A conflict has erupted in Valencia over a deal that could change the approach to distributing state-supported housing. At the center of the controversy is a transaction involving the exchange of municipal land for 39 apartments, which, as it turned out, had already been promised to specific families before the official procedure was completed. This situation sparked a strong reaction among city residents and cast doubt on the transparency of local government decisions.
Two opposition groups, Compromís and PSPV-PSOE, have appealed to city hall demanding a full report on the case. They want to know why 39 families hoping to receive housing have been left in limbo. According to them, documents provided by those affected confirm that the apartments were reserved in advance, which contradicts the terms of the exchange.
Essence of the conflict
The socialists, representing one of the opposition groups, have already forwarded materials to the prosecutor’s office. According to El Pais, the matter concerns the transfer of municipal land, where more than 200 state-supported apartments could have been built, in exchange for a building with 39 apartments in the Patraix district. However, it emerged that these apartments had already been promised to other families, even though the competition rules forbade such agreements before the deal was concluded.
Socialist representative Borja Sanjuan emphasized that lawyers should thoroughly review not only the transaction itself but also the documents provided by the families. He noted that the local authorities’ announcement of an internal review does not solve the problem unless an independent investigation is carried out.
Opposition reaction
Papi Robles, speaking for Compromís, stated that 39 families were left without housing due to a questionable deal that, in her opinion, resembles a classic get-rich-quick scheme in the real estate market. She insists that a formal report is not enough; a full legal opinion is needed to rule out attempts to cover up possible violations.
The Socialists claim that the city administration was aware of prior agreements between developer Domio and future residents. Nevertheless, the deal was approved, and the developer received not only municipal plots but also compensation amounting to 1.5 million euros. Importantly, the land swap tender required that there be no prior agreements regarding these apartments.
Deal details
According to Sanjuan, family representatives officially notified city hall of their rights to these apartments as early as the summer of 2024. This happened before the company submitted documents confirming the absence of housing commercialization, which was a mandatory condition of the tender. However, officials state that all procedures were followed and the transaction received approval from the relevant authorities.
City authorities have demanded that the developer provide additional proof that the tender conditions were met. In addition, the municipality’s legal team is preparing its own opinion on the validity of the deal. Urban planning official Juan Giner has already stated that the operation was carried out properly and received all the necessary approvals.
Political nuances
During the last city council meeting, socialists pointed out that only one company participated in the tender. A second firm was unable to submit a complete set of documents. Furthermore, they claimed that the chosen company is linked to a lawyer appointed in 2023 to a senior post in the Valencia government by the People’s Party (PP). This fueled additional suspicion toward the deal’s organizers.
Scandals related to housing allocation and the actions of officials are not uncommon in Spain. Recently, for example, a dispute broke out in Móstoles between a former official and the mayor, leading to internal divisions and raising questions about trust in the authorities. You can read more about this in the article on the internal conflict in Móstoles.
According to El Pais, all sides are now awaiting the results of the review, and the fate of 39 families remains uncertain. The issue of transparency and fairness in housing allocation has once again become one of the most pressing questions for Valencia.
In recent years, Spain has seen a rise in cases where transactions involving municipal real estate spark public outcry. In 2025, Seville faced a similar situation when some apartments were allocated before official procedures were completed. In Madrid in 2024, concerns were also raised about the transparency of tenders for social housing construction. These stories highlight that oversight of such operations is becoming increasingly important to society and demands ongoing attention.
