New Developments in Costa del Sol, Spain: Buying a New Build Home

Costa del Sol is the southern and mоst expensive coast of Spain that belongs to the Andalusia region. It is vital to understand the specifics of the region: because of the Atlantic current, the water in this part is rather cold. The coast attracts not only with its beaches, but the infrastructure, high-end services and standard of living. The water temperature is usually 22 °C - 24 °C, so Costa del Sol is in great demand for swimming pооls.

In this article, we will discuss only new build houses. In the past few years, you can see how "old" traditional Andalusian Costa del Sol is becoming a modern high-tech zone. So we are about to introduce you to the new look of this coast.

The most developed land of the Costa del Sol is located in Estepona and its surroundings, west of Marbella. In Malaga, where the largest local airport is, we can find only a few buildings of new construction. Also, due to the specifics of thе city, this is usually not a resort housing – Malaga is a city for work and study. Marbella is a gem of the coast and a town marked as a luxury. Still, because being in high demand among famous people and a lack of free land, the cost of housing there is overestimated: property price starts from €400.000.

In Marbella-Estepona-Sotogrande area there is some free land, and new developers get licenses easily. British tourists are one of the most active buyers of properties in this area — they fly to Gibraltar and get there in thirty minutes. Estepona is actively developing with the help of the government: in 2019 there was opened a large hospital, and a giant stadium is currently under construction. For several years now the city has been famous for its flower beds and wide (about 70 meters) beach. Housing in Estepona and its surroundings is considered decent and liquid.

Now is a great time to buy new homes and flats. The average 2-bedroom apartment (which we use as an example for this article) 1984-1986 years of construction will cost you about €150 000 (€ 180 000 in case it's refurbished). Similar offers in a new building start from €200,000, which is slightly more expensive. However, it is possible to find some affordable options.

The time to build a house from the moment the license is obtained until it is put into operation varies from 9 to 18 months. Average time of construction is one year. Timing depends on the property: if it is an individual project of a small house, it can be built within six months. In case it is a property from the developer, no one will hurry - the process is carried out slowly, advertising is working, potential buyers walk around the construction site. Hence, you have time to think of the layout and other aspects.

As local agents say, in recent years, the quality of construction has increased significantly. Requirements of buyers are rising. New buildings on the Costa del Sol are constructed with heated floors, modern multimedia technologies, high ceilings and other aspects of contemporary housing. Houses and apartments are put into operation with a ready-to-use kitchen, including electrical appliances like dishwasher and kettle.

Most buyers of real estate on this coast are wealthy people from Western and Northern Europe: the British, Belgians, French, Scandinavians, Russians and residents of Arab countries.

Let's start with the most popular option at the moment which are apartments in a gated complex with a common area. As we said before, on Costa del Sol you can't do without a pool. Pools can be open or closed, heated or unheated, with sea or tap water.

Around the pool, there are usually several three- or four-storey residential blocks of 8-16 apartments each. Except for a pool, a common area of any complex includes a playground, green area with palm trees and flowers and a barbecue area. The management company takes care of this community zone all year round. All residents are required to pay a monthly fee (around €150) for maintenance of the complex.

The residential blocks are usually connected by underground parking. Modern apartments are spacious, with lots of light and windows in all rooms, including bathrooms. Now on Costa del Sol you can find mostly American-style open kitchens with an "island".

Such complexes are the most common option for an average budget. An example of this is the gated complex Las Mesas Homes in Estepona, where 2-bedrooms + 2-bathrooms apartments cost from € 214 000.

This type of property is also great for renting out. Landlords leave keys and negotiate with a management company to rent out the apartment while they are away. For this, the management company usually asks for 20% of the income.

As Costa del Sol is a privileged area for customers with high expectations, over 70% of their requests include sea views. So local companies frequently build housing on a hilltop. Properties on hills are now in trend, which is facilitated by the mountainous areas of Andalusia. These are not just apartments with sea views somewhere... It is a luxury home where the windows of all the bedrooms and living rooms overlook the coast. Usually a house is fully oriented to one side, and the back wall, either rests on this very hill or just "looks" at the backyard. Sometimes the entrance is upstairs and to get to your first floor you need to take the elevator downstairs. These are, for example, AquaLina complex on the road from Marbella to Benahavis and South Bay in Estepona.

The process of development of such houses is divided into several phases. First, they build a house on one hill and look at the reaction of the customers. If sales are going well, a developer moves to the next hill and starts the second phase. In the second phase, there will be additional features, which were lacking in the first one: heated floors, smart home system, split air conditioning and so on – it depends on what customers want. But the price will also increase: if at the first stage the apartment costs about €300,000, then by the second stage the amount can grow up to €380,000. And if the demand for the first phase of the complex, on the contrary, was low, then the second one will simply not be constructed.

A swimming pool and common area for chilling are included in the price. In some complexes, you can even find a gym or a spa with seawater. Nowadays, in the market of new buildings, the concept of gated complexes is the most popular one. For this purpose, developers use all sorts of tricks: install systems that control the temperature, ventilation and humidity, individual elevators to apartments with underground parking, large garages for multiple cars, etc. Sometimes you buy an apartment with three parking spaces included in the price. Such VIP-complexes are well protected: in some cities of Costa del Sol you can enter only with your fingerprint. Depending on features, the cost of an apartment in a luxury complex can vary from €300,000 to €3,000,000.

There's an exciting detail to mention: sometimes residential buildings are designed in such a way that each apartment has its entrance. Seeing your neighbours is not so easy there, which attracts buyers: it feels as if you live in your private villa. Besides, no more than 3 of the 12 apartments are occupied all year round, and the rest arrive only for a vacation.

Some clients have a fair question: can I just find a single high-rise building, not a complex? The answer is yes, such real estate exists, though not so popular among tourists. Usually these are apartment buildings in the city centre or quiet areas and without any sea view. They have their pros: the proximity to schools and kindergartens, as well as a bargain price, which makes them popular among locals. These buildings typically do not offer any communal zone. Still, some developers construct a rooftop pool, where you can swim and enjoy the view of the city. 2-bedroom apartments in the "independent" multi-storey Estepona (for example, Puerto Blanco or Infinity houses) cost from €123 000 plus €70 per month for bills.

Young Spanish families buy many of these apartments with a mortgage. These types of houses are not popular among foreigners, except for customers from England. There is a category of Englishmen, who may never have been to the Spanish seaside. Some spend the whole Spanish holiday in bars or golf courses. What would seem to stop them from drinking beer at home? There is an explanation: in English pubs, a pint costs no less than 4 pounds, while in Spain it costs 1,5 euros. Dinner for a family of five in London costs from £100. And in Spain, you can sit on the first line of the sea, eat fresh seafood, order a couple of bottles of wine - and it still is cheaper! Plus, Great Britain doesn't offer 320 sunny days a year.

Villas on Costa del Sol are built both as an individual project or as a part of a complex. In La Finca de Marbella residence you can buy a house under construction (from 300m²) with a plot (up to 1000m²) for € 900,000. The same villa upon completion costs €1,500,000. Most houses stand on a flat hill; this location is considered to be the best and the most expensive.

The cost of a villa of the same size varies depending on various factors. Firstly, it is a location and an orientation. Windows to the south provide sun all day long, while to the west knock down the price because of the dazzling sunset. Another additional factor is the presence or absence of a basement.

Some homeowners arrange a parking space or a shelter for a car; others prefer to use their square meters differently, and leave the car at communal parking. The gate opens with a pin code, a call to a number, or a remote control.

If the villa is located in a gated complex, it will be 24/7 under surveillance. You can leave the keys with "I'll come back on the 10th of July", and you don't have to worry about anything. The administration of a complex will offer you a property management service. That means you'll get a stronger alarm, a gardener, a pool cleaner and so on. It may cost you around €500 a month. The more villas in the complex, the cheaper is the service. Some great complexes with villas (La Zagaleta, Atalaya, Rio Real, Los Flamingos, Sierra Blanca, Nagueles) are located on the road from Marbella to Benahavis.

If you have your project of a detached villa, no one stops you from finding and negotiating with the gardener and other staff personally. It is not difficult to change filters in the pool. As for fashionable architectural trends, special attention is now paid to the entrance. At the front entrance, you can find hanging gardens, panoramic windows, a waterfall – it depends on the wishes and financial possibilities of a buyer.

Bungalows and townhouses are vertical dwellings with neighbours on common walls. On the ground floor you can find a kitchen, guest toilet and lounge area, sometimes plus a guest bedroom. On the second floor, there are two or three bedrooms and another bathroom.

The third floor is usually a solarium, which is a rooftop terrace. It is used for sunbathing, attic or outdoor office; some install a jacuzzi or a barbecue there.

This used to be a popular type of housing. Still, because it's vertical and has so many stairs, it does not fit everyone – it is not for older people or families with babies. If it's not your case – newly built townhouses on golf courses of Estepona cost from €260,000.

To demonstrate once again the diversity of real estate on Costa del Sol and summarized all of the above, we have made a list of the best, in our opinion, residential complexes with various types of housing for different budgets.

Alcazaba Lagoon. This is a complex of apartments close to Estepona, the third and fourth phases of which are currently under construction. The main advantage is a large artificial lagoon (1.4 hectares) with clear water, the largest on the entire coast.

Around the lake you can find an ideal infrastructure for a family holiday: you can let the children in a lagoon, where they play or do water sports with instructors. For boys and girls, they organize various activities, both individual or in groups, golf and so on. It looks like a children's camp! Distance to the sea – 2 kilometres. The cost of an apartment in Alcazaba Lagoon starts from € 278,000 for two bedrooms.

Valle Romano. Apart-hotel complex on golf courses in Estepona: you can purchase one of the apartments and get at least 5% of the cost of housing every year. All revenue above is divided between you and the hotel owners 80%/20%. The administration of the complex fully handles the search for tenants.

We can say that this is an option for "lazy" investors who want to avoid risks and not be involved in rent management. But it will not be possible to move to Valle Romano for permanent residence, because it is allowed to live in the complex, not more than eight weeks a year. Price: from €99,000 for two bedrooms and two bathrooms with a terrace.

BlueSunset. Apartments under construction with panoramic views of the Mediterranean Sea and a communal pool. Located in Duquesa near Manilva. Depending on the floor and area, the price of apartments in BlueSunset varies from € 129,000 to € 229,000.

The Island. The complex consists of townhouses of five floors (including the top floor with barbecue area and jacuzzi). The main advantage is the location in the city of Estepona on the very coast.

The owners have at their disposal a lounge area with a swimming pool and garden. Palm alley complex is accompanied by private access to the beach. Unlike the previously listed options, The Island is a luxury housing: from € 1,200,000.

Emare. Luxury real estate for the wealthy, located between Estepona and Marbella. It is considered the most luxurious complex on the first sea line of Costa del Sol. Price starts at € 3,200,000. In addition to luxury apartments, the owners get a heated swimming pool and infinity pool with panoramic views. The views from this complex takes a breath away, even from those who have already been there multiple times.

VirtoProperty offers you a tour around some new real estate of Costa del Sol. We recommend that you spend at least three days viewing the best options we have for you.

We guarantee the support of an English-speaking agent at all stages. In addition to the viewings, our agent will be monitoring the construction process and providing you with photos and videos from the construction site.

Thank you for your attention! If you are interested in real estate on Costa del Sol, please contact our agents. And do not forget to follow us on social networks!