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Spain strikes housing pact as evicted 87-year-old considers offer to return home - Finance news and analysis from Global Banking & Finance Review
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Spain strikes housing pact as evicted 87-year-old considers offer to return home

Published by Global Banking & Finance Review

Posted on September 29, 2026

3 min read

· Last updated: September 29, 2026

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Spain Agrees to Housing Measures as Eviction of Elderly Woman Sparks Protests

Government Response and Public Outcry Over Housing Crisis

MADRID, Sept 29 (Reuters) - Spain's coalition government said it has agreed measures to address the country's housing crisis, as the lawyer of an 87-year-old woman whose eviction last week triggered protests said she was considering an offer to return home.

Protests Erupt After Eviction

Hundreds of people remained camped in one of Madrid's main squares on Tuesday to protest Maricarmen Abascal's removal from her home on a stretcher last Wednesday. They are demanding legal reforms including a rent freeze and the automatic renewal of leases without abusive rent hikes.

Government and Political Negotiations

Official sources said the ruling Socialists had reached an agreement with junior partners Sumar on Tuesday for a decree with new measures to curb soaring rental prices, though they face an uphill battle to secure support in a fragmented parliament.

Challenges in Parliament

The minority government has 30 days from the decree's publication to reach a consensus with allies in congress. Junts, the Catalan pro-independence party that would need to vote in favour for the decree to pass, said on Tuesday it was still far from this on some measures, such as providing protection for small landlords.

Debate Over Landlord Protections

"We all agreed that evictions – where the property is owned by a fund, a vulture fund, run by someone managing millions of euros – obviously need to be stopped," Junts parliamentary spokesperson Miriam Nogueras said on RTVE.

"Lumping together in this category those who have invested their savings in a flat, a restaurant or a property – putting them all in the same basket – is a mistake," she added.

Case of Maricarmen Abascal

Abascal's lawyer said on Tuesday that UrbaGestion, the fund that owns her apartment, had offered a preliminary agreement late on Monday that could allow her return to her home if she agrees to its terms, which would imply paying 30% of her pension over the next eight years, equivalent to around €500 a month.

This would see her paying a similar level as prior to the eviction.

Lawyer's Criticism and Broader Implications

"She should never have been forced to leave," Beatriz Duro told reporters. "I hope this case serves to provide a collective response to the housing crisis."

While welcoming the company's proposal, Duro criticised UrbaGestion for refusing until recently to negotiate or hold talks. She also accused local, regional and national authorities of failing to respond adequately to Spain's housing problem, particularly evictions that leave vulnerable people without alternative accommodation.

(Reporting by David Latona and Mireia Merino; Writing by Charlie Devereux, Alexandra Hudson)

Key Takeaways

  • The PSOE and its coalition partner Sumar agreed on key housing protections: prohibiting evictions of vulnerable tenants through 2030, extending existing rent contracts until 2028 under preserved conditions, and granting tenants priority to purchase their homes when investment funds seek acquisition. (elpais.com)
  • The eviction of 87‑year‑old Maricarmen Abascal from her Madrid home after decades of residence triggered mass protests and a Puerta del Sol encampment, propelling the government’s urgency in responding. (elpais.com)
  • Maricarmen’s representatives reached a provisional agreement with UrbaGestión—her apartment’s owner—that would allow her to return immediately, paying no more than 30% of her net income (around €500 per month), reinstating conditions similar to before the eviction. (elpais.com)

References

Frequently Asked Questions

What measures has Spain's government agreed on to address the housing crisis?
Spain's coalition has agreed on a decree including rent controls and protections for vulnerable tenants to curb soaring rental prices.
Why did protests erupt in Madrid recently?
Protests broke out after the eviction of Maricarmen Abascal, an 87-year-old woman, triggering demands for rental reform and tenant protections.
What offer was made to the evicted woman?
Her landlord proposed she could return home if she pays 30% of her pension, around €500 a month, over eight years.
Who needs to approve the new housing decree for it to pass?
The decree requires support from parliament, notably Junts, a Catalan pro-independence party, which has concerns about protections for small landlords.
What legal reforms are protesters demanding?
Protesters are calling for a rent freeze, automatic lease renewals, and stronger protections against evictions.

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