Real estate activity, the backbone of revenue (licences, taxes etc) for most municipalities, continues to decline at an alarming rate in Torrox.
Revenue in 2006 was €5 million, in 2007 it was €3 million, in 2008 it was €1 million and last year it fell to €300,000. What’s more, due to having to return bonds and licence fees in the amount of €500,000, the municipality made a loss of €200,000.
There are several construction projects under way in Torrox but these were paid for several years ago. And 2010?
It is not looking any better, in fact it is getting worse with barely €100,000 coming in to the municipal coffers so far this year, prompting the Councillor for Urban Planning, José Luis Pérez Moreno (IU), to describe the situation as ‘catastrophic’.
Some municipalities are beginning to see a slight improvement in the construction industry, but not Torrox.