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Spain’s Ministry of Defence to Make a Third Attempt to Auction Off Assets in Alcalá de Henares

30 September 2019 – Spain’s Ministry of Defence (MOD) will attempt to auction off a series of real estate assets for the third time, as the first two auctions failed to raise any investor interest.

The Spanish government announced the sale in its Official State Gazette and through Addmeet, a real estate auction portal the government has often used in the past.

The fifteen assets on auction include fifteen plots of land with a total of 85,000 square meters of finalist land in Alcalá de Henares, on the outskirts of Madrid. The MOD requested a total of 75 million euros in the first auction and then reduced that to €68 million in the second. That second auction failed to attract any bidders, so the MOD will attempt two additional auctions, if necessary, reducing the price by 10% and then an additional 15%. Should the sale go to a fourth auction the sales price would fall by a total of 25% to 56 million euros.

The MOD will auction the fifteen lots separately. The plots of land are located in Colonia Ciudad del Aire, next to the Parque Los Nogales urbanisation, on which a developer could build 800 to 1,000 homes.  The plots have buildable areas ranging from 3,000 to 7,500 m2, with prices between 2 and 5 million euros.

Original Story: El Confidencial – Elena Sanz

Adaptation/Translation: Richard D. K. Turner