The population in the Alentejo and the interior of Portugal has been declining over the last decade. The lack of investment in the area, insufficient housing and a lack of employment opportunities have been highlighted as contributing factors to this downward trend.

Investing in the Alentejo region

This investment is a part of the Intermunicipal Plan for the Promotion of Affordable Housing in Baixo Alentejo (PIPHA-BA), and is estimated to have a value of around 22.5 million euros.

This strategy aims at promoting the creation of an intermunicipal affordable housing exchange, which will be aimed at “the working-age population and those with intermediate incomes” according to the CIMBAL.

Accessing affordable, liveable housing is becoming a increasingly difficult in the Alentejo due to “the scarcity of dwellings in the rental market and the prices charged, which are incompatible with the income levels of families”.

Renovating vacant properties

PIPHA-BA also intends to “deepen the articulation between the policy of housing and urban and built rehabilitation, promoting the rehabilitation and reoccupation of vacant properties ”.

CIMBAL´s strategy covers, which 13 of the 14 municipalities in the Beja district, with the exception of Odemira, is also aiming to offer affordable housing to rent through the development of 120 public buildings.

This housing is intended to be created by 2026, and would represent a cost of 15 million euros based on an estimated cost of €125 000 per housing unit.

Private residences to support public housing

The creation of a further 330 private residences is another step in the PIPHA-BA. 270 of the proposed 330 residences will be created “through the reoccupation of vacant dwellings for affordable rent”.

The remaining 60 will be built, but with costs being controlled for construction so the buildings can be sold or rented at an affordable price. The investment for this could reach €7.5 million.

According to PIPHA-BA, CIMBAL will be responsible for coordinating the implementation of this plan.