Penne, a picturesque village in the province of Pescara, is among the many Italian towns aiming to breathe new life into their streets by offering 1 euro houses. Since 2012, it’s been part of the prestigious “Most Beautiful Villages in Italy” network. Here’s what you need to know about the scheme, including the key requirements for becoming the owner of a property at a symbolic price.
The goal behind the 1 euro homes in Penne
Through the 1 euro homes initiative in Penne, the local council aims to breathe new life into the town’s existing property stock, which includes a number of dilapidated buildings in the historic centre currently in a state of neglect and decay.
The objective is to promote the restoration of the town’s architectural, urban, and landscape heritage by encouraging regeneration across the historic centre. This includes efforts to boost population growth, enhance tourism and hospitality, and attract private residents — potentially through innovative co-living solutions such as social cohousing. In turn, this is expected to stimulate private investment throughout the municipality.
The scheme also envisions an urban renewal process that improves quality of life, fosters social inclusion, and introduces new models of local welfare. Planned measures include removing architectural barriers, expanding pedestrian-only areas, and creating new parking networks and alternative mobility routes.
Buyer obligations
Under the 1 euro homes scheme in Penne, eligible buyers — whether individuals or legal entities — are those who express a formal interest in purchasing and restoring one of the properties made available by private owners.
To participate, buyers must meet all legal requirements for entering into agreements with public authorities. They also agree to cover all costs associated with the transfer of ownership — including notarial, fiscal, and administrative fees (such as registration, inheritance, or late succession costs), as well as any necessary planning amnesties. In addition, buyers must reimburse the seller for any local or national taxes they’ve paid while the property was made available to the council.
Buyers are also required to:
- Sign a purchase agreement with the private seller.
- Provide a financial guarantee — known as a fideiussory bond — from a bank or insurance company within two months of the council’s approval of the sale. This guarantee acts as a safety net, ensuring that the buyer will carry out the required renovations. If they fail to meet their obligations, the council or seller can claim compensation. Extensions may be granted, but missing this deadline without one will result in exclusion from the scheme.
- Submit a detailed renovation plan (including restoration and/or refurbishment) to the appropriate municipal office within six months of signing the purchase agreement, again with extensions possible if officially approved.
Renovation and safety works must begin within twelve months of receiving the building permit (or equivalent legal document) and must be completed within four years from the date of the contract, unless an authorised extension is granted.
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The village of Penne
Penne’s historic centre is home to noble residences, churches and convents, city gates, historic fountains, and museums. Much of its architecture and paving features traditional brickwork, earning the town the nickname “City of Brick”.
The old town is built across two hills — Colle Sacro and Colle Castello — but in recent years has experienced steady depopulation. Many residents have moved away, leading to a rise in abandoned properties and an increasingly elderly population.
With the “1 euro homes in the village of Penne” initiative, the local council hopes to kickstart a broader regeneration of the historic centre by restoring and enhancing the area’s crumbling building stock, which has long been left in disrepair.
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