Leisure, tourism, real estate speculation and territorial conflict between São Miguel do Gostoso and Touros (RN)

Abstract This paper analyzes the relationship between the territorial conflict involving the municipalities of Touros and São Miguel do Gostoso (RN) and tourism/real estate investments. Conflict arose when an error in the demarcation of the boundaries between the two municipalities was detected, when São Miguel do Gostoso was emerging as a tourist destination. The increase in such investments throughout the Northeast Region was a result of transfer of European funds for capital appreciation. In this study, data were collected through documentary analysis, systematic observation, semi-structured interviews, and survey of cadastral records. With its land boundaries challenged, the budgetary burden of São Miguel do Gostoso worsened because of a reduction in tax revenue related to population count and use of urban land. On the other hand, the municipality has assumed the responsibility of providing public services to residents and tourists. Investments encouraged urban expansion, mainly in Ponta do Santo Cristo, the area under the greatest dispute and expansion of real estate investments with a significant participation of foreigners. Results suggest that the dispute was triggered by the investments, with the agreement between the municipal authorities being reached upon the maintenance of the lands of Praia da Ponta do Santo Cristo in Touros.