The reinforcement of Golden Visa boosts investments in Marbella and Costa del Sol 6 Nov, 2017 Manuel Alarcon
The introduction of the Golden Visa by the government in 2013 has multiplied by four the number of investors in Spain, to a total of 2,236. The global figure invested is 2,157 million euros, of which 72% correspond to real estate purchases. The province of Malaga, with the Costa del Sol and Marbella, ranks second in investor preferences, amounting to a total of 348, ahead of Madrid, with 306 investors -Barcelona continues to be the standout favorite, hoarding almost half of the total, with 893 (2016 figures). Chinese and Russian citizens are the ones who have benefited the most from the advantages of the Golden Visa, since they account for 59.4% of the total investment.
In the first period after its approval, the Golden Visa did not yield the results expected by Spanish authorities. Thus, in its first year and a half of existence, it only managed to attract some half a thousand investors to Spain, who brought capital worth around 700 million euros – well below Portugal figures. Reacting to this situation, the government decided to change its strategy and enlarged the benefits of the Golden Visa so as to include holders’ partners and also their parents and dependent children of legal age. So, the number of authorizations since 2013 rose to 27,301 individuals, including investors, professionals and family members.
As we mentioned, Chinese and Russian investors have taken good advantage of this regulation since its entry into force in September 2013. According to the data of the Secretary of State for Trade, 714 Chinese Golden Visa holders have invested some 716 million euros —including real estate assets, financial and business projects—. At a very short distance, the 685 Russian holders have made a disbursement of 567 million euros.
Investors who want to become Golden Visa holders have to prove a disbursement equal to or greater than 2 million euros in Spanish public debt; or one million in shares, participations or deposits located in Spain; or the acquisition of a property located in national territory for a value of at least 500,000 euros. A business project that generates employment, has a relevant impact in the region where it is developed or involves a significant contribution to technological or scientific innovation is also accepted as an investment. In any case, the applicant must certify the absence of criminal record and sufficient financial resources to support himself (about 2,130 euros per month plus another 530 euros per family member).6th Nov, 2017 by Manuel Alarcon