Property battle between prosecutors and insurance ‘tycoon’ for control of last mansion in La Castellana

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“As many of you know, I want to share my efforts with you. Combining two existing headquarters of the State Attorney General’s Office and so we will improve our role, because together (central bodies, experts and generalists) we will be more effective. I hope and wish that this possibility will definitely come true,” this is how Álvaro García Ortiz began his speech during the renewal of the post of State Attorney General.

Hidden behind these words was the true intention of the Prosecutor’s Office, which started a (for now peaceful) war between two State institutions, the Justice Organization and the Ministry of Justice. Insurance Compensation Consortiuma public-private company tasked with covering losses in a hypothetical disaster that private insurers cannot handle.

To contextualize the story, you need to go back a few months. The Consortium, which owns several buildings in central Madrid, is starting the renovation of the luxurious but poorly preserved Casa Palacio 19 Paseo de la Castellana, which has been converted into offices. The organization began work on a massive renovation that would return the building to its glory. Investment alone was estimated at more than 13 million euro.

The intention behind this rehabilitation was: updating the property according to market demands and renting it to a company. However, the State Attorney General’s Office, not letting its dream fade away, went this route by merging its headquarters.

adjacent buildings

Some headquarters of specialized organizations are dispersed, for example at 57 Ortega y Gasset Street; The prosecutors’ headquarters is located at number 4 Fortuny Street. This building is practically Adjacent to property owned by the consortiumThat’s why the Prosecutor’s Office directed its intention towards him.

The current headquarters of the State Attorney General’s Office is located almost permanently next to the Insurance Claim Consortium building. Ignacio Garcia

Castellana, 19 years old 5,120 square meters It is divided into two buildings: one five-storey, the other three-storey, with a central veranda between them. Among other tenants, Historic headquarters of the National Securities Exchange Commission (CNMV), something the owner now wants to repeat with another company, public or private.

Currently the situation is the same: the prosecutor’s office is fighting to keep the building, whether it is owned or rented; The consortium is not ready for this task. “Now to the consortium A multinational company looking to relocate its headquarters in Madrid asked him about the building. and they pay him a good rent. And they are not the only ones calling to ask,” market sources explain.

Advisor CBREParticipating in the reform together with the architecture department (Bovis), the Ruiz-Larrea studio and the construction company Grupo Ortiz, The announcement of the building was published on the corporate website.But they refused to confirm whether they had official authority to find a tenant for the property.

The mediation of Félix Bolaños or Carlos Body?

In this cross-fight between the semi-public institution and the Justice institution There are more agents involved. Here, Félix Bolaños, the Minister of Relations with the Presidency, Justice and Courts, to whom the Prosecutor’s Office is affiliated due to its lack of financial independence, and Carlos Body, who was recently appointed as the Minister of Economy, appear on the stage.

Workers working in Castellana’s rehabilitation, 19th century. Alba Vigaray

From Insurance Consortium They are afraid of pressure from the Ministry of Justice to the portfolio Economy that will force the business to rent or, sell the building It was built in 1903 and renovated in 1986. “The consortium is a property owner that aims to rent its properties against unforeseen circumstances and therefore invests in its buildings,” explains the same source.

There is no doubt that, given the intentions of the new State Attorney General, García Ortiz will use all the tools at his disposal to gain control of Castellana 19 and ensure the unification of the headquarters. Prosecutors believe there is great interest in combining the two headquarters, so Since they are both State administrations, they think the Consortium should agree. When consulted, the Ministry of Justice, the Insurance Compensation Consortium and its affiliated organization, the Ministry of Economy, Trade and Commerce, did not respond to questions sent this way.

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