Puerto del Carmen – the hub of both the Lanzarote Property and tourist markets – is about to undergo a major face lift.  As island authorities press ahead with plans to “reinvent” tourism in the resort in a bid to maintain its competitiveness versus other, newer, holiday destinations.

 Package tourism on Lanzarote first took off in and around Puerto del Carmen – transforming what was formerly a small fishing village called La Tiñosa into the most popular resort on the island.

 But three decades of tourism have extracted a price in terms of eroding the resorts infrastructure.  Leaving Puerto del Carmen looking decidedly tired around the edges and out of date by comparison with newer, purpose built destinations in competitor markets such as Dubai.  A situation compounded by the poor provision for pedestrians on the main beachfront strip, the Avenuida de las Playas and the garish kaleidoscope of neon signage announcing bars, shops and restaurants.

 Mindful of the adverse impact that this could have on visitor numbers island authorities are now progressing a number of initiatives that together are designed to contemporise Puerto del Carmen and improve the overall tourist offering in the resort.

 Central to these plans is the creation of a new marina in the Old Town Harbour area.  Where work is already underway and is expected to be completed by May 2009.  With plans in place for the creation of jetties and berths for luxury yachts and cruisers.  A move designed to capitalise on the success of the nearby marina at Puerto Calero and which many local estate agents expect to impact positively on property values in the area over time – regardless of current market conditions.

 Elsewhere, other initiatives include the part pedestrianisation of the Avenida de las Playas to redress the current imbalance between cars and pedestrians. And the harmonisation of shop fronts and fascias along the strip in order to improve the aesthetic image of the resort.

 In tandem with the opening of the new golf course on the outskirts of Puerto del Carmen it is hoped that this multi million euro project will secure the resorts ongoing viability as a popular holiday destination.  And help maintain its appeal with overseas buyers looking to invest in an apartment or holiday villa in Lanzarote.

Natura Design. Since the end of last year the Euro has reached some record highs
against the Pound Sterling and the US Dollar. Inevitably the Lanzarote property market has been affected. On
December 19 2007, the GBP was worth almost Euro 1.40. Three months
later, it has gone down to Euro 1.28. This is a real reduction of 9.4%,
which means simply that property in Lanzarote and other Uropean countries has
become 9.4% more expensive for the British buyer.
But now selling a property in Lanzarote and sending the money back to
the UK as sterling you would have
gained 9.4% in extra profit. The smart investors who bought in Lanzarote
have another reason to be happy with their investment. The
Euro could be overtaking the dollar as the world’s major currency and
become stronger in the future.
Lanzarote property prices have become stable and in some cases have decreased. As a
result, the Lanzarote Property Market is more realistic to the foreign
investor, leaving room for growth & capital appreciation in the
future. Lanzarote property continues to be a good investment and a real
possibility for people who long to relocate to the warmer climate and for a different lifestyle.

By Natura Design

Demand amongst overseas investors for residential and commercial property in Puerto del Carmen is currently driving the Lanzarote Property market. According to an analysis of 636 property for sale enquiries received by Lanzarote´s busiest property portal, Lanzarote Guidebook , during the first two months of 2008.

Property Hotspots

Where are the current property hotspots for overseas investors on Lanzarote?
According to this detailed analysis of British and Irish property investment requirements Lanzarote´s oldest resort – Puerto del Carmen – is currently top of the props. Accounting for 43% of all property enquiries received during January and February 2008. With Costa Teguise recording 30% and Playa Blanca trailing in third place with 19%. However, Playa Blanca remains the most popular spot on the island for anyone searching for a villa investment –generating five times more demand than closest resort rival Costa Teguise.

Costa Teguise just pips Puerto del Carmen for apartment enquiries. Whilst Puerto del Carmen leads the way for commercial property – accounting for 64% of all demand. So reflecting the resorts position as the epicentre for expat enterprise on the island.

Ideal Homes

What types of property in Lanzarote are currently in demand with overseas investors?

Apartments currently lead the field – attracting over three times as much interest as villas. Suggesting that recent changes in market conditions and consumer confidence are stifling demand for the more expensive properties currently on the market. Whilst investors instead turn to lower cost options.

New Look For Puerto Del Carmen

Puerto del Carmen has long been the engine room of tourism on Lanzarote. Once known locally as Tiñosa, this popular resort really took off in the 1980´s – initially in and around the old harbour fishing area – which is still a focal point of the resort today. And has been attracting higher visitor numbers than resort rivals Costa Teguise to the North and Playa Blanca to the south ever since.

Where tourism leads, property development tends to follow. And as a result demand for property for sale in Puerto del Carmen over the last decade has remained consistently strong. Not least as property owners are able to rent their apartments out for twelve months of the year thanks to Lanzarote´s year round clement climate.

The majority of holiday accommodation in Puerto del Carmen is comprised of self-catering apartments. Offering fairly basic one or two star amenities. So enabling tour operators such as First Choice and Airtours to offer very cheap package holidays to Lanzarote.

All-inclusive package deals have become quite pervasive – an arrangement which is much maligned by local businesses such as bars and restaurants. As many tourists now rarely venture out from their accommodation as all of their needs are catered to on site. However this pattern of development has become increasingly at odds with the strategy of the island tourist authorities, who are keen to modernize the resort and take Puerto del Carmen up market.
Central to this strategy is the pedestrianisation of the main Avenida del las Playas – which runs alongside the resorts main beaches and which is currently dominated by traffic. Making it decidedly non-tourist friendly.
According to a recent announcement from the Director General for Tourist Infrastructures on Lanzarote the pedestrianisation of the main sea front promenade in Puerto del Carmen will be going ahead in 2008,

The project to pave the main Avenida de las Playas has been mooted for some time and is felt by many local observers to present a real opportunity to improve the quality of the infrastructure and tourist offering in Lanzarote´s most popular resort.

€855,000.00 has been earmarked for the project and the official intention is to close the Avenida to traffic at the end of 2007. With work scheduled for completion before the summer season of 2008.

The pedestrianisation of Puerto del Carmen is part of a broader plan to “reinvent” tourism in the resort – according to the mayor of the local municipality of Tias. By improving both the infrastructure of the resort and the standard of accommodations offered by apartment complexes.

With the overall aim of ensuring that Puerto del Carmen is able to compete on a more equal footing with other popular tourist destinations across Europe.