13/11/2012 00:00
TW
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Palma.—These most recent figures reflecting the crisis in the construction sector were revealed yesterday by the Balearic Architectural College and the official Majorcan Surveyors' Association. “The economic crisis hasn't bottomed out yet and in the construction industry it will continue until at least October of 2013,” warned Manuel Gomez, Director of the Balearic Constructors' Association. “The significant downturn in the number of building permits being issued is a direct result of the worsening of the economy, the increase in the number of unemployed and the lack of consumer confidence,” Gomez insisted, furthering that the financial organisations which have traditionally provided money up front for building projects have not been forthcoming.

Mateo Moya, the Technical Secretaty of the Majorcan Surveyors' Association said that “our members can see that there are no signs of recovery at all of the construction industry in Majorca and that the same downward trend which started in 2007 continues on course. “There are no signs it is going to improve, all we can say is that the industry remains functional, partly due to the permits which are issued for large family homes for those who can afford them. In general though, new housing is at a standstill.

Both Moya and Gomez said that another aspect which was “keeping the building industry's head above water” was the modernisation and improvement works which have been prompted by the new Tourism Law, chiefly affecting the hotel sector.

Gomez was critical of those local councils in tourist resorts who were allegedly “blocking” the applications of builders.