A conflict has erupted in Valencia over a major project to build 77 protected-status homes (VPP) in the Nazaret district. City authorities are reviewing the developer’s request to amend the construction plan, which envisions a private pool and communal areas within the future residential complex. Meanwhile, representatives of the socialist group in the municipality claim that all units have already been reserved, despite the lack of permits and announced prices.
According to the socialists, the company Albaluz, which won the contract to develop the site as part of the Plan Vive program, has already allocated all the homes to future owners. The developer’s website states that all lots are ‘sold’, even though the official sale has not started and construction permits have yet to be issued. Opposition representatives emphasize that neither the price nor the purchase conditions have been published, and the reservations were made without any public notice.
Authorities’ response and deal details
Valencia’s city council, responding to the allegations, states that they are currently only conducting a detailed review regarding the removal of an internal passage between the plots, which arose due to specific layout features. Authorities stress that they did not participate in the land transfer or housing allocation, and all project decisions remain under consideration. The official statement notes that any submitted objections will be reviewed according to established procedures, and further progress on the project depends on technical evaluation.
The deal between Albaluz and the administration was structured as an exchange: the developer received the right to build 77 houses, in return for committing to transfer 11 of them to the regional housing fund. Two companies participated in the tender, but one failed to provide the full set of documents, making Albaluz the winner. According to representatives of the Socialists, this limited-competition scheme is being repeated in other Plan Vive projects.
Questions over transparency and cost
The opposition is particularly puzzled by the proposal to add a private pool, garden, and sports facilities to the project. In their view, such features increase both construction and maintenance costs, which contradicts the idea of fixed-price social housing. The Socialists intend to file formal objections to the changes in the plan to prevent the privatization of streets and the emergence of infrastructure not intended for public use.
Valencia authorities insist that the corruption allegations are unfounded and that any suspicions only hinder the implementation of the affordable housing program. The administration emphasizes that no homes have been built yet, no permits have been issued, and all decisions are made within the current legal framework.
Background on the Plan Vive program
The Plan Vive, initiated by the government of the Valencian Community, provides for the construction of 10,000 VPP units in collaboration with private companies. Under this scheme, part of the housing built is transferred to the state, while the rest is managed by the developer. Such projects often become the subject of debate due to the limited number of bidders and lack of transparency in the early stages.
Questions regarding the transparency of state resource allocation and competition in the construction sector are not being raised for the first time. In Spain, there have already been discussions surrounding cases where large infrastructure projects sparked disputes between municipalities and central authorities. For example, a major US investment program in the country’s military facilities recently drew attention, covered in more detail in the article about new standards for the Rota bases and Spain’s role in NATO.
