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The lack of availability, the arrival of private universities and the demographic trends point to a greater need for student residences and homes for the elderly, which add to Málaga’s position as a city of reference for different segments of the population.

Sergio Sanz | Senior Consultant. Residential & Alternatives. Capital Markets

Student residences

The forecasts are positive, although the health crisis has had a significant impact on the operational parameters of student residences. The investment market continues to be highly active, with institutional interest and high developer influence. As such, it must be mentioned that the construction of big developments in the area of Teatinos and near the conference centre, as well as new land operations for such purpose, are still ongoing.

Over the next few years, the several private universities in Málaga will open their doors, which will help to bolster the position of the location as a prominent university city on a national level, with very positive foundations for continuing on the upward pre-COVID path.

Student residences in Málaga (no. of beds)
Evolution of the population of Málaga city
Pyramid of Málaga population

Homes for the elderly and hospitals

The healthcare and social-care sector is one of the segments that has best performed in terms of real estate.

Several groups are arriving in the investment market for both the healthcare and the social-care sector. Land operations for new developments, profitability assets and corporate operations are being undertaken, mainly in the subsegment of homes for the elderly.

The province of Málaga has some exceptional circumstances for this kind of segment: an increasing population, both resident and non-resident, an increasing over-65 population and, particularly, a shortfall of beds (WHO recommends 5 beds for every 100 habitants over the age of 65, while the ratio in the province currently stands at 2.5). We must not forget other aspects such as the climate, services and unbeatable transport connections.

Furthermore, we have to mention the emergence of ‘senior living’, a formula of non-dependant retirement homes, which are increasingly sought-after by users and investment groups.

We believe that it will be one of the real-estate segments that will most grow over the next few years.

Returns on investment operations have remained stable. In the province of Málaga, we have some very solid bases for these kinds of developments


  • The forecasts for the next academic year are positive and pre-COVID levels are expected to be reached in 2022-23, once the uncertainties of reserves during the pandemic are overcome.

  • The major specialised funds remain interested in the acquisition of land for new developments. In Andalusia, they are focussing on Seville, Granada and, particularly, the city of Málaga.

  • Private university interest in coming to the area.

  • Positive outlooks for the forthcoming years as regards both operations and investment.

  • The segment has held strong during the health crisis.

  • Active and expanding investment market.

  • Emergence of new segments, like senior living.