The construction of the Faial golf course will cost 36 million euros, according to an ordinance of the Regional Government published yesterday.
The Regional Government authorised the distribution of the amount, which is expected to occur as follows: two million euros in 2026, four million euros in 2027, and 30 million euros in 2028.
Under the terms of the ordinance, “the distribution of budgetary burdens related to the Programme Contract to be signed between the Autonomous Region of Madeira, through the Regional Secretariat for Equipment and Infrastructures and SDNM – Sociedade de Desenvolvimento do Norte da Madeira, S.A., is authorised, with a view to sharing investment expenses under the PIDDAR 53949 – Faial Golf project, in the maximum global amount of €36,000,000.00.”
The Faial Golf Course will cover an area of 700,000 m², or 70 hectares, stretching about two kilometres along the river. It’s set to transform the landscape while boosting both the local and regional economy. The government plans to start negotiating the acquisition of over 850 parcels of land for the project, without resorting to expropriation, in order to keep it moving forward. The construction and operation of the course will be handled privately.
The fourth golf course on the island of Madeira, the fifth in the Region, will rise from the Faial bridge upwards, towards the mountain, occupying the entire Ribeira valley, which is essentially a green and agricultural area.
The regional secretary for Equipment and Infrastructures already has the parcel plan, followed by identifying the owners and evaluating the buildings for acquisition. Pedro Rodrigues says the evaluation will be done “by an independent expert qualified by the court” and that letters will be sent to owners this year to start the first negotiation process. He estimates the land purchase will cost the public coffers at least 25 million euros.
The job ahead is tough, considering the number of parcels and the challenge of contacting the owners. “Our situation is so complex and tangled,” he said. “We are still paying for land in Ponta do Pargo,” the minister added, illustrating the difficulties of the process. Sometimes people don’t even have property records, and in many cases, heirs live outside the region or even abroad. “On my own, by the usual means of acquiring land, I could never get there,” assured Pedro Rodrigues, responding to critics of the Regional Government’s initiative.
The opposition argues that the Executive should not use public funds for a private project that is meant to be profitable. “We will only handle the expropriation and then launch the concession, something the private sector can’t do,” said Pedro Rodrigues, noting that no investor could acquire more than 850 installments. It’s not about lacking money or the value of the investment, but rather the legal challenges in registering certain buildings. Unlike the Regional Government, the private sector lacks the power of expropriation, which will be used if dialogue fails. If there’s an owner who refuses, we’re not going to stop building the golf course because of them.
With Faial, the process will differ from that in Ponta do Pargo or Porto Santo, where fields were built first and then exploited. The plan is to secure ownership of the 70 hectares, then hand over the project, construction, and operation to the private company that wins the public tender, relieving the public treasury of this financial burden.
It will take time to complete the process, noting that acquiring all the land during the current mandate would be a good outcome, and they are still considering whether they can also move forward with launching the concession. “We have to acquire the land—let’s see how long this process takes.” If expropriations are needed, it will inevitably drag on.
The payment amount will depend on the evaluation but won’t be less than 25 million euros, which is the estimated cost for acquiring the land where the field and other infrastructures will be built. Some plots will be valued higher, while others will be sold for less. “It covers several PDM zones, each with different evaluation values,” noted the secretary.
The investment for preparing the future Faial golf course will be fully funded by the Regional Budget through a programme contract with the Northern Madeira Development Society. Approval was given yesterday for a maximum allocation of 36 million euros over three years. This year’s plan includes two million euros, with four million scheduled for 2027 and the remaining 30 million euros in 2028. These amounts exclude VAT.
The Regional Government plans to conduct a preliminary study on the Faial Golf Course, covering both the course itself and the urban development aspect. “Basically, it’s to ensure that what we’re going to concession is viable,” explained the secretary. The idea is to determine what can be done in that area and under what conditions, then move forward with the concession, with the project to be developed by the winner.
The Faial Golf Course will feature 18 holes. The secretary noted that there’s no point in investing in a larger course with 27 or 36 holes, since Madeira already offers other options, such as the Santo da Serra and Palheiro Golf courses, and in the future, Ponta do Pargo.
“The golfer, when he spends a week in a golf destination, usually does not play the same course twice. However, golfers will have more options and choose courses they prefer. Obviously, this is more difficult in Porto Santo, as there is only one course.
The holder of the public works portfolio stresses that the idea is not it is to create competition in the sector, but to expand the offer. “They come to play in Faial, they go play at Ponta do Pargo, go play at Santo da Serra, then play at Palheiro Golf. All these courses will complement each other. “
The President of the Regional Government, Miguel Albuquerque, commented today on the discrepancy between the amount initially announced and the amount contained in the resolution of the Government Council for the future golf course of Faial.
He explained that the additional money is intended exclusively for the expropriation of the land and not for the construction of the project. “We are currently going to expropriate the land,” he said, adding that the development model of the field is yet to be defined and that construction and operation will be concessioned to private parties.
Albuquerque rejected interpretations that the Government would invest millions in the work, stressing that public investment would be limited to the acquisition of plots. “No one will spend millions more on the construction of the course,” he assured, adding that a renowned golf architect will be hired to design the course.
Samantha Gannon
info at madeira-weekly.com
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