By Horaci García and Nacho Doce

BARCELONA, Feb 7 (Reuters) - Barcelona's city hall said

on Friday it would buy an apartment block known as 'Casa Orsola'

to prevent the eviction of several tenants, including a teacher

who has become a symbol of Spain's housing crisis and months of

protests against over-tourism.

City hall, along with a social housing association Habitat 3

Foundation, was stepping in to buy the Art Nouveau building in

downtown Barcelona for about 9 million euros ($9.35 million)

from Lioness Investments, Mayor Jaume Collboni told reporters.

"No tenant will have to leave Casa Orsola and all apartments

will be converted into social and affordable renting," Collboni

said, adding that the price paid for the building was 30% below

current market value.

Josep Torrent, 49, who has lived in Casa Orsola for more

than two decades, was among tenants who were told their rental

contracts would not be renewed after private investors Lioness

Investments acquired the building in 2020 with plans to

transform its apartments into short-term rentals for tourists.

His case epitomizes the housing crisis affecting large

cities in Spain, where rental prices are soaring amid rising

gentrification exacerbated by insufficient homebuilding and an

explosion of short-term tourism rentals offered on platforms

such as AirBNB ( ABNB ).

His eviction, approved by a court ruling, had been postponed

several times following protests against gentrification and

over-tourism.

Housing defence group Catalan Tenants Union welcomed the

fact that Casa Orsola's apartments would not become expensive

short-term lets but said city hall had paid too much for the

building.

Lioness Investment, which has not disclosed how much it paid

for the building, did not immediately reply to a request for

comment.

Collboni had already announced a ban on short-term tourism

rentals from 2028, in a bid to reduce the pressure on

Barcelona's stretched housing market.

($1 = 0.9629 euros)

(Writing by Inti Landauro and Emma Pinedo; Editing by Charlie

Devereux, William Maclean)