Lagos municipal council says it has been left short-changed by the Portuguese government on housing funds, claiming it has only received €1 million out of the €48 million promised for new public housing. In a motion approved at a recent meeting, the socialist-led municipality accused the state of failing to deliver financing already executed and owed.
While waiting for answers from the Housing and Urban Rehabilitation Institute (IHRU) and the government, the council has decided to move ahead by securing a €25 million bank loan. The money will help fund several housing projects already in the pipeline, including 260 new homes, co-housing initiatives, and developments for controlled-cost housing.
Plans are ambitious, with 18 homes are already assigned and dozens more under design-and-build contracts in Lagos, Bensafrim, and Barão de São João. The municipality has also opened tenders for a further 71 homes and is preparing the first phase of a major 500-home project in Marina Park II – Caliças, aimed at offering affordable housing for local families.
Mayor Hugo Pereira, elected with a socialist majority in 2021, says it is “urgent” that the government fulfil its July promise to ensure the financing of the 133,000 homes foreseen in local housing strategies nationwide. Lagos insists state support should cover 100% of municipal housing investment, both in new builds and the renovation of existing public stock.
