Squatters in the Canary Islands

By Maximilian Brandtner

So the Canary Islands government has recently let the proverbial cat out of the bag: the law governing VV licences is to be reformed. Small, private owners and families will be protected, whilst commercial providers with VV licences are unlikely to be. It looks as though this is a compromise between the local community and the paying (hotel) lobby.

That’s good. At least for the protection of private households‘ property. As you can read, large blocks of flats are now being built specifically for timeshare. However, the same article also states that there are currently 211,000 vacant flats in the Canary Islands that are neither timeshare nor permanently let. Two of them belong to me. And unfortunately, that’s likely to remain the case for the time being.

After all, it is doubtful whether this new holiday let law will solve the problem of the housing shortage in the Canary Islands. As mentioned in the first post on the holiday let reform, there are at least twelve challenges – not just holiday lets.

Prompted by the new holiday let laws and a recent personal experience, I shall explain below why the current legislation on squatting in flats is an obstacle for both Canarios and foreign private investors. To state this quite clearly from the outset: the idea of letting a flat on a long-term basis is still a long way off. But what has happened?

Our house is situated on a small, car-free street in the historic centre of a small village by the sea. There are three restaurants, two small supermarkets (not chains, but family-run businesses) and a petrol station. There isn’t a single hotel. We like it there. There’s a small stretch by the sea that’s of interest to tourists. Holiday flats – some with, some without breakfast.

In that respect, I welcome the new law, which steps up checks in the local communities, because we hold a VV licence and pay fees and taxes for it. And there is a large part of the village that is mainly inhabited by Canarios who work in the large hotels in the tourist areas. We get on very well with one another and have made some genuine friends.

A while ago, we spent two weeks on holiday at our house. And we witnessed first-hand how the house diagonally opposite Okupas was squatted in. The whole neighbourhood – the Canarios and the few internationals like us – are dismayed.

But what has happened? Opposite is an old house, which is said to belong to a community of heirs who cannot agree on what should happen to it. That’s life. So the house has been standing empty for a long time. It’s not in a good state.

This is how squatters in the Canary Islands secure a place to live

Then, one day, we saw a couple sitting in the entrance hall. They greeted us warmly. We greeted them back warmly. But what on earth was that? The house doesn’t actually look habitable. Rather – despite its excellent location with sea views – it’s a property with foundation walls but no habitable rooms.

The next day, we suddenly heard loud voices and a commotion. The police were there. The new tenants were in the flat, talking to the police. Things got noisy. The police left again. Local residents came over to the new tenants. Things got noisy again. The local residents left again.

The next day, there were suddenly not two but four people. A car belonging to an alarm systems company was parked in the street. The employee spoke to the new residents – and then disappeared again.

The new residents went to the beach and came back with several water canisters that had just been filled at the beach shower. Paid for by whom? Exactly: the hard-working taxpayers. The new residents, numbers three and four, came into the house with a shopping trolley full of bits and bobs. And now we could see a solar panel in the window, which is apparently used to charge mobile phones.

No water. No electricity. What about the sewage? Gradually, the neighbourhood began to ask itself a few questions.

Even the Canary Islands police are often powerless

It seems the night was a lively one. The police turned up again, apparently because neighbours had complained about the noise. But here too, after a brief discussion with the new residents, the police quickly left again. So that’s how the rule of law works.

However, the protection of property rights does not work, as we hear accounts of cases where it takes two to three years, or even longer, to obtain a court order to evict the squatters from the property. Some do not even turn up for court hearings, which makes the process take even longer. Furthermore, the owner is obliged to pay the maintenance costs for the property on behalf of the new occupants, whom the Spanish state legalises through its laws (see police intervention).

So how does squatting work? If the squatters can prove that they have been ‚living‘ in the new flat for at least 48 hours, they are allowed to stay until the court decides otherwise. How does that work? Apparently, the squatters order a pizza using the new address. The receipt shows both the new address and a date and time. The clock starts ticking from then on. That serves as proof of the 48-hour period spent in the property.

The following stories are doing the rounds: The owner of a flat tried to evict the squatters from his property. He apparently attempted to do so by threatening the squatters and assaulting them. So who is in prison now? That’s right: the owner. Who is living in the flat? That’s right: the squatters. Who pays for the water and electricity? That’s right: the one in prison.

Another story is about a house that has been occupied by squatters for over three years. And they’re even renting out the holiday home as a holiday let online. He’s a ‚popular host‘. He doesn’t have a VV.

That’s why some properties in the Canary Islands stand empty

When I talk to my friends from the Canary Islands about this, they tell me: ‚Just not the government. Just not the courts.‘ There are firms that operate on the fringes of legality – though still within the law – and, for a fee of several thousand euros, can put forward a convincing case that persuades the squatters to leave the property within a matter of hours.

Is this the European Union’s exemplary rule of law in 2024? Or is this Colombia in the days of Pablo Escobar?

My friends from the Canary Islands also tell me that the problem isn’t just the obvious ‚okupas‘ who squat in a house for personal, political or whatever other reasons. If you have a tenant who stops paying the rent, they are also protected by law.

What does this mean for me, as someone who would actually quite like to let a flat on a long-term basis? The risk is too great for me! At the moment, I pay a monthly fee for an alarm system with five cameras that take photos straight away and alert the police, so that action can still be taken against the squatters within 48 hours. I’ve also installed my own camera system powered by solar energy. Better safe than sorry.

Rent it out on a long-term basis? No way. I’d rather leave the house empty. And I’d rather work longer in Germany to make up for the lost rental income before I (perhaps) spend my retirement in the Canary Islands. That is, if the legal situation allows it. And both my Canarian friends and my tourist friends in the Canary Islands tell me the same thing: whatever you do, don’t rent it out on a long-term basis.

What I’m also wondering is this: if the four – or is it now six? – occupants of the squatted house, with its solar panel and fresh water from the beach shower, gave it a bit of thought, they’d want to improve their situation. Perhaps a house with water and electricity. And furniture. What if they’ve got their sights set on my house opposite, which is currently empty?

It would be so easy to create more flats if the laws were finally changed. 211,000 flats are standing empty. That would provide housing for around half a million people in the Canary Islands. I’d be the first to sign a long-term tenancy agreement. You wouldn’t believe how many enquiries I’ve had from my neighbours and friends in the street who are looking for a decent flat at a reasonable price on a long-term basis.