Hacienda mistakenly seizes 8,431m2 of Torrevieja streets


The Spanish Treasury has started an action against a bankrupt real estate company that is said to have contributed land as roads 30 years ago. The roads still appear in the name of the real estate company and now tax officials have seized the ‘assets’ of the bankrupt firm. The town hall has already begun proceedings to lift the measures against land that is now developed and working public roads in the town.
A report emerged on Sunday claiming that the Treasury has seized over 8431 square metres of public roads because the municipality doesn’t have most of its streets registered in the property registry. The embargo affects some sections within the blocks between Calle Bilbao, Calle Hurtado Romero, Calle El Huerto, Calle San Policarpo and Ronda César Cánovas, along with the Inmaculada Public School and the Parque de las Naciones. The Treasury embargo, which is in the process of being resolved, was not actually issued to Torrevieja City Council, but rather to the company that still appears as the owner of the land on which these streets and buildings were originally developed. The company, Torrevieja 93, is a former real estate business reported to have numerous tax debts.
When the area was developed in the early nineties, this company contributed the land on which the roads are built. The town hall incorporated the roads into its inventory, but did not de facto register them in the property registry. Hence, when the tax office wanted to collect the debt from the real estate company, it seized the assets that were still in its name.
Legislation (until the mid 90s) did not require the registration of the land as a public asset once it was handed over to the town hall. Simply incorporating them in the municipal inventory was deemed sufficient. However, during the last twenty years it has been a legal requirement for land such as this to be registered. The report claims that in Torrevieja, only the main street (Calle Ramón Gallud) and some of its surrounding streets are registered. Every year, municipal technicians warn of the need to carry out this registration process which requires technical reports to verify the situation on the ground so that the data on paper can be confirmed and the land incorporated into the registry.
The report, which appeared in Sunday’s Información claims that in Torrevieja there are many more inconsistencies between urban planning and the actual situation.