São Miguel Society October 9, 2026

Report Warns of Housing Emergency in the Azores and Proposes Structural Measures

A new report highlights the housing crisis in the Azores, rising property prices, limited public housing and delays in construction, proposing key reforms.

The report from the seminar «The Housing Crisis in the Azores» has been presented to the President of the Regional Government of the Azores during a meeting also attended by the Regional Secretary for Youth, Housing and Employment. The document warns of a housing emergency across the archipelago and outlines a series of proposals to tackle the growing difficulties in accessing affordable housing.

The report follows an interdisciplinary seminar held in Ponta Delgada from September 10 to 12, 2025, bringing together researchers, experts, professionals and civil society representatives. It was coordinated by Nuno Costa, president of the Azores Regional Section of the Portuguese Architects' Association, Lídia Fernandes, a researcher at DINÂMIA'CET-Iscte, and Fernando Diogo, a professor at the University of the Azores and researcher at CICS.NOVA.UAc.

Public housing accounts for just 2.3% of the housing stock

One of the report's main findings is the limited availability of public housing, which accounts for approximately 2.3% of the region's total housing stock, significantly below levels found in several European countries. The report also highlights sharp increases in property purchase and rental prices, pressure from tourism and international investment, and widespread housing shortages and overcrowding.

Local Housing Strategies have identified more than 3,000 cases of housing deprivation across the Azores, although the authors believe this figure underestimates the true scale of the problem. The islands' geographical isolation, low household incomes, social inequalities and urban development pressures are identified as contributing factors. The crisis affects not only vulnerable households but also middle-income families.

Only 129 of 828 planned homes completed under the Recovery and Resilience Plan

The report also examines the implementation of Portugal's Recovery and Resilience Plan (PRR). As of September 2025, only 129 of the 828 planned housing units had been completed. Delays are attributed in part to labor shortages in the construction industry and difficulties implementing housing policies.

The authors argue that these findings demonstrate the need for a more effective and coordinated regional housing strategy, supported by stronger implementation capabilities.

Regional Housing Plan among key recommendations

The report calls for the establishment of a Regional Housing Plan and a Regional Housing Council, including local municipalities, to improve coordination between different levels of government. It also recommends expanding public housing, renovating existing properties and bringing vacant buildings back into use through legal, fiscal and financial measures.

Other proposals include stronger regulation of the housing market, such as rent controls and restrictions on short-term tourist accommodation in areas experiencing significant housing pressure. The authors also advocate public-private partnerships, housing cooperatives and innovative construction methods to reduce costs and accelerate housing delivery.

The report emphasizes that the housing crisis is fundamentally a political issue requiring structured and sustainable responses in the short, medium and long term.

Regional Government developing a Regional Housing Plan

During the meeting, government representatives confirmed that the Regional Secretariat for Youth, Housing and Employment is developing a Regional Housing Plan. Nuno Costa welcomed the announcement, stressing the importance of assessing housing needs and establishing a clear strategy that provides long-term predictability for the sector.

The report emerged from a joint initiative involving the Azores Regional Section of the Portuguese Architects' Association, the University of the Azores, Novo Dia Association for Social Inclusion, Habitat-Açores and the Nossa Vida, Nossa Casa Cooperative. It forms part of the CARE(4)HOUSING project, with contributions from DINÂMIA'CET-Iscte and the Centre for Geographical Studies at the University of Lisbon.

The document aims to support the development of public policies that guarantee the right to housing and promote social cohesion throughout the Autonomous Region of the Azores.

The full report is available on the Portuguese Architects' Association website.

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