Arona Issues First Permit for €1 Billion El Mojón Development After 30-Year Delay
Arona City Council has issued the first building permit for the long-stalled El Mojón development in Tenerife, marking the start of a €1 billion project to create a sustainable residential and commercial hub.
The long-awaited development of the El Mojón area in southern Tenerife is finally moving forward, marking a major turning point for the region. Arona City Council has issued the first building permit for a new commercial complex, signaling the start of construction on a site that has been stalled for nearly 30 years.
Spanning nearly one million square meters near Los Cristianos, the project represents a €1 billion investment. It aims to transform the area by integrating new residential and tourist spaces. Although the project dates back to 1996, it only recently cleared the necessary administrative hurdles following the completion of initial infrastructure work last year. While some park areas are still being finished, the council has finalized the legal framework to allow construction to begin.
The updated design focuses on modern sustainability, featuring low building density and a central green corridor that will connect the 9,000 planned residential and tourist units.
To manage the expected increase in traffic, the project includes a strategic overhaul of local mobility, most notably the partial undergrounding of Avenida Chayofita—a joint effort between the local, island, and regional governments. Additionally, officials have confirmed that vacation rentals are strictly prohibited, as the goal is to create a high-quality, permanent urban community rather than a transient holiday zone.
Mayor Fátima Lemes and Urban Planning Councilor Javier Baute hailed the milestone as a victory for municipal management, crediting the collaboration with the Compensation Board for ending decades of inactivity. Miguel Villarroya, president of the Board, noted that the development will help position Arona as a premier, well-rounded destination.
With this first permit issued, the area is set for a phased rollout of new facilities, including schools, sports centers, and public spaces, turning what was once the Canary Islands' largest undeveloped plot into a major hub for jobs and economic growth.