Legal Aspects and Licensing for New Constructions in Mallorca: What You Need to Know in 2024

Introduction

Building new luxury villas and properties in Mallorca has seen notable growth in recent years, driven by high demand and international interest in the Balearic Islands’ real estate market. However, undertaking a project of this scale requires an understanding of specific legal requirements and local regulations. Here, we explore the legal aspects, permits, and regulations in place for 2024 for those interested in constructing luxury properties in Mallorca.

1. Construction Permits in Mallorca: A Complex Process

• Urban Planning Licence: Essential for any construction project, this permit must be obtained before starting any building works. In Mallorca, it is granted according to each municipality’s specific regulations. Local councils have the final say in approving design and construction plans, ensuring they adhere to local codes and zoning laws.
• Preliminary Feasibility Report: Advised before initiating any procedures, this report allows the developer to confirm legal compliance. This is particularly relevant for luxury villas, which usually involve personalised design and architectural planning.

2. Urban Planning Regulations: Height and Architectural Style Limitations

• Height and Density Restrictions: Urban planning regulations in Mallorca impose restrictions on building heights and plot occupancy density. In luxury residential areas, such as Son Vida or Santa Ponsa, specific limits aim to preserve the scenic surroundings and prevent overdevelopment.
• Architectural Style and Environmental Harmony: Some municipalities require that new buildings respect an architectural style consistent with the environment, especially in historic or protected areas. This is crucial for luxury properties, where projects are expected to integrate aesthetically with the Mallorcan landscape.

3. Environmental Regulations: Protecting the Natural Environment

• Environmental Impact Assessment: Any luxury construction impacting the natural environment significantly is subject to an environmental assessment. This is essential in coastal or protected land areas where the local ecosystem must be preserved.
• Sustainable Material Use: In line with sustainability trends, Mallorca has implemented regulations promoting the use of sustainable materials in construction. For luxury projects, this represents an opportunity to incorporate advanced technologies and low-impact materials, enhancing the property’s value and appeal.

4. Special Permits for Luxury Properties: Pools, Gardens, and Terraces

• Swimming Pool Construction: Building private pools in luxury properties requires additional permits, particularly in areas with water restrictions. Local authorities regulate pool size and type depending on location and environmental impact.
• Garden and Outdoor Area Modifications: Any landscaping or garden interventions, such as terrace installations or native vegetation planting, may be regulated based on the land’s location. Areas with protected vegetation or within special protection zones require additional permits.

5. Licensing for Extensions and Renovations on Existing Properties

• Extension and Renovation Process: Luxury villa owners wishing to expand or renovate must obtain specific permits that vary according to the project’s scope. Minor renovations may be exempt from certain permits, but significant expansions require licensing.
• Compliance with Safety and Accessibility Standards: The new 2024 regulations in the Balearic Islands have placed greater emphasis on construction safety and accessibility. For luxury renovations, this entails adapting properties to current accessibility and safety standards, especially if the villas are to be rented out or used commercially.

6. Taxes and Fees Associated with Luxury Construction Projects

• Construction, Installation, and Works Tax (ICIO): This local tax, calculated based on the project’s total cost, is a crucial consideration in construction budgets. Given luxury projects’ high values, they can incur higher rates.
• Licence Fees: Local councils in Mallorca apply licence fees varying by project type and size. For a luxury villa, these fees may represent a significant investment, which should be factored into financial planning.

7. Tips for Speeding Up the Licensing Process in Luxury Projects

• Professional Advice: Having a professional team familiar with local regulations and licensing processes in Mallorca can significantly ease project development. Specialised construction and architecture firms in Mallorca are well-versed in managing procedures with councils and know each municipality’s specific requirements.
• Early Planning: The licensing process can take several months, especially in high-demand construction areas. Early planning and complete documentation can reduce waiting times and avoid delays.

Building a luxury villa in Mallorca in 2024 offers the opportunity to create an exclusive and personalised property, but it requires compliance with a range of regulations and legal processes that ensure sustainability and alignment with the Balearic Islands’ environment. Familiarity with necessary permits and understanding local regulations is crucial for a smooth project. Working with experts in construction and local legality allows property owners to efficiently navigate these requirements, maximising the value and appeal of their properties in Mallorca.