Marbella fiasco began during the height of the first part of this century, when builders and local authorities have agreed to avoid planning laws, and when corruption was exposed in 2006 to nearly 20,000 properties have been built illegally . This was widely reported in the literature of English-speaking expatriates and Spanish and has caused a loss of confidence in the Spanish property market.

The local authority January 29, 2010 in Marbella and regional planning authorities agreed to an amnesty for most illegal developments in the area of ​​Marbella. This left a series of events where investors in the United Kingdom and Ireland have the property in limbo. Legal action is taken by some owners and developers, but the authorities are taking reprisals against the threat of demolition is not part of this new amnesty. The issue could continue to put a cloud over the Spanish property market in the years to come.

Does this mean that the history of Marbella real estate fiasco has finally ended and all those who have illegally issued building permits, which have preoccupied waiting to hear whether their properties have been legally recognized, it will soon be out of its misery? It is understood that the developers have had to pay compensation to the regional government, but the amount is unknown. Marbella local authority had indicated that developers can expect to pay and expatriates who bought property in good faith, would be exempt. However, the regional government is supposed to have said that all owners of illegal housing would have to pay.

More news from the region of Marbella includes the announcement that Taylor Wimpy EUR8m is to invest more in a new development in the region. This will give more than 50 houses and should be completed in 2012. Wimpy State sold a total of 175 new homes on the coast last year so this new development is surprising, when developers and vendors are struggling to find buyers. It is the first sign of Spanish property market recovery.