Andorra Allocates €189,800 to Rent Buildings for Affordable Housing Expansion

The Andorran government has launched a public tender to rent entire buildings for incorporation into the public affordable housing stock, allocating €189,800 for 2026 under contracts of at least 30 years.

The tender, detailed in Wednesday's Butlletí Oficial del Principat d'Andorra (BOPA), aims to secure vacant properties from the real estate market for public rental housing. Eligible buildings include multifamily residential units, aparthotels, tourist apartments, and tourist homes anywhere in the Principat, provided they are free of liens, tenants, occupants, or squatters, and can obtain a habitability certificate.

Properties are excluded if they are single-family homes, rural farmhouses, in red or orange risk zones, prohibited from residential use by zoning, or needing extensive renovations beyond the lease term's scope, cost, or timeline.

Open to any owner—individual or corporate, Andorran or foreign—with proper legal title and solvency, the process involves proposal submissions, eligibility reviews, independent valuations, initial bids, and negotiations. These can adjust rent offers (not exceeding the valuation), lease duration, and any payment grace periods before final proposals.

Bids earn up to 100 points, with 60 for price—prioritizing those at least 10% below valuation. Additional scores reward minimal or no renovations (highest marks; penalties rise above €12,000 per unit), strong energy efficiency, and proximity to kilometre zero.

Housing Minister Conxita Marsol underscored the effort. The government will select the winner and commit multiyear funds. Winners must provide a 2% rent guarantee, refundable on contract signing within 60 days of award.

Proposals must be submitted by 17 August.