - it hardly matters which came first imo

the simple fact that there is such high unemployment will affect everyone in one way or another, regardless of whether they personally need to work


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## 90199

Maybe you have selected the wrong island. Initially we wanted to settle on the Island of Gran Canaria, however we discovered the meridian Isle of El Hierro, due to the unspoiled Herreño charm and culture, we eventually settled here. We have been here on and off since 2000, it is now home.

Photos on the link below.


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## Sirtravelot

Lonely said:


> Show us some photos please


Will do at the end of the month.


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## Pesky Wesky

xabiachica said:


> the lack of employment & the empty &/or half built properties & the general atmosphere of an area are inextricably linked - it hardly matters which came first imo
> 
> the simple fact that there is such high unemployment will affect everyone in one way or another, regardless of whether they personally need to work


Totally agree. In Spain at least, the two go hand in hand. In fact I think in most economies they do. Anyway that's the best info you can get about Spain today. As Lonely says, 37% unemployment will answer most of your questions.


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## Nadia11

Ptarmigan said:


> Hello Forum,
> 
> We have just come back quite disappointed from a trip to Lanzarote, and thought we'd share our observations and ask if these are also the situation elsewhere in Spain and the other Canary Islands.
> 
> For severeal years we have thought we might retire to Lanzarote around 2016. This recent trip was the first for 18 months as several things prevented us visiting late in 2012 as we originally planned.
> 
> During our last trip we identified areas we liked, and since then have tracked properties for sale / prices in those areas. Mainly we were looking at Playa Blanca.
> 
> Several things struck us during this trip.
> 
> The amount of new build property inventory that is partially built, but unfinished, or finished but unsold, is staggering. Certainly around Playa Blanca, also Costa Teguise. We didn't really look at Puerto Del Carmen.
> 
> We are used to the property agencies talking up the market. Several said that the signs of recovery are strong, but pretty much everything we had been watching was still available. We do wonder if there is a "real" recovery happening.
> 
> The areas we visited seemed pretty quiet. We know its not exactly peak season but in particular Costa Teguise was like a ghost town.
> 
> Many bars and restaurants are closed. We knew that this was an area being badly hit by "the crisis".
> 
> Are the above the same in Tenerife and Alicante which we have also considered as candidates for retirement?


Oh dear, I just added a post asking about accommodation for a rental later this year and stumbled upon your post. My optimism has been deflated because of the image your post conjures up, so I am now thinking what to do!!. Thank goodness for the post though as it has opened my eyes to something I hadn't really thought about. Where should I go for a while way from the UK winter to relax and sort of live home from home in a warm climate not too far away?? Any ideas would be welcome.

Nadia


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## 90199

Nadia11 said:


> Oh dear, I just added a post asking about accommodation for a rental later this year and stumbled upon your post. My optimism has been deflated because of the image your post conjures up, so I am now thinking what to do!!. Thank goodness for the post though as it has opened my eyes to something I hadn't really thought about. Where should I go for a while way from the UK winter to relax and sort of live home from home in a warm climate not too far away?? Any ideas would be welcome.
> 
> Nadia


One of the other six Canary Isles, all are completely different, and in the south of the islands, near the coast, the winter temperatures rarely go below 18ºC and rise to the mid twenties during the day.

I know, I live here on the small island of El Hierro, link to photos below.


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