Andorra Open to Expanding €35M Affordable Housing Fund Amid Strong Interest

Andorra's Housing Minister Conxita Marsol has indicated the government is open to expanding the €35 million fund for public affordable housing if strong property offers exceed expectations, citing the executive's solid finances including an €88 million surplus.

Speaking at a press conference on foreign investment trends, Marsol said officials are already receiving interest from property owners ahead of the formal tender, expected to launch soon. "We've had people tell us they will submit offers—several, in fact," she noted, highlighting some as particularly promising because they involve fully completed buildings, including furnished units and former tourist apartments that could join the public rental pool quickly.

The minister stressed housing remains the government's top priority and argued that boosting the stock further could help moderate average rental prices nationwide. "If we increase it more, we'll have an impact on the average rental price in the country," she said. While no formal budget increase has been discussed with other cabinet members yet, Marsol said such options are on the table. "The accounts are in a good situation," she added, referencing the recent surplus.

The €35 million, approved urgently by the General Council last week from the 2025 surplus, breaks down as €21.6 million for building purchases, €6.4 million for land acquisition, €6 million for new construction, and €1 million for related projects. Marsol noted the law allows reallocation based on needs, and she expects a high volume of bids. "I'd be very happy if we get many and have to raise the amount," she said, adding that decisions would follow once formal proposals arrive.

The push aligns with efforts to redirect properties from tourism to long-term residential rentals amid affordability pressures. Officials prioritise ready-to-use buildings to speed up delivery.