The Varandas do Guadiana urbanisation in Vila Real de Santo António was illegally authorised by the city council, according to a court ruling.
Demolition orders for several illegally authorised buldings are included a decision by the Tribunal Administrativo e Fiscal de Loulé and demolition orders are due to be issued, leaving owners to seek compensation from the council.
The council executive says that if it has to compensate property owners, it will have to declare bankruptcy.
Included in the court’s judgment is the Varandas do Guadiana urbanisation, consisting of dozens of apartments overlooking the VRSA river with views to Ayamonte, seven houses in an urbanisation at Lota beach, a villa in Vila Nova de Cacela, two buildings in Monte Gordo and the Monte Rei Golf and Country Club.
Luís Gomes, VRSA mayor, said damages will run to over €100 million.
The Varandas do Guadiana estate has been legitimised by the council which retrospectively included the area in its city masterplan.
"In the case of Monte Rei, we are talking about houses of €2 million or more for each one, the city council has no financial capacity to pay," said Gomes.
All of these buildings were authorised before 2005 when António Murta was mayor. The court ruling may harm his re-election chances as he wants to get back in as mayor of VRSA despite the current uproar that planning regulations have been flouted with disastrous consequences.
For the Policy Committee of the Vila Real Social Democrats, this "set of illegalities" committed during the mandates of António Murta "can not go unpunished, as it is concerns the sustainability of the municipal coffers, the welfare of the Vila Real de Santo António population and the mortgaging of our county in the coming years."
