In 2007, at the height of the construction boom, industrial estates in Málaga city and many municipalities in the province were full and new businesses faced a struggle to locate suitable premises.
Now, around one-third of the 7,468,935 square metres of industrial space on the 16 industrial estates and business parks in Málaga and Antequera are empty. There are exceptions, such as those nearer to the city centre, like San Luis and Alameda, which still attract interest, but many areas are beginning to decay.
Some of the warehouses have become outdated, with deficiencies in electrical installations, telecommunications and fire prevention, making them less attractive options for businesses.
The cost of renting industrial space has fallen by as much as fifty percent, but this still doesn’t help. Buying premises is also not an option as banks will just not lend the money for such an enterprise.
For the owners of the estates and parks, upgrading is an expensive business and again, the banks are not willing to lend. In addition, many developers bought land during the boom and now, with prices falling, it is just not worth selling.
Some planned industrial projects in Málaga city have been shelved, such as the enlargement of the Málaga Transport Centre and the construction of the Victoria Business Park.
In Vélez-Málaga, however, the 186,000 square metre Food Technology Park of the Axarquia has so far cost over €30 million but has yet to see anyone buy or even rent any of the warehouses.