Nestled on the Mediterranean coast of the Valencian Community, Gandia is emerging as THE essential destination for real estate investors in Spain. This pearl of the Costa del Azahar offers a unique cocktail of assets that make it a wise choice to diversify your portfolio and maximize your returns. Terreta Spain's experts explain why Gandia is the number 1 destination for a profitable investment in Spain in 2025.
Gandia, the fundamentals
A strategic location
The small town of Gandia benefits from a privileged geographical location on the Mediterranean coast, which contributes to its attractiveness. It is located halfway between Valencia, the capital of the Valencian Community (55 minutes by car) and Alicante (1 hour 15 minutes).
Legend: Location of Gandia
Source: Terreta Spain
An exceptional living environment
Its subtropical Mediterranean climate, average annual temperature of 20 degrees, and 7 kilometers of coastline with fine sandy beaches make Gandia a very pleasant city to live in every day. Residents are outdoors all year round, enjoying varied landscapes between the sea and mountains, outdoor activities, renowned gastronomy, and a rich historical and cultural heritage linked to the famous Borgia family. The Ducal Palace, the Convent of Santa Clara, and other monuments testify to the glorious past of this small Valencian jewel.
- The city also benefits from a very affordable cost of living compared to major Spanish and European cities.
A small city undergoing profound transformation
Contrary to appearances, Gandia is much more than just a seaside resort : it is a growing city.
- The population is increasing: since 2000, it has grown by more than 28%. According to the latest census by the INE (Spanish National Statistics Institute), Gandia had just over 80,000 inhabitants.
- Post-pandemic societal changes favor coastal cities with a relaxed pace of life, such as Gandia.
- The city is home to an increasingly present international community: foreigners are estimated to be around 15,300, representing nearly 20% of the total population.
- It is also a university city (Universitat Politècnica de València, Universitat de València, CIG), which welcomes more than 2,000 students, including a significant proportion of international students.
- Gandia is committed to the environment: it has more than 25 km of cycle paths connecting strategic points in the city, and in five years, it has gained more than 180,000 m² of green spaces.
Legend: Cycle paths in Gandia
Source: Gandia City Council
- With a record budget of 103.8 million euros for 2025, it confirms its status as an attractive city, ready for a new phase of growth, investment, and stability.
Focus on the job market in Gandia
Main employers and key sectors
Gandia has always had a diversified economic fabric, and the city is home to companies in several strategic sectors. Among the main local employers are:
- Industry and construction: Moto Safor Sport (automotive), Flores y Orengo (construction), Chimeneas Estar.
- Agri-food: Carns Fuster, Frutas Victor Soler.
- Services and technologies: Integra Digital, Green Medical, Refrigeración Roset.
- Hospitality and tourism: Hoscorbi, Port Safor Hosteleria, Hotel Cibeles Playa.
- Transport and logistics: Transportes Almenova, Viajes Gandia.
- Commerce: presence of international brands such as Leroy Merlin, Décathlon, Norauto, etc.
Installation of new businesses and investment projects
Now, new companies are setting up in Gandia, and new projects are coming to life.
- The city is attracting significant private investments for the first time, such as a 12 million euro project for a medical-social center in Sanxo Llop.
- The famous company from Alicante, Ale-Hop (224 million euros in turnover in 2024, +31% in one year) has recently chosen Gandia to establish one of its logistics centers.
- With the Smart City project, Gandia is investing in smart technologies to improve the quality of life. This attracts innovative companies, particularly in the digital and sustainable development fields, reinforcing Gandia's position as a connected and forward-looking city.
Gandia: a thriving ecosystem for startups
Training and mentoring programs
- Urbalab Gandia, launched in March 2025, offers entrepreneurs a free 200-hour training program and practical workshops on current topics such as artificial intelligence.
- Day[EMPRENDE] is an event organized by the Polytechnic University of Valencia (UPV) on the Gandia campus. It aims to immerse participants in the startup culture through meetings with entrepreneurs and sessions on current trends.
Accelerators and Innovation Hubs
- Agro-Rural Innovation Hub (ARI Hub): initiated by Vicky Foods, this hub focuses on innovation in the agri-food and rural sector. It provides a platform for startups aiming to promote innovative projects and strengthen collaboration between public and private stakeholders.
- Distrito e-Health : a hub that positions Gandia as a center for innovation in digital health. It collaborates with companies such as Novartis and startups like Mediktor and Tucuvi, which are developing solutions based on artificial intelligence to improve healthcare services.
Financial aid and institutional support
- Plan Alcem Persianes: this municipal program offers up to €7,500 in aid for opening new businesses.
- Innpulso Emprende: Gandia participates in this national program aimed at promoting innovative SMEs. Each year, a local company is selected to represent the city at national events, offering increased visibility and funding opportunities. In 2024, it was Locatec, specializing in the development of computer applications, which was chosen as the innovative company of the year.
In short, Gandia is on a new dynamic to watch (very) closely.
Evolution of the unemployment rate
- In 2024, the city recorded a 3.77% decrease in the unemployment rate, according to the town hall.
- Between the end of 2023 and the end of 2024, the number of people registered with Social Security increased by 6% (+1,299 members), a key indicator of the recovery of employment and the consolidation of economic activity in Gandia.
Demographic growth and impact on the labor market
- Demographic growth is an essential driver of economic development: it generates increased demand for goods, services, and infrastructure.
- The increasing proportion of the foreign population also promotes the economic attractiveness of Gandia and enriches its social and professional fabric.
- The 2,000 students present also boost the job market, particularly in the research, education, and service sectors.
Since carving out a prime position in the real estate investment landscape, Gandia has embarked on a profound transformation aimed at strengthening its potential. It is gradually becoming a territory of opportunity and professional stability.
Gandia, a booming real estate market
Let's get to the heart of our matter. In the Gandia real estate market, all indicators are green.
Real estate figures in Gandia
- A very attractive price per m²: in March 2025, despite an incredible year-on-year increase of over 11.5%, the average price in Gandia is around 1,300 €/m². This is still 30% below the historical peak of 2007 (1,900 €/m²). The prospect of price increases is therefore very strong.
Legend: Evolution of purchase prices in Gandia
Source: Idealista
- Exceptional rental profitability: exceeding 10% profitability in 2024 according to Fotocasa, Gandia has been ranked as one of the most profitable Spanish cities for several years.
Legend: The map of real estate profitability in Spain. The cities with the highest returns are represented by a dark blue dot.
Source: Fotocasa 2024
Gandia, a rental market in full explosion
In Gandia, rents have been constantly increasing since August 2021! This year, an 8% increase was observed year-on-year in February 2025, with an average rent of €800 for 100 m² (€8/m²). The rental tension is at its maximum.
Legend: Evolution of rental prices in Gandía
Source: Indomio
- This combination of affordable purchase prices and high returns is rare, making Gandía a unique city in the Spanish real estate market.
A decisive factor for investors, rental demand is booming, supported by several factors:
- A diverse population seeking housing and good living conditions: students, families, professionals, and retirees looking for a gentler lifestyle.
- A very strong tourist appeal. In the summer months of 2024, the city welcomed over 100,000 visitors, drawn to its seaside setting. They come from abroad, but also from within Spain, as Gandía has been a popular seaside resort in the country since the 1950s.
A varied demand that allows investors to target different segments of the rental market, whether for seasonal, student, or long-term rentals.
To invest in Gandía, contact our team of experts.
The neighborhoods of Gandía
- Most expensive neighborhoods: the beach, where prices exceed €2,200/m².
- Most affordable neighborhoods: Beniopa San Pere, where the average price is €900/m².
- City center: it offers a good compromise between price and attractiveness, with a purchase price of €1,100/m² on average, +23.6% in one year (but still 13% below the historical maximum), and an average rent of €7.8/m², +10.7% in one year. This is the one our experts primarily recommend for investing in 2025.
A favorable regulatory framework
In 2024, Spain welcomed 93 million travelers. The financial windfall brought by tourism helps the country thrive and shine worldwide, but tourism sometimes threatens the balance of the real estate market.
The number of tourist rentals is skyrocketing; there were 400,000 official ones in 2024, with a 16.5% increase in one year, and many cities are choosing to legislate to regulate the market. Barcelona, the Catalan capital, is now known for its strictness on the subject.
For the moment, Gandía is escaping this frenzy of regulations, and the law remains favorable to investors who choose to engage in short-term rentals.
Legend: Evolution of the number of Viviendas de Uso Turistico in Spain
Source: INE
In summary, the city applies the tourist regulations of the Valencian Community, without additional municipal restrictions. Tourist rental professionals must therefore obtain a license to be allowed to rent their accommodation to vacationers, but the conditions for obtaining it are quite flexible, and the main requirements relate to the occupancy license, the furnishing, and urban planning compatibility.
The story of a smart investment a stone's throw from the sea
Terreta Spain has carried out several projects in the city of Gandia. To illustrate the investment potential of this little Mediterranean gem, our team decided to highlight one of them, that of Alrik, a 26-year-old Parisian.
When Alrik contacted us, he had a clear objective: to invest intelligently in Spain with a budget of around €100,000. He didn't know Gandia yet, but liked its proximity to the city of Valencia. Seduced by this dynamic city, accessible in 1 hour from Valencia, Alrik wanted a property with a high rental yield, without the stress of management. We found him a rare gem: a large 66 m² apartment in a well-located residence, a stone's throw from the Paseo de las Germanías, the vibrant heart of Gandia. Very nice, efficient and inexpensive work, good furnishings, and quick rental. Demonstration.
The exact figures for the project:
- Sale price: €78,000
- Total project cost: €99,700
- Rental income: €10,200 per year
A project that proves that with good support and a well-chosen city, it is possible to generate a very good return, while building up your assets. Alrik, for his part, is already thinking about his second purchase. For more details, go here.
What investment strategy in Gandia in 2025?
To maximize the potential of your investment in Gandia, you might consider several strategies:
- Seasonal rentals. This maximizes profitability. However, it requires a lot of management, which should be considered for delegation.
- Student rentals for medium-term rentals or shared accommodation, which offer good rental yields.
- Families and professionals choose Gandia for its quality of life and are looking for accommodation. Bet on this type of investment for a balance between good returns and minimal management.
- Renovation and added value: buy properties to renovate to increase their rental value and resale price. Terreta Spain is also your works partner in Spain. Contact us for a quote, we supervise your renovations at each stage.
- Ambitious investors have every interest in investing in apartment buildings. This will allow them to diversify their income and optimize their management.
To speak with our team of experts and develop the best investment strategy, contact them directly online.
Terreta Spain's expert advice for a successful investment in Gandia
- Study the local market in depth, analyze price trends, rental demand, and urban development projects.
- Choose the right location and prioritize well-served areas close to amenities and tourist attractions.
- Diversify your portfolio by combining different types of properties to balance risks and returns.
- Optimize your rental management and consider using local professionals like Terreta Spain to maximize occupancy and income.
- Stay informed about regulatory changes by closely monitoring potential changes in local and national legislation.
- Anticipate hidden costs and budget for your maintenance fees, taxes, and potential future renovations.
- Entrust your project to Terreta Spain. Our experts will take care of all aspects.
Investment in Gandia, what are the future prospects?
In Gandia, the future looks bright for the local real estate market:
- Valuation potential: with prices still below historical peaks, there is significant room for growth in property values.
- Growing dynamism: the combination of a pleasant living environment, economic opportunities, and an affordable cost of living should continue to attract new residents and investors.
- Infrastructure development: projects to improve transport and urban facilities could enhance the attractiveness of certain neighborhoods.
- Economic diversification: The city's efforts to attract businesses and talent in various sectors could stimulate long-term rental demand.
- Sustainable tourism: the emphasis on environmentally friendly tourism development could ensure stable and sustainable growth in the sector.
Conclusion
In conclusion, Gandia offers a unique combination of advantages for real estate investors: attractive prices, the best returns in the country, an exceptional living environment, and significant growth potential. Whether you are aiming for seasonal or residential rentals, Gandia stands out as the most sensible choice for your next investment in Spain.
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FAQ: Gandía, the No. 1 destination for profitable investment in Spain in 2025
Why is Gandía considered the number 1 destination for investing in Spain in 2025?
Gandía combines still very attractive purchase prices, the highest rental yields in Spain (+10%), and a sought-after seaside living environment. Its demographic growth, economic dynamism and urban projects make it a safe bet for investors.
What investment strategy is best suited to Gandía?
It all depends on your profile:
- Seasonal rental for maximum yield
- Co-living or student rental for regular income
- Long-term rental for simplified management
- Purchase - renovation - resale or apartment building for more ambitious investors
Can foreigners easily invest in Gandía?
Yes. It is perfectly legal and simple for a non-resident to buy a property in Spain. Terreta Spain supports many foreign investors, from property search to rental management, including purchase and administrative procedures.
Is the city favorable to tourist rentals?
Yes. Unlike other cities like Barcelona, Gandía does not impose additional local restrictions. It is sufficient to obtain a tourist license in accordance with the regulations of the Valencian Community (occupancy, furniture, urban compliance).
Which districts should be given priority for investment?
Terreta Spain's experts recommend:
- City center for the price/yield balance (+23% in one year)
- Gandía Beach for high-end seasonal rentals
- Beniopa San Pere for projects to be renovated at a low price (900 €/m²)
