Tenerife Council Unveils Major Housing, Infrastructure, and Business Support Plan
The Tenerife Island Council has launched a multi-faceted initiative to address the local housing crisis, upgrade coastal infrastructure, and provide €1.2 million in sustainability subsidies for local businesses.
The Tenerife Island Council has announced a new plan to tackle the island’s housing crisis and boost the local economy. By working closely with other government bodies, the Council aims to move forward on several stalled projects through a combination of social housing construction, coastal improvements, and financial support for local businesses.
Affordable Housing The core of this policy is the creation of 45 affordable rental properties in Arafo and La Victoria de Acentejo. With a €9 million investment shared between the Island Council and the Canary Islands Housing Institute (Icavi), this project aims to address the island's housing shortage. This initiative is part of a broader goal to deliver 1,200 social housing units by the end of the current term, adding to existing plans for Santa Cruz de Tenerife’s María Jiménez and Cuevas Blancas neighborhoods.
Coastal Infrastructure The Council has also approved several projects under the "Tenerife and the Sea" program, scheduled for 2026–2027. These include the third phase of the Amarilla Golf promenade in San Miguel, pedestrian improvements in La Zarza (Fasnia), and upgrades to the beach at Las Caletillas in Candelaria. The Island Council will fund the vast majority—between 85% and 86%—of these costs, highlighting its role in supporting municipal infrastructure.
Economic Support To help local industry, the Council has increased the maximum subsidy for individual businesses to €40,000. A budget of €1.2 million (which could rise to €1.6 million) has been set aside to help companies invest in sustainability, energy efficiency, waste management, and solar power. To make the process easier, businesses can now apply for funding either for work they have already completed or for future projects.
Essential Services Finally, the Council is investing €1.7 million to upgrade the sanitation network in Santa Úrsula. This project emphasizes the importance of cooperation between local and island authorities in managing essential public services.