Protest encampments addressing soaring housing costs and residential shortages have rapidly expanded from central Madrid to multiple Spanish cities. This wave of protests followed the high-profile eviction of an 87-year-old tenant, María del Carmen Abascal. Demonstrators gathered in Madrid’s busy Puerta del Sol square spent a third night in tents while awaiting an official response from Spain’s coalition government. Similar encampments and demonstrations were quickly established in Seville, Málaga, Santiago de Compostela, Barcelona, Cádiz, and Palma de Mallorca.
The widespread social mobilization began after authorities removed Abascal on a stretcher from her Madrid apartment of 70 years. Her rent had been increased from €570 ($570 USD equivalent) to over €2,650 by the property’s corporate owner, investment fund Urbagestión. Her legal representative, Beatriz Duro, stated that a preliminary settlement reached on Monday will permit Abascal to return to the property with her monthly rent capped at 30 percent of her income, effectively maintaining her previous rate.
Government Response and Emergency Decrees
In response to the escalating national outrage and massive street protests-which drew tens of thousands of participants over the weekend-Prime Minister Pedro Sánchez’s leftist coalition government approved a series of emergency housing measures on Tuesday. Health Minister Mónica García announced that the proposals include a temporary ban on evictions until 2030, the automatic rolling over of rental contracts until 2028, stricter regulations on short-term and room rentals, and a complete ban on the purchase of residential housing by speculative investment firms, often referred to locally as “vulture funds.”
However, the minority government faces a steep legislative hurdle. The newly approved measures have been presented in the form of two executive decrees that come into effect immediately, but they must secure approval from Spain’s Congress within 30 days. Sánchez’s administration, formed by the ruling Socialist Party and its junior left-wing partner Sumar, lacks a parliamentary majority and has previously struggled to win support from right-leaning opposition parties.
Political Friction and Divided Opinions in Parliament
The proposed legislative package has triggered immediate political debate. While left-wing ministers hailed the policies as a transformative turning point for ordinary citizens, conservative and regional nationalist parties warned of negative economic fallout.
Míriam Nogueras, a spokeswoman for the centre-right Catalan nationalist Junts party, argued that while evictions conducted by multi-million-euro investment funds should be addressed, the current decrees unfairly penalize independent property owners. “Lumping together in this category those who have invested their savings in a flat, a restaurant or a property-putting them all in the same basket-is a mistake,” Nogueras told Spanish public broadcaster RTVE.
Housing Minister Isabel Rodríguez urged all political parties in Congress to back the legislation, framing it as a vital tribute to Abascal’s struggle. Meanwhile, representatives from the Madrid Tenants’ Union, such as spokeswoman Valeria Racu, asserted that the broader grassroots campaign has “only just begun” and demanded rigorous oversight of the legislative text to ensure genuine tenant protections.
Broader Context of Spain’s Housing Shortage
The acute public anger driving these protests stems from a deep-seated structural deficit in the Spanish real estate market. According to estimates from the Bank of Spain, the country faces a shortage of approximately 700,000 homes due to the gap between rising demographic demand and new construction rates.
Data from Spain’s national statistics institute (INE) shows that overall house prices rose by 12.2% over the past year. Rental housing shortages pushed rental costs up by 8.5%, with Madrid and Barcelona remaining the nation’s most expensive urban markets. Real estate platform Idealista reported average rental costs reaching €22.70 per square metre in Madrid and €23.80 per square metre in Barcelona.
As political negotiations continue ahead of the crucial parliamentary vote, tenant unions have vowed to maintain pressure on lawmakers to ensure lasting structural reform across Spain’s housing sector.
