Bank Of Spain Buys 142,000m2 Plot In Madrid For €40M

29 December 2016 – Inmodiario

The Royal Spanish Mint (‘Fábrica Nacional de Moneda y Timbre’ or FNMT) no longer complies with the conditions set out by the European Central Bank (ECB) for the printing of bank notes. As a result, the Bank of Spain has been forced to purchase a plot of land in Madrid’s Vicálvaro neighbourhood from the Ministry of Defence.

Through its company Imbisa, the FNMT has paid almost €40 million to the Institute for Housing, Infrastructure and Defence Equipment (Invied) for a plot of land measuring 142,000 m2, where it is going to build a new factory.

The plot of land acquired for the construction of the new facilities – which will house around 720 employees – is located in the east of Madrid, between the M-40 motorway, the old Vilcálvaro road and Avenida de Daroca (see map above).

The company Imbisa was constituted by the Bank of Spain in June 2015, with share capital of €50 million, in order to comply with the new regulations issued by the ECB, which required bank notes to be manufactured by private companies under tender, or by the national central banks themselves.

The institution led by Luis María Linde (the Bank of Spain) owns an 80% stake in Imbisa and the FNMT will continue to hold the remaining 20% stake until December 2017, when those shares will also pass into the hands of the supervisor. (…).

Once the agreement has been formalised, Imbisa will make a payment amounting to €1.97 million (…) and the balance, in other words, €37.4 million, will be handed over when the public sale and purchase deed is signed.

Despite the purchase of this land, the new factory will not be operational until 2020, by which time it is hoped that the new property will comply with all of the security requirements established by the ECB for the printing of bank notes. (…).

Original story: Inmodiario

Translation: Carmel Drake

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