Palmela Municipality Launches New Tender for €4 Million Housing Project in Águas de Moura
The Palmela City Council has officially approved the launch of a new public tender for a municipal housing construction project in Águas de Moura, with a base price of nearly four million euros. The decision was made unanimously during a council meeting on Wednesday, following previous unsuccessful tender processes for the same project. The autarchy confirmed in a public statement that the initiative aims to construct 21 new housing units to address local needs.
The development is slated for a municipally-owned plot on Rua Hermenegildo Capelo, situated between the streets Heróis do Ultramar and 5 de Outubro. This project is a core component of the municipality's Estratégia Local de Habitação (ELH), or Local Housing Strategy, and is financially supported through the Programa 1.º Direito and the Plano de Recuperação e Resiliência (PRR), Portugal's Recovery and Resilience Plan. The integration with these national and EU-backed programs underscores the project's significance in the broader effort to tackle housing shortages across the country.
According to the council's statement, the ELH provides a crucial channel for securing community funding to expand the municipal housing park. The primary objectives are to alleviate severe housing deprivation, help regulate the broader housing market, stimulate urban renewal, and enhance social and territorial cohesion within the municipality. This public investment is expected to have a stabilizing effect on the local market by increasing the available housing stock.
The urgency of such projects is highlighted by recent data from the Lusa news agency, which indicates that at least 30,000 families remain on housing waitlists across the Lisbon Metropolitan Area (AML). The pressure for affordable housing solutions continues to mount, making municipal-led construction a critical intervention. Álvaro Amaro, the mayor of Palmela, confirmed that the municipality has already made progress under its housing strategy, having allocated 49 homes and delivering three more just last week. Additionally, two other properties are currently entering the rehabilitation phase.
A representative from a local urban planning consultancy noted, 'The relaunch of this tender is a positive signal. It shows persistence from the municipality and recognizes the critical need to use available public funds to directly address the housing deficit. For the construction sector, it represents a stable, government-backed opportunity.' The project specifications detail the construction of multi-unit residential buildings designed to meet modern standards for social housing.
The tender process will now be opened to bids from construction firms, with the municipality aiming for a swift and successful allocation of the contract to avoid further delays. The project timeline and specific design details will be finalized once a contractor is selected. The successful execution of this development in Águas de Moura will be closely watched as a key indicator of the effectiveness of the PRR funding in delivering tangible housing solutions at the local level.
Monitor new development opportunities at realestate-lisbon.com.