Building on Mallorca: expert assessment 2025 and what owners need to look out for in 2026
Building on Mallorca has become more complex. Anyone building, converting or renovating in 2025 had to adjust to long approval processes, fluctuating delivery times and increasing technical requirements. At the same time, the industry has evolved – away from improvisation and towards clearer structures.
Our experts from the construction and renovation sector explain how projects have changed and what owners now need to consider.
Andras Santha – Reformaster | Daniel Gingerich – PDC-Mallorca
Andras Santha, Managing Director of Reformaster Mallorca, and Daniel Gingerich, Managing Director of PDC-Mallorca S.L.U, explain how the construction year 2025 actually went and what changes owners can expect in 2026.
Daniel Gingerich, Managing Director of PDC-Mallorca S.L.U.Their assessments show where the biggest challenges lay and why professional planning will become even more important in the future.
Outlook 2025: Adaptation was mandatory„2025 was a year of adaptation and professionalization“ for the construction industry in Mallorca,
says Andras Santha. Three topics particularly
determined everyday project life
clearly
.
Permits: The processing times for Licencias de Obra remained difficult to calculate, especially in municipalities such as Palma, Calvià or Andratx. „We have reacted to this by working closely with architects, technicians and authorities from the early stages of the project," explains Santha. Possible objections are thus recognized early on and delays are at least reduced.materials and logistics: The supply situation has eased compared to previous years, but remains selectively tight. Natural stone, high-quality wood products and technical equipment continued to be associated with longer delivery times. Reformaster therefore systematically expanded its network of local and European suppliers in order to reduce dependencies.
Quality requirements: Today, international owners demand significantly higher standards. Energy efficiency, sound insulation, modern building technology and sustainable materials are no longer optional extras. „We have been working above the minimum legal requirements for years“, says Santha. In particular, standards were demanded in 2025 for waterproofing, terraces, air conditioning and sound insulation, which were previously
were hardly ever addressed.
PDC-Mallorca: dynamism with side effects
Daniel Gingerich also describes 2025 as challenging. The year was characterized by dynamics, bottlenecks and structural changes.
After initial hopes for simplified legalizations of illegal constructions, disappointment followed: the implementation proved to be complex. The material situation stabilized, but prices remained volatile. Wood, insulation materials and steel were available, but special materials such as certain sealing systems or ceramic products had to be planned in early. „Well-prepared projects ran much more smoothly“, says Gingerich. Initial progress was made in terms of approvals
through digital procedures, but months of waiting times and changing contact persons remained a reality, especially in smaller municipalities. The simplified procedure for minor repairs and renovations developed positively. Added to this was the ongoing shortage of skilled workers. Many trades were fully booked for months, especially carpenters, pool builders, electricians, waterproofers and air conditioning technicians.
Those who built in 2025 without construction monitoring now run an increased risk of subsequent damage,
warns Gingerich.
Outlook 2026: Stricter rules, better processes
For 2026, both experts expect stricter control of technical standards. The authorities should pay particular attention to energy efficiency, waste management, water consumption, waterproofing, fire protection and pool and water systems. „We are prepared for this“, says Santha. Reformaster is already working with optimized insulation and sealing systems, energy-efficient air conditioning systems, heat pumps and smart home solutions. Planning security is becoming central. Building owners demand clear cost and schedule plans. Digital construction monitoring, defined milestones, regular status reports and internal quality controls will increasingly become standard in 2026.
Costs and sustainability: A price decline is not expected. Reformaster anticipates moderate increases of three to six percent, especially for electrical installations, air conditioning, natural stone and carpentry work. Gingerich adds: „ The extreme price fluctuation should decrease – however, the level will remain high.“ At the same time, the renovation of existing buildings continues to gain in importance. The focus is on insulation, new windows, photovoltaics and modern building technology. The investments are higher, but pay off in the long term through lower operating costs and higher living quality.
2025 was a year of challenges. 2026 will be a year of quality. For owners in Mallorca, the following applies more than ever: those who plan early, receive expert support and rely on clear structures reduce risks and create sustainable, stable value solutions.
Oliver Girharz – Matrol Construction Project Management
From the perspective of construction project management, Oliver Girharz, Matrol Construction Project Management Mallorca, classifies the construction year 2025 and describes how market movements, the specialist situation and economic conditions have affected construction projects and which factors will shape the construction and renovation sector in 2026.
What developments and challenges will have a major impact on construction in Mallorca in 2025 - for example in terms of materials, permits and processes?
The real estate market in Mallorca has been unpredictable for many years and fluctuates depending on the political (world) situation. 2025 was certainly not an outstanding year for real estate sales, and this has also logically affected the construction sector, albeit with a delay. One problem that has been looming for a long time, but has manifested itself strongly this year, is the shortage of skilled workers. (Construction) companies are struggling to find well-trained and qualified staff, which inevitably leads to problems in the construction process and has a noticeable impact on quality and construction times. The high cost of living and housing rents generally exacerbate the situation.
What changes do you expect to see in the construction and renovation sector in 2026, particularly with regard to standards, costs and planning security?
The construction and real estate sector is heavily influenced by foreign investors. German investors in particular have ensured an extremely good order situation in recent years.
The prevailing difficult economic situation in Germany has already had a negative impact on real estate sales in 2025 and, if the situation does not change drastically in the short term, will also have a negative impact on the construction sector in 2026. In addition, construction costs have risen so sharply in recent years that investors are reacting very cautiously and observing the market. Fewer real estate sales, of course also due to the high real estate prices, inevitably lead to restraint in the construction sector.
As I said, always with a time lag. In my opinion, construction costs will stagnate, but not fall either. For real estate, I expect sales prices to fall, albeit not significantly. Nevertheless, I think that 2026 will be an exciting and good year for us, even if there will be no planning certainty.
