Torrox, which benefitted greatly from the real estate boom during the early part of this decade, is now suffering badly as a result of the recession in the construction industry.
In 2007, there were 1,270 requests for building licenses in the municipality. So far this year there have been just 30 requests.
This decline in the construction industry is also having a dramatic effect on municipal coffers, with earnings from such urban activity falling from €1 million in 2008 to around €500,000 for this year.
On the positive side, recent new developments in El Peñoncillo, Calaceite, Barranco de El Puerto and El Morche have meant that some 300 new homes are nearing completion. The problem, however, is that there are no buyers for these new houses and this is causing concern for the Council.
Two major projects in Torrox, both involving golf courses, are also not proceeding with any great pace, another concern for the Council. One is the complex in Calaceite with a planned 18 hole golf course and the other is in Barranco de El Puerto, where a €24 million project is underway to build access roads for a proposed 9 hole golf course.