John Culatto
THE property market in Gibraltar could be turned upside down after the Gibraltar Government gave the green light for affordable homeowners to sell their flats.
It will mean ordinary working class families that have owned a 30-year-old government flat for at least the last decade will be able to now sell their property on the lucrative private market.
With homes on the Rock going for over £4,000 per square metre, the rewards of the relaxing of lease conditions could make working people very wealthy overnight.
The government decision is a long-term manifesto commitment.
It was the first GSLP government that first started building the flats for working class families in its first term in office from 1988-96.
It set the limitation that new homeowners could not sell their homes to stop them speculating with the government scheme for their own profit.
This was especially important considering that many people bought the homes on the 50-50 scheme that saw the government pay half the cost price of the dwellings.
Even at full price, flats on the Westside reclamation could now be sold at around four or five times their original price.
But now it said in a statement that it was ‘fair’ that after 30 years ‘the resale restrictions should no longer apply’.
Chief Minister Fabian Picardo said he was ‘proud’ of how his government had built so many affordable homes.
“This will allow families whose needs may have changed in that time to sell on the open market,” Picardo said.
But he reminded homeowners from the flats he had built during the latest GSLP/Liberal period in government they would still have to wait some time before being able to sell their flats.
“The prevention of speculation on new affordable properties continues to work in the way that it was always intended to; to provide affordable homes for generations of Gibraltarian families,” he added.
Just in case homeowners are unsure whether they can sell up, they can contact public housing manager Land Property Services for full consent.
The move comes as the government set about building over a thousand new affordable homes over the coming years.
ALSO READ:
- WATCH: Nearly 400 new affordable homes to be built at North Mole in Gibraltar
- Gibraltar government get £90 million cash payment for Eastside reclamation as project moves forward
- Gibraltar home-seekers get welcome news as government signs deal for over 700 new apartments
