Pere Garau - on the up. | Miquel À. Cañellas

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Pere Garau in Palma was among the city's least expensive districts for housing. In April 2021, the average price for a square metre was 1,425 euros. By December last year, this average had risen to 2,263 euros - a 41% increase. A 100 square metre flat had therefore gone from costing 142,500 euros to 226,000.

This revised average is still some way below that for Palma as a whole - 3,193 euros per square metre - but the vice-president of the API association of real estate agents, Natalia Bueno, says that given the rate of revaluation, it is unlikely that properties will be found at current prices come 2024. She explains that it is "a central, multicultural neighbourhood and it is not Son Gotleu".

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Bueno adds that Pere Garau is at present "one of the few areas of Palma where you can still find apartments in good condition for less than 200,000 euros". However, most of the properties are from the 1970s, so refurbishment that they require must be added to the sale price.

Residents of many years complain that the district is undergoing "gentrification", and property sector representatives tend to bear this out. Hans Lenz, president of the ABINI association, is cautious in talking about a real estate boom but he says that there are investors who believe that Pere Garau is on the up and can be profitable. "It will not be a Santa Catalina, but there are investors browsing and buying in this neighbourhood. Foreigners aren't buying in all areas but Pere Garau is expected to improve and revitalise in the medium term."

Harley Bristow of Building Palma says that there is interest from foreign investors, as there also is in Foners, Nou Llevant, La Soledat and Son Oliva. "The Germans are paying attention to Pere Garau given the cheaper prices. It's close to the old centre, it doesn't have the hyper-expensive prices of that area and it is an interesting investment for the future."