Author: Martin Makepeace

I have just returned from a last minute holiday to the south of Tenerife. I last visited 16 years ago when I had a business and property over there. Back in 2008 it was very much a middle of the road destination, great weather all year round, good connections from UK airports and reasonably priced accommodation with the usual Spanish hospitality.

2024 is a whole different kettle of fish. It’s busy and I mean really busy. The hotels are huge and a construction boom has joined up all the resorts that now feel very similar. Like Mallorca, it’s tourism on a massive scale and makes Ibiza look like the small island of fishing villages that it once was.

Talking to some Tenerife locals about how the island is progressing I had some interesting feedback.

•Too much emphasis on tourism

•The island is too busy

•the need for stricter rules for tourists

•Rents are soaring so people on average salaries cannot afford to live

There were camper-vans everywhere. Does this sound familiar? It would appear that Tenerife is having the same issues as Ibiza.

Anti tourism graffiti is daubed on walls. Reading through the press the back lash on tourism seems so be relatively small but noisy, similar to the Prou movement in Ibiza that peddle the same narrative. As we have seen in the UK with ‘Just Stop Oil’ it only takes a few hardened radicals to garner the headlines and control the narrative.

Ibiza’s Prou movement has been relatively quiet after their chickens came home to roost during the pandemic when their perceived Ibiza paradise became a reality with no clubs or dancing or busy bars and only natural and culinary pursuits to pique everyone’s interest. This paradise was actually a hell for many who suffered near financial ruin trying to prop up their businesses when travel became a dirty word

Love or hate tourism, the effects of the pandemic showed its necessity to the Spanish islands. Never in the history of Ibiza have the battle lines been so clearly drawn in the sand, without tourism the thriving Ibiza that we know today simply can’t function and zero growth means recession and socio-economic problems.

So I think we can all agree that Ibiza needs tourism to survive, 99% of all island industry relies on it but the pertinent questions are ‘what type of tourism is best and what is the capacity? There’s such a broad spectrum of businesses with different priorities so who gets to decide? The Spanish bar owner or Beach Club operator have different clientele.

Ultimately it’s the market that decides who and how many come to Ibiza. The profile of the tourist will be driven by the offer and if there’s demand then the airlines will increase capacity and hotels will edge up their prices. It’s no coincidence that Ibiza has the highest real estate and the most expensive hotel rooms in Spain.

The local government can control things by applying the law but unfortunately they don’t do that very well. Spanish rental laws favouring tenants make it a risky business for landlords to rent apartments to locals who have the right to stay for up to 5 years (7 years if renting from a company!) and if tenants don’t pay then it requires a costly and protracted court case to evict them.

So some owners continue to offer their apartments for short term rent on Airbnb and other platforms to avoid this risk and fund big mortgages because of Ibizas crazy house prices which are booming because of all the growth that the radicals hate.

Meanwhile Aena, the Spanish airports operator openly boasts of record arrivals without a hint of irony that the islands can’t cope and the effect it has on the local population.

Confused? Well you should be because unless there are some realistic solutions put forward by the authorities too afraid to upset powerful lobby groups then it won’t get better and the radicals that exist in Ibiza and Tenerife and Mallorca and Lanzarote and all those traditional holiday destinations will gather momentum again while choosing to conveniently forget what happened last time there was a catastrophic event to the tourist industry.

Social housing for public sector workers, housing laws that protect both sides with quick resolutions for non-payment, realistic agreements on peak times capacities, inspectors to actually inspect apartments that blatantly rent out accommodation on holiday platforms and disregard the local law. Is it too difficult to put an action plan together?

Or alternatively let’s blame tourism and vilify tourists in general when actually they are our greatest commodity and should be welcomed with open arms. It’s not their fault that the powers that be simply can’t get their act together.

Over our usual Friday drinks a big debate rumbled. A studio apartment in San Antonio bay had just rented for 900 euros PCM on 12 month contract. A couple of our crowd shouted the usual ‘greed’ and ‘scandalous’ adjectives but I completely disagreed, I think it’s a fair price in the current market.

It’s no a secret that there’s a rental crisis on the island due to the most simple of economics: high demand and very low to almost non existent supply.

To cut a long story short, there used to be plenty of apartments to rent but now there’s very few because of varying factors however the overriding reason (in my humble opinion) is that Ibiza is such a great place to live that all those summer apartments have been taken up by the new wave of residents in search of a better life. Why else has the Ibiza population doubled in the last 25 years?

Anyway I digress, back to the accommodation crisis and a reasonable price to pay for a studio in San Antonio bay. I am of the opinion that 900 euros per calendar month is a decent price in 2024. Now before all the ‘Ibiza winter residents’ start screaming at their screens you have to understand that the market decides on the price then the landlord decides if they want to do a deal by lowering it for friends or family or raising the price to maximise their earning potential.

This is where our debate became heated. It’s easy to shout ‘greed’ but since when did maximising on your investments become a crime punishable by ostracisation? The blame can’t be laid at the doormat of the private landlord (although the so-called ‘agents’ have a lot to answer for) they are simply following market forces. Their apartment that rented for 240 euros per month for 6 months in 1994 is now worth 1500 euros per month on a 12 month contract in 2024. You might not like it but that’s how it is.

Regardless of market forces the situation has become very serious for nurses, doctors, police and teachers who are finding it nigh on impossible to source reasonably priced accommodation that is in line with their salary. Given the upward trajectory of White Isle real estate we’ve known for the best part of a decade that this moment has been coming and finding a solution lies squarely with the local and Balearic government who’s job it is to fill these public sector spaces.

Many moons ago when I worked in London I was paid a ‘large town allowance’ to compensate for the high cost of living and I also lived in subsidised accommodation provided by my employer.

This is over 35 years ago and it’s not rocket science to apply the same thinking to Ibiza in 2024. The local governments need to stop shrugging their shoulders and find a solution because it ain’t getting any better anytime soon. Yes there’s lots of building going on in Ibiza at the moment but have you seen the price of new apartments? Eye watering!

Time to think outside of the box. Disused public buildings need to be converted into low cost accommodation and land needs to be procured to build housing specifically for public sector workers. It’s the only way the island will continue to function unless they can magic up 200 cheap apartments from private owners which won’t happen and why should owners lower the prices because the government can’t get organised.

We are almost at the tipping point and big problems need radical solutions. It’s time to stop berating private owners on social media and put pressure on the respective governments who continue to stick their heads in the sand refusing to acknowledge the severity of the problem.

If a realistic solution isn’t found then public services will dwindle away on an island with an ever growing population. That’s the real story here, 900 euros PCM for a studio just emphasises the urgency.

You can follow me on Instagram, X & Facebook or email me directly on martin.makepeace@gmail.com

The records keep tumbling in Ibiza, this time with figures showing that almost 9,000,000 people used Es Codolar Airport in 2023, the highest numbers since records began.

The stats show that 2023 saw an increase in passenger numbers of 9.5% compared with the previous year. To be more specific Ibiza airport handled a total of 8,931,598 passengers on 82,803 flights from 01 January to 31 December, It’s important to note that the figures represent arrival AND departure flights.

Breaking it down to nationalities, Spanish national traffic came out top again with 3,777,283 passengers, an increase of 10.5% while international flights registered 5,137,122 passengers, an increase of 8.9% year on year. Of these international passengers the British market accounted for 1,848,499 passengers more than doubling Italian flights with 905,224 bums on seats. German flights came in at 638,479 and the Dutch 611,408.

A positive stat for winter tourism shows that December saw 235,357 passengers use Ibiza airport on 2658 flights, an increase of 5.6% year on year. Although international travellers accounted for less than 10% with 22,127 passengers this still represented a significant rise of 20.3% from the previous year due to more direct international flights becoming available.

Maurici Lucena, CEO of AENA, the public body that manages Spanish airports gave himself a massive pat on the back commenting “these record figures in air transport are fundamental for the economic and social development of Spain. We should all congratulate ourselves for them. Also the airlines that, like AENA, suffered the harsh consequences of the pandemic, and are now transporting more passengers than ever.”

After 2 quiet Christmases I had the fortune to be in Barbados this past festive season.

As fate would have it I stayed in the same hotel as the last time I visited over 20 years ago. I was looking forward to kicking back and spending time on the beach with my family,

Barbados is very similar in size to Ibiza and there’s plenty of synergy between the 2 world famous destinations, not least as they are both reliant on tourism, so I was keen to see how much it had progressed since my last visit.

The Bajan atmosphere is ultra laid back, the vibe is friendly with tourists freely mixing in with the local population who clearly understand the food chain and respect the tourists (sometimes more than they should).

Unlike Ibiza, local transport is good especially the crazy minivans that pick up tourists and locals alike for a flat fee of around 1.75 euros, reggae music blasting out so much that your ears are popping and your head is banging. It’s all part of the fun and no attitude is ever shown towards tourists.

The Caribbean is all about the white sandy beaches and cocktails and Barbados never disappoints. After a couple of days of drinking Banks’ and Deputy (the local beers) I discovered the local rum punch which hit the mark like a ballistic missile to the brain, a couple of those babies and life is a whole lot easier.

So far so good however there is a slight caveat. Barbados hasn’t changed in 20 years. My hotel hadn’t changed, the surrounding area hadn’t changed. The airport hadn’t changed (still had the same mobile air-con units and slow moving security).

As comforting as this was it was also surprising. Maybe it’s the tourist geek in me or the guy who has witnessed his own island change so much but I was amazed. Is it a missed opportunity, laziness, corruption or a strict adherence to the rule of ‘if ain’t broke don’t fix it’?

The answer is probably a combination of all of the above and speaking to a few British ex-pats who live in Barbados it was clear that that’s how they like it. You don’t want to compare but comparison is a part of life and you can’t help it especially when you’ve worked in tourism for over 30 years.

There’s a lot to be said about the comfort of staying the same even when the world has moved on but it made me realise how much Ibiza has changed (some might say for the worse but I’m definitely not in that camp), it’s non-comparable from 2 decades ago. In Ibiza so much has changed, in Barbados nothing has changed.

There’s no right or wrong in this tale, just 2 islands of a similar size with 2 very different philosophies but seeing it first hand hammers home how much Ibiza has moved forward in the last 20 years. This brings its own challenges (housing, cost of living, pressures on infrastructure) and although the ageing hippies looking through nostalgic goggles still rue the day you couldn’t dance around naked and buy a beer for 20 pesetas the strength of the modern day Ibiza, whether you like it or not, is its unwillingness to stay the same.

Barbados retains that old money charm with a fractured infrastructure whereas Ibiza is like a lottery winner flashing the cash, all mouth and trousers but with a hard business edge, constantly moving forward because it has to. It’s merely responding to the needs of its expanding client base. More 5 star hotels, more quality restaurants, more days and nights options than ever before.

Barbados was a wonderful experience, drinking cocktails under the Caribbean sun with 3 generations of my family pottering around in the sand beside me. Travelling and seeing other destinations is the gift that keeps on giving even if only to appreciate what you have on your own doorstep.

Taxis

Let’s start with the big elephant in the room, the taxi situation in Ibiza during the peak summer months is bordering on shameful. The politics of issuing new licences seems to be too complicated for the island council which needs to stop sticking its heads in the sand and come up with a workable solution that protects the family owned taxi businesses but doesn’t penalise the only commodity the island has, namely the tourists who are too often left on street corners frantically waving their hands in the air to any white vehicle that passes by. The introduction of Uber is a step in the right direction but more needs to be done so the pirates are squeezed out. There must be a middle ground somewhere, how about 8 week licenses for not inconsiderate sums of money which can then be invested into the poor local transport on the island?

Plastic waste

If you’ve travelled around Asia then you’ll be used to the sight of beautiful islands blighted with single use plastic piled high on the streets and on the beaches. Ibiza has taken positive steps and it consistently pushes recycling but it needs to become a way of life like it is in some European nations. If the island is to retain its natural beauty then more needs to be done with some serious thinking outside the box including incentives for reusables and ultimately a ban on single use plastic. The Balearic Islands need to be pioneers because quite simply they have to be.

Rental prices

With the risk of being controversial the rental prices are only half the problem, the other half is the disparity of low wages versus a high cost of living. The market decides the price but it’s becoming nigh on impossible for a hard working family to find a reasonably priced apartment which is a massive problem for the workforce that Ibiza needs to keep its product at the top of the tree. Throw in mass unemployment for 6 months a year due to seasonal work and the situation is complicated at best. The solution to affordable housing isn’t easy anywhere in the world but in Ibiza it’s more complicated than most. Who does the buck stop with, is it the employers or the local government because if it isn’t solved then Ibiza will become a soulless playground of millionaires and that would be very dull indeed.

Convivencia

This is the Spanish word for ‘coexistence’ and never stops being a thorny issue on the White isle. Who come first – residents or tourists? If you can answer this then you have solved the age old chicken and egg conundrum. The correct answer is that both are as vital as each other which means it’s a fine balancing act. Fortunately the pandemic blew away the hardline tourists haters who want to live in a guiri-free nirvana without jeopardy but they will be back sooner or later with convenient memory loss as to how much the island relies on the tourist euro. Ibiza has come on leaps and bounds but local laws need to be consistently enforced by an engaged police force to serve as a reminder that it’s not a free for all. Probably the biggest challenge of all.

Prices in general

A bit generic I know but Ibiza 2024 is a fundamentally different place to what it was 15 or 20 years ago. It now has the most expensive real estate prices in Spain plus the most expensive hotel room rates. It’s the perfect storm if you’re on the right side but not so good if you’re not on the property ladder or wanting a reasonably priced getaway. Saying that it is still possible to do ‘Ibiza on a budget’ during the low season when frankly it’s a better place to visit anyway. If you want to visit world class restaurants and nightclubs on a daily basis then expect to pay accordingly but there is another way and it’s important for the Ibiza tourism team to push this message as sometimes they can be overly focussed on the luxury side of the story.

The taxi service Uber is finally coming to Ibiza on Wednesday 29 November with an initial fleet of 14 cars available for private transport hire using the Uber app as confirmed by Felipe Fernández Aramburu, the general director of Uber in Spain and Portugal.

Initially the platform will offer 2 different types of cars, Uber Comfort and Uber Van with a capacity for 4 and 6 passengers respectively.

In addition, existing taxi drivers will also be able to sign up and accept trips through the application charging their existing prices but paying Uber a 12% commission for the use of its technology.

Existing taxi drivers will also be offered an incentive for registering on the platform of 150 euros for their first 25 journeys plus another 300 euros if they sign up another driver.

Uber has previously been viewed with suspicion from the taxi sector in the 10 Spanish cities in which it already operates however Felipe Fernández Aramburu stressed that thousands of taxi drivers have already registered on its application, 3,000 in Madrid and more than 130 in Mallorca.

The price for the Uber Comfort service is 0.17 euros per minute and 0.94 per km, with a flag drop of 7 euros and a minimum price of 10 euros, the same amount that is charged for canceling the trip. Uber Van will cost 0.3 euros per minute plus 1.50 per kilometer, with a base rate of 9 euros and a minimum of 18.40, the same for cancellation.

Ibiza will be the 2nd Balearic island where Uber will operate after services started in Mallorca on 8 June with a fleet of 50 cars. On the first day of service, they reached 20,000 users, according to the company’s data.

Fernández Aramburu also announced his intention to operate Uber on Formentera and Menorca however no specific dates were mentioned.

Get ready for a stat attack!

Officially published figures have revealed the growth that is fuelling the Ibiza and Formentera economy and shows no sign of weakening. With the last 3 months still unaccounted for, 2023 is already a record year for tourism in 2 Pitiuses Islands

In the first 9 months of 2023 Ibiza and Formentera received a total of 3,313,373, visitors which is 7.86% or 241,407 more than the same period in 2022 and not only are more people coming but they are also spending more money.

With regards to nationalities of visitors, Spain are again at the top of the list with 856,755, an increase compared to last year of nearly 9%, closely followed by the British with 806,803 visitors, an increase of 8.36%. Then there is a gap to the Italians with 377,416 visitors – an increase of 5.76%, followed by the Dutch with 330,014 visitors, a decrease of 1.99%.

The number of German and French tourists has seen a decline for the first 9 months of 2023. Germany with 271,699 – a drop of 2.71% – while the French saw a 5.56% decrease with a total of 176,134 visitors.

The Balearics as a whole received 15.5 million tourists from January to September, an increase of 8.2% compared to last year so 2023 will mark an historical high for both arrivals and also tourist revenues

Official numbers show that during the first 9 months of 2023 the average tourist spend in Ibiza and Formentera was 1,168.53 euros per person during their stay which breaks down to 198.51 euros per person per day, 8.6% more than in 2022. The total tourist spend in Ibiza and Formentera for the first 9 months of the 2023 was 3.871 billion euros, over 300 million more than the whole of 2022.

The big picture is that with the last 3 months yet to be accounted for, the Balearic archipelago of Mallorca, Menorca, Ibiza and Formentera has already exceeded the turnover for all of last year which had a cumulative total tourist spending of 17.35 billion euros.

Meanwhile the tourist association Exceltur’s latest report on the profitability and employment in Spain’s 104 main tourist destinations highlights that Ibiza Town had the most expensive rooms in Spain from June to September at an average price of 231.60 euros per room per night. 2nd on the list is Estepona on the Costa del Sol with an average nightly rate of 210.20 euros followed by Ibiza’s Sant Josep with 196.50 euros per room per night. The top 5 is made up by Marbella with 195.60 euros and Chiclana in Cadiz with 187 euros.

Santa Eulalia is in 7th place with an average nightly rate of 156.90 euros per room, meanwhile San Antonio comes in at number 14 with an average stay from June to September 2023 costing 127.90 euros per room per night but also gets a special mention for the investment by hoteliers to modernize and upgrade establishments that is noticeably taking effect.

It’s that time of the year again when Ibiza starts to wind down for the winter but it’s also an amazing time to visit. Here’s a 5 reasons why you should visit out of season.

1. WEATHER. October in Ibiza is generally good at around 20-25 degrees – pleasant without being painful. The locals might be in coats but compare it to back home and it’s positively tropical. The balmy temperatures mean it’s possible to sunbathe in the day and sleep at night. 300 days of sunshine a year, say no more!

2. MOBILITY. Ibiza is a small island but it can be difficult to get around however in October it becomes much easier. There’s plenty of flights and hotels at reasonable prices (especially if you travel midweek) car hire is cheaper, local transport is cheap and easy to navigate, parking is readily available and the whole place moves at a more leisurely pace. Discover the island at your will, you will be amazed.

3. THE REAL IBIZA. It’s a well used phrase but not to be too unkind, most of the phoneys have gone home, the summer crowd has dispersed and what you are left with is the real Ibiza and it’s a glorious place. Try the local restaurants, discover hidden beaches and coves and take in a gloriously crisp sunset as you fall in the love with the island at your own pace rather than it being in your face.

4. CLOSING PARTIES. Long gone are the days when Ibiza’s clubs closed in the 3rd week of September. Nearly all of Ibiza’s world class clubs now stretch into October but that doesn’t mean they are quieter, they are always packed out with world class artists in an incredible atmosphere. Have you even been to Ibiza unless you’ve walked out into the morning sunshine at the end of a super club closing party?

5. NATURE. This is what defines the White Isle against other wannabe destinations and there’s no better time to enjoy the islands incredible nature than at the end of summer. The crystal clear blue waters and the lush green countryside with amazing views. The weather is still warm but it’s cool in the mornings and evenings making it ideal for those long country hikes or bike rides along deserted lanes and tracks. Ibiza’s all about the clubs right? Wrong!

It’s nearly over. If you don’t live on the island then you might not realise that I’m referring to August in Ibiza. If you do then you might share in my sentiment that the busiest month of the year is a marathon not a sprint. A war of attrition on your senses, your mental health and more importantly your patience.

But August 2023 will be remembered differently to many in the past, fluctuating week by week, weekend by weekend. Sometimes ridiculously busy, other times eerily quiet, it was a tough one to call and had many scratching their heads.

August sees a change in dynamic of those arriving. It’s a real mixed bag. The party people and young families all in the same melting pot. The majority of arrivals are from Spain who like to do their own thing, Italians also travel in heavy numbers and they aren’t known for their overspending, It’s a cliche but different nationalities do different things and behave in different ways (except go to the beach). Fortunately Ibiza has something for everyone.

An ever present theme is how expensive Ibiza has become. This can’t be denied but it is still possible to enjoy the White Isle without taking out a 2nd mortgage however if you want to go to world class events and fill you instagram stories living like a rock star then expect to pay accordingly. Once again there’s always a choice.

Flights and hotels have also become especially expensive during the peak season. The airlines did warn us after the pandemic but we were too busy celebrating freedom to take any notice but they have steadily edged up while other destinations such as Turkey and Egypt have managed to keep their package holidays at a more competitive level.

It was reported this week that hotel prices in Ibiza are, on average, the most expensive in the whole of Spain. Family run hotels have been steadily snapped up by chains or concept groups who have invested millions in refurbishing then marketing in a new dynamic way to create new markets. But this is business and the new breed of hotelier need to recoup their investment and the only way to do it is by charging more and focussing on your in-house food and beverage offer to keep guests in and also attract the outside crowd. Not ideal for surrounding businesses.

After all the hundreds of millions spent on these shiny new rooms there will be a few nerves in the hotel trade wondering how far they can realistically push up the prices to get return on investment. The general rule of thumb is if the hotel is still full then carry on edging up prices until you find your level. The market ultimately decides the price.

In general Ibiza shows no real signs of fatigue just yet but that’s not say there isn’t a ceiling. After a variable August there will be a concern that the direction we are going in might marginalise the majority but the numbers for 2023 will reveal that a thirst for Ibiza still remains but it’s coming at an increasing cost.

One of my favourite stories is when chatting to a friend who became annoyed and animated about the way Ibiza is now ‘too expensive’, so I simply said “go to Benidorm then”. His reply was that he didn’t want to go to Benidorm he wants to come to Ibiza. So there you have it although I think the irony was lost on him.

With all the amazing things that Ibiza has to offer the desire to come is as strong as ever. The challenge is to find out how much tourists are willing to pay for the ‘privilege’.

Dear Valued Friend

Seeing as you can only visit and stay during the peak summer weeks (allegedly) here are the house rules…

1) You are getting a FREE holiday, if you want a lift from the airport then please don’t book a flight that arrives at 2am so you can save 40 euros.

2) I am not God, I know it’s hot – the weather is nothing to do with me (you could always visit in spring or autumn!)

3) If you lay in the sun without protection you will burn; if you don’t wear a bikini top someone will stare at your t*ts, get over it! 

4) There is no such thing as a self-replenishing fridge – the occasional pack-of-beers, bottle of wine or bag of prawns is most appreciated. 

5) I am not a taxi service, if you intend to explore the island then bring your licence and rent a car or scooter, even if it’s only for a day.

6) Switch off the air-conditioning in your room when you’re not in it, have you seen the electricity dial spin like mad when the air-con is on?

7) NEVER say “what are WE doing today” as you will be physically removed from the premises. There is no ‘we’!

8) Super Clubs are expensive hence why they are called ‘Super’. No I’m not going with you, No I can’t get you guest list nor free drinks and don’t wake me up at 5am when you come back in.

9) If you insist on having drinks at a sunset bar please do not complain to me that you were charged 18 euros for a gin and tonic – I really don’t care plus it’s only 5 euros in the local bars I frequent.

10) If you have enjoyed your holiday and your FREE stay with friends, why not take them out for a nice dinner? Not a pizza or a Chinese takeaway but a proper restaurant with tablecloths and waiters in crisp shirts; go on, you know you can do it.

Same time next year, I love you really!

Yours sincerely
Grumpy Island Resident

With special thanks to Frank Leavers