Having only really just taken off, residential tourism in the province of Cadiz has taken a nose dive with a 50 per cent fall in the sale of second homes to the British. Two companies providing services in this sector, Costa de la Luz Homes and Mercers Limited, have cited that the British tourist appears to have lost interest in Spanish holiday homes in general and Cadiz is no exception. This trend is a result of a combination of high interest rates and the weak pound, which has suffered a 15 per cent fall in value against the euro in the last ten months. The economic crisis and a fear of planning corruption have also had an effect, making potential buyers distrustful. People are now opting for the cheaper and financially sounder alternatives available in countries such as Bulgaria and Romania.

The residential tourism industry has been hit hard by this lack of British interest, as these tourists accounted for 60 per cent of the foreign investment in Cadiz. At the end of last year, purchases of Spanish properties by foreigners came to around 340 million euros, compared with more than 470 million at the end of 2006.

Locations favoured by holiday-home buyers are also changing. Chiclana, Conil and Tarifa used to feature among Britons’ favourite destinations in the province of Cadiz, however, due to rising prices, people are now showing more interest in areas situated further from the beach, such as La Janda.

“British tourists are different from Spanish tourists. They are interested in activities other than just going to the beach everyday, and our company is taking this into account”, says Nicole, an employee from the Mercers Limited office in Jerez. Ángel Salazar, general secretary at Promotur, the residential tourism association, would agree; “Spas and outdoor activities are proving to be very popular both in the province of Cadiz and the east of Almeria.” Perhaps, then, the future lies in these new ideas for generating tourist interest.

Regards