The sale of land closed in the last year, between April 2017 and March 2018, amounted to 3,590 million euros, an amount 22.4% higher than the previous twelve months, which also means a maximum of, at least, the last five years, according to the latest data from the Ministry of Public Works.
The increase in the volume invested in land derives from the growth in the number of land transactions carried out and also from the increase in the surface sold, given the decrease recorded in its price.
The growth of the land market is driven by the investment plans developed by the major real estate companies, such as the listed companies Neinor, Aedas or Quabit, in order to meet their housing construction goals that include in their strategic plans to take advantage of the increase of the demand and the boom of the sector.
Specifically, land purchase transactions increased by 17.5% in the twelve months between April 2016 and March 2018, to 21,255 transactions.
In these operations a total of 29.50 million square meters of land changed hands, an area that exceeds by 26% the one that was bought and sold in the preceding twelve months.
Despite this acceleration in the land market, land prices continue to fall. At the end of the first quarter, the average amount of square meter of urban land stood at 167.5 euros, 2.6% less than a year earlier.
The fall is even greater, of 7.8%, in urban areas of large cities, those with more than 50,000 inhabitants, although it stands at almost 300 euros (297 euros per square meter), and doubles the average price.