Lanzarote is a Spanish island and the easternmost of the autonomous Canary Islands, in the Atlantic Ocean. The island is approximately 125 km off the coast of Africa and 1,000 km from the Iberian Peninsula. It is the fourth largest of the islands. Most of the inhabitants are of Spanish decent. This island has been named as an interesting and low cost place to retire, which also benefits from a lower cost of living. The capital, Arrecife, has a population of 59,000. Photo of Papagayo Beach courtesy of Wikipedia and Luc Viatour / www.Lucnix.be. Photo of Playa Blanca courtesy of Wikipedia and Gernot Keller, London (www.gernot-keller.com).