Formula 1 sends Madrid holiday rents soaring: up to €20,000 near circuit

Madrid is bracing for Formula 1's arrival in the city with a parallel contest to the sporting one: that of soaring accommodation prices. The Spanish Grand Prix, to be held from 11 to 13 September at the Madring circuit, has sent the cost of short-term rentals in areas close to the track, as well as in some of the most exclusive neighbourhoods in the city centre, soaring. ADVERTISEMENT ADVERTISEMENT In recent weeks it was still possible to find homes to rent in Valdebebas, where the circuit is located, next to Ifema, for prices reaching as high as 20,000 euros for stays of barely a few days. In some cases, owners explicitly restricted availability to the period of the race. "A 1-minute walk from the Madring circuit: experience the Formula 1 GP of Spain 2026 from the best-located luxury chalet in Madrid", read one of the listings that could still be found (source in Spanish) on the AirBNB platform last Tuesday, which was asking 11,400 euros for four days in "a house designed for VIP groups". The increase is particularly striking when compared with usual prices in the area. Some of these properties are priced at several multiples of the cost of a standard monthly rent, which in this neighbourhood is usually around 2,500 euros a month, taking advantage of the intense demand concentrated into a single weekend. "There are homeowners, some of whom are even living in their properties, who are putting them up for rent", said Mario Serrano, founder and director of Inmobiliaria Valdebebas, in comments to 'Antena 3'. "Thanks to Formula 1, the spotlight has been put on the Valdebebas neighbourhood". Up to 500 euros for a parking space The pressure on accommodation is spilling over even into parking spaces. In Valdebebas, offers of up to 500 euros for a garage space for this coming weekend have been recorded. The strong demand also reflects attendance forecasts. More than 120,000 tickets have already been sold and, according to organisers' estimates, more than 80,000 spectators will travel from outside the Madrid region, including some 45,000 from other countries. The expected economic impact helps to explain the corporate interest the event has generated. A report by PwC, cited (source in Spanish) by the Grand Prix organisers themselves, puts the economic impact of the race on the region at 467 million euros and forecasts the creation of around 8,850 jobs. Accommodation for teams, sponsors and VIP clients Proximity to the circuit has become one of the clear selling points of the properties on offer. Many listings highlight the advantage of walking to the circuit, having views over the track or being able to avoid the expected transport problems that will arise during the Grand Prix. According to estate agents consulted by local media, a large part of this demand comes from the teams and sponsors, as well as organisational staff and VIP clients, all of them profiles with far greater spending power than most of the spectators. The phenomenon is not limited to private homes. Hotels have also raised their rates ahead of the arrival of the thousands of visitors expected to travel to Madrid for the race. An analysis by Simon-Kucher, cited by the 'Antena3' channel, puts the average price offered over the Grand Prix weekend at 1,071 euros per night, 147% more than the previous week. The city centre, a meeting point for 'prime' visitors Although the circuit is located around Ifema, that is, on the outskirts of the city centre, the luxury rental market is experiencing particularly strong pressure in the historic centre of the capital. Barnes, an estate agency specialising in high-end homes, estimates that 'prime' rentals have seen increases of up to 1,000% compared with a normal week, according to local media. The districts of Salamanca, Chamberí, Chamartín and Los Jerónimos are among the areas where this effect is most evident. According to the agency, visitors with high spending power do not necessarily prioritise staying next to the circuit, but rather look for central locations and neighbourhoods regarded as upmarket. "This unique place has its own style. Enjoy the Madrid Grand Prix from a privileged location and with maximum comfort", read an advert posted (source in Spanish) on AirBNB, offering an "entire accommodation" with five bedrooms, in the Chamartín district, for 17,100 euros, from Friday to Monday. Slightly cheaper is the flat that, for those same dates, is being rented in the Salamanca district for 14,600 euros, which is advertised (source in Spanish) as "ideal for enjoying the Grand Prix with a high-level experience". So the arrival of Formula 1 in Madrid has not only launched a new sporting competition in the Spanish capital, but also, at least for the coming days, has turned proximity to the circuit, the availability of a parking space or having large rooms in the historic centre into key elements in the other big race taking place in the city: that of those looking to squeeze the maximum return from their homes thanks to the Grand Prix.