How does Gibraltar's affordable housing and co-ownership scheme work?
Short answer
The Government builds affordable estates and sells flats to eligible Gibraltar residents at cost, either outright or as a 50% share with the Government keeping the other half. Co-owners can later buy the remaining share, and resales are restricted.
Detailed answer
Gibraltar's affordable housing scheme lets eligible residents buy a flat in a Government-built estate at a price well below the open market. For recent estates such as Hassan Centenary Terraces and Bob Peliza Mews, the Government has said homes are sold at cost, with no developer's profit and no land value in the price. In August 2026 the Government said all of the roughly 2,300 homes planned on the Westside reclamation would be affordable housing.
How co-ownership works
Buyers can usually purchase 100% of a flat or a 50% share on a 50/50 co-ownership basis, with the Government keeping the other half. Co-owners can later buy the remaining share on the terms in their underlease. In 2019 the Government sold its 50% interest in six older estates, including Waterport Terraces and Mons Calpe Mews, to GIC Limited, which handles buyouts on unchanged terms.
History and scale
The scheme is long established: early estates include Brympton, Vineyards, Montagu Gardens and Harbour Views, and some underleases are more than 30 years old. The 2022 Census counted 1,627 co-owned homes, about 11.2% of Gibraltar's 14,530 households.
Who is eligible and how to apply
Homes are for owner occupation by residents eligible under the Government's housing scheme. Each estate opens its own applications, and priority varies. In recent estates, priority went in this order:
- People giving up a Government rental flat
- Housing Waiting List applicants
- Others eligible for Government housing
- Owners upgrading from a home they own
- Other Gibraltar residents, by draw
Any flats left over were sold by tender. Since Wednesday 1 October 2025, new applicants to the Ministry for Housing's Housing Department can choose between Government rental housing and affordable housing.
Resale restrictions
Under conditions announced in June 2019 for new estates, a first buyer cannot resell within three years except in compelling circumstances, and the Government takes a share of any profit on the first resale, falling to 10% after 13 years. A co-owned flat can only be resold at a Government-agreed price, with the Government having first option to buy, and buyers must meet the housing allocation criteria.
Older estates, including Beach View Terraces and Mons Calpe Mews, follow their own underlease terms. Since April 2023, resale restrictions no longer apply where the underlease is at least 30 years old and the seller has owned the flat for at least 10 years, although consent for the sale is still needed.