Barcelona's city hall announced on Friday its decision to purchase an apartment block known as 'Casa Orsola' to prevent the eviction of several tenants, including a teacher affected by Spain's housing crisis and protests against over-tourism.
The city hall, in collaboration with the social housing association Habitat 3 Foundation, will acquire the Art Nouveau building in downtown Barcelona for about 9 million euros ($9.35 million) from Lioness Investments, confirmed Mayor Jaume Collboni.
Stating that "No tenant will have to leave Casa Orsola," Collboni clarified that all apartments will be transformed into social and affordable rentals, acquired at a price 30% below the current market value.
Josep Torrent, a long-term resident of Casa Orsola, faced eviction when private investors Lioness Investments took ownership in 2020 with intentions to convert the apartments into short-term rentals for tourists.
Torrent's situation mirrors the widespread housing crisis affecting major cities in Spain, with soaring rental prices due to gentrification, a lack of home construction, and a surge in short-term tourist rentals through platforms like Airbnb.
The Catalan Tenants Union expressed relief that Casa Orsola's apartments would not be turned into pricey short-term rentals, although they critiqued the city hall for allegedly overpaying for the building.
Lioness Investments did not disclose their purchase price for the property nor provide immediate comment when approached.
To alleviate pressure on Barcelona's strained housing market, Collboni had previously announced measures starting in 2028.