Two Cooperatives Compete for Affordable Housing Project in Funchal
Madeira GuideTwo cooperatives have submitted proposals for a new affordable housing project on Caminho dos Saltos, Funchal. This initiative aims to provide cost-controlled residential units.
In a significant move towards enhancing affordable housing in Madeira, two cooperatives have submitted proposals for a new residential project on Caminho dos Saltos, located in the parish of Imaculado Coração de Maria, Funchal. This initiative is part of the region's broader strategy to increase housing availability at controlled costs.
The IHM - Investimentos Habitacionais da Madeira, a key player in regional housing development, opened the public tender earlier this year. The tender was specifically aimed at housing and construction cooperatives, inviting them to develop a residential complex on a plot of approximately 5,580 square meters.
The land, valued at 1.122 million euros, will be ceded to the winning cooperative under a 50-year surface right agreement. This agreement will eventually lead to a definitive and onerous transfer of property rights, conditional upon the cooperative transferring ownership of at least one residential unit, complete with parking and storage, back to the IHM.
This project is aligned with the government's initiatives to promote accessible housing. The residential units will serve as primary homes for at least 25 years, prohibiting any local accommodation or commercial exploitation. The economic value of the cooperative's contribution must be at least 20% of the land's value.
The proposals are currently under review by a dedicated analysis committee, which will ensure compliance with the tender's requirements. This development is eagerly anticipated by both residents and potential new inhabitants of Madeira, promising to bolster the local housing market significantly.
Sources
Madeira Guide
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