Construction in Spain boomed – until the economy collapsed in 2008. The result of the property bubble bursting are abandoned building sites omnipresent in Spain.
In the 1990ies Spain saw strong economic growth and the admittance to the Eurozone. Interest rates fell to historic lows with the introduction of the euro in 2002 which attracted foreign investors.
At the peak of the bubble in 2006, Spain had more housing starts than the UK, Germany, France and Italy combined. Many Spaniards realized the national dream of their own home. House ownership became very common. The construction sector boomed and accounted for every eighth job of Spain’s labor force.
Real estate prices surged in the years before the 2008 crisis. Developers and speculators got rich.
Then construction dried up when the economic crisis in 2008 burst the housing bubble. Millions of jobs have since been wiped out. Unemployment in Spain is 25 percent overall, and 50 percent among Spain’s youth – a lost generation.
Abandoned Construction Sites
Some building constructions have stopped early and look like skelettons. Others are almost finished but have no running water – because arrangements for water delivery have never been made with the municipal authorities.
In daylight, such apartment buildings look ready to move in. At night, these ghost buildings remain dark without any residents.