A landmark legal battle over the future of housing in Barcelona has reached the courts. The first resident of the historic La Papallona building stands trial to prevent her family’s eviction. Marga Aguilar, 62, is fighting to remain in her home of three decades. This follows the building’s acquisition by a Dutch investment fund.
Therefore, the case highlights the growing friction between long-standing communities and the aggressive expansion of ‘coliving’ developments in the Catalan capital.
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Home » La Papallona Eviction: Barcelona Families Displaced for Luxury Coliving
Legal Battle for a Modernist Landmark
Located in the Eixample district, the Casa de la Papallona is a century-old modernist work by architect Josep Graner. It is famed for the butterfly mosaic crowning its façade. For decades, it was home to a tight-knit community of tenants. Some have lived there for nearly 60 years.
The status quo shattered following the previous owner’s death. The building was sold to New Amsterdam Developers. This fund plans to convert the residential block into a coliving space. This shared housing model often targets digital nomads and tech workers. According to residents, projected rental prices for individual rooms could reach €1,500.
Marga Aguilar received a ‘burofax’ (certified notification) in August 2024. It demanded she and her father, then 89, vacate the property within 30 days. Despite assurances from the previous owner’s heirs, the new ownership moved quickly to clear the building.
“I made a series of investments; we fixed the kitchen, the bathroom… we did it because we considered that no one was going to move us from there.”Marga Aguilar, tenant
The Rise of ‘Coliving’ and Displacement in Barcelona
The dispute at La Papallona is emblematic of a wider trend in Barcelona. Neighbourhood associations report a 70% increase in investment fund control over residential blocks in the last year alone. Meanwhile, the coliving model often involves subdividing traditional apartments. These then feature private rooms with shared amenities akin to tech offices, such as coworking spaces and gyms.
For long-term residents, the arrival of such funds often signals the end of their tenure. Half of the 14 families residing in La Papallona have already left. They were worn down by the psychological and economic pressure of looming evictions.
“It is a psychological and economic drain that ends up pushing people to leave,” Aguilar explained. However, she has chosen to stand her ground. She is supported by the Socialist Housing Union of Catalonia. Her household includes her daughter and her now 91-year-old father. He is recognised as a vulnerable person receiving municipal care assistance.
A Barcelona Community Under Siege
Attempts to negotiate with the developers have proven difficult. Recalling a meeting in December 2024, Aguilar described the atmosphere as hostile. “They wanted to negotiate how they were going to evict us; we wanted to negotiate how to stay,” she said. “The arrogance was horrifying.”
Following a court hearing in early February 2026, a new eviction date has been set for 11 March. Aguilar remains determined to resist. She views her struggle as part of a defence of the city’s social fabric.
“I don’t have economic means, but I do have a family and neighbourhood companions who give me the strength to resist,” she stated. “I form part of a social fabric of the neighbourhood and the city that is being emptied. I don’t want to leave.”
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