The TSJC's decision responds to an administrative litigation appeal filed by several real estate entities, who argue that the plan does not offer sufficient economic incentives for the private sector to build social housing. Among the appealing entities are the Chamber of Urban Property of Barcelona, the College of Property Administrators Barcelona-Lleida, the College of Real Estate Agents of Barcelona and Province, the Association of Real Estate Agents of Catalonia, and the Association of Developers and Constructors of Buildings of Catalonia.
According to one of the appellants, the planning objectives are legitimate, but their implementation could be counterproductive. It is argued that an unviable urban regulation can lead to less construction activity, less renovation, and consequently, a reduction in the available housing supply in the neighborhood.
The plan modification proposed, among other measures, dividing 160 m² apartments into two units, one for social housing and the other for free market. An expert report from the plaintiffs indicates that this proposal does not meet the economic viability precept, especially for duplexes, as it prevents independent access to each new dwelling.
The report also questions the economic viability of other proposals. For new constructions dedicating 30% to social housing, the operation is viable but does not exceed the economic return required by urban planning law. The change of use from commercial premises to social housing generates significant revenue losses, making the proposal unviable, in addition to the scarcity of premises meeting habitability conditions.
It neither works nor will it work
The TSJC has ruled in favor of the plaintiffs, overturning the plan. Sector entities emphasize the importance of urban objectives being legally sound and the result of dialogue between the public and private sectors, as well as with the agents involved in their execution.
