In Baja California Sur, only 17% of the population has daily access to drinking water, while the state faces increasing overexploitation of its aquifers. Despite the water shortage, municipalities such as Los Cabos and La Paz continue to experience sustained growth in real estate investment, raising concerns among state authorities, who acknowledge the need to regulate the approval of new developments.
Governor Víctor Manuel Castro Cosío warned that rapid urban expansion, combined with a lack of proper regulation, is worsening the water crisis. He argued that real estate development in Los Cabos should be halted until new water sources become available.
The governor announced that he will promote a working group with the State Congress, municipal governments, and federal authorities to establish mechanisms that would require proof of water availability before approving new developments.
“Municipal governments grant permits, but we have to regulate that. I will once again insist that Congress create a working group with the municipalities, the state government, and Semarnat so legislative measures can be taken. Pressure on water resources keeps increasing, especially in La Paz and Loreto. In Los Cabos, the situation is even worse. If the desalination plant is not built or another alternative water source is not developed, construction in Los Cabos must stop. New people arrive every day,” he stated.
Castro Cosío acknowledged that Baja California Sur has not escaped the effects of gentrification and stressed the need to set limits on urban growth to prevent further strain on infrastructure and access to basic public services.
More Real Estate Investment, Less Access to Basic Services
He pointed out that Los Cabos faces the most critical situation, while La Paz and Loreto continue to approve housing developments in areas where providing water and other essential services has already become difficult.
According to data from the Cómo Vamos La Paz Citizen Observatory and the Mexican Center for Environmental Law (CEMDA), the Municipality of La Paz issued 3,197 construction permits between 2019 and 2024. The Central Zone, El Centenario, and Coronado neighborhood account for the largest number of residential development permits, despite residents frequently reporting water shortages and other deficiencies in public services.
Gabriela Ramírez, coordinator of the Territory Program at Cómo Vamos La Paz, stated that before authorizing new developments, authorities must evaluate whether existing urban infrastructure can support large-scale projects and their water demand.
“The infrastructure is already overwhelmed in the city’s consolidated areas. What happens with the sewer system and the water supply? Every day there are changes in daily urban life in La Paz related to access to basic services. There is a contradiction in the data: we rank among the lowest in access to drinking water, yet La Paz is considered one of the country’s most competitive cities and has a strong capacity to attract investment.”
The governor reiterated that the objective is to establish clear regulations to organize urban growth and prevent projects from being approved in areas where water infrastructure is already saturated or incapable of providing essential services.
He also warned about the growing number of developments aimed at the tourism and short-term rental market, particularly in Loreto, where some projects are reportedly operating irregularly.
“Foreigners come here; in Loreto we’ve received reports that people buy land but don’t even live there. They build three- or four-story apartment buildings and manage them through systems that are not considered hotels. They pay lower taxes, and these developments are multiplying. Everyone has the right to work and turn their home into a small business, but it has to be regulated,” he said.
Finally, Castro Cosío recalled that Baja California Sur’s Environmental Balance and Protection Law was recently updated for the first time since 1991, providing the state with stronger legal tools to better manage urban development and address the environmental impacts caused by rapid real estate expansion.
Source: radioformula
