Paragon Lanzarote presents:

In the very heart of Arrecife emerges a truly exceptional opportunity: three strategically located plots 800 square meters, that combine vision, profitability, and enormous potential for urban and business development.

Two of the plots currently feature an existing building of approximately 700 square meters — a versatile property full of character that is presently operating as a holiday rental, yet whose potential extends far beyond its current use. Thanks to its configuration and prime location, it offers the ideal setting to be transformed into a modern boutique hostel, a creative coworking space, or a hybrid hub designed for entrepreneurs, digital nomads, and cultural projects.

The property also includes a spectacular double-height multifunctional hall — a unique space within the city — perfectly suited for hosting events, exhibitions, product launches, corporate activities, cultural experiences, or an exclusive art gallery. An environment designed to connect people, ideas, and opportunities.

As a strategic complement, the third adjacent urban plot further enhances the project’s potential, offering the possibility to develop a multi-storey parking facility — highly sought after in the area — or a newly built residential building.

In fact, a preliminary urban development project has already been prepared, contemplating the demolition of the existing structures in order to develop a modern residential complex comprising 27 units, including a basement level designated for parking and three above-ground floors for residential apartments. This proposal is fully viable under the current urban planning regulations, which presently allow three storeys above ground plus basement, with realistic expectations that the City Council may consider approving an additional floor, thereby increasing both buildability and overall project profitability.

All of this is located in a privileged setting, right in the centre of Arrecife, surrounded by activity, services, and excellent connections, within a city undergoing significant evolution and growth.

A unique property with soul, vision, and multiple development possibilities: from an innovative tourism and cultural project to a high-demand residential development. A strategic investment opportunity in one of Lanzarote’s most promising locations.

New Building features

Current urban planning regulations in Arrecife depend on the specific zoning classification of each plot and the applicable planning ordinance within the PGOU (General Urban Development Plan). There is no single rule that applies uniformly across the entire city, as permitted height and buildability vary depending on the area.

However, throughout much of the consolidated urban land in central Arrecife — particularly within residential and mixed-use zones — planning regulations commonly allow:

• Three above-ground floors (ground floor plus two upper levels or equivalent).

• One basement level designated for parking and service areas.

In certain cases, and subject to detailed studies or specific municipal approval, an additional floor may also be considered, depending on alignments, volumetric criteria, and the technical assessment of the City Council. This must be processed on a case-by-case basis through the appropriate urban planning procedures.

Furthermore, the current urban planning update process in Arrecife aims to modernise and provide greater flexibility for urban development, including new housing solutions, underground parking facilities, and increased building potential in certain strategic areas.

“Current urban planning regulations allow for the development of a building of up to three above-ground floors plus a basement designated for parking, with the additional possibility of studying a further floor subject to municipal approval.”

For more information please contact us.