The Government Board of the Bilbao City Council has given its approval for a formal request to be sent to the Gipuzkoa Provincial Council. The aim is to annul the mortgage held by the Jauregizar construction company, which built and operates the municipal car park Miribilla II. This measure is a further step in attempting to find a resolution to a long-standing conflict, addressing the situation that plot owners have been reporting for months.
Residents have reported that Jauregizar owes over 45,000 euros to the community of owners, despite a firm court ruling obliging the company to pay its fees. This financial non-compliance has led to issues at the car park facilities, including electricity cuts due to non-payment, leaks, deteriorated roofs, and unsanitary conditions.
“"That procedure was carried out without the knowledge or authorization of the Bilbao City Council."
Nora Abete, Deputy Mayor and Councillor for Mobility and Sustainability at Bilbao City Council, stated that the local administration has been holding constant meetings with owners to seek solutions. However, the possibility of the City Council itself taking on the debt to rescue the remaining plots for commercialization was deemed unviable due to the significant budgetary strain it would place on public funds. Furthermore, as Jauregizar is in receivership, there would be no guarantee that such an amount would be used to pay the debts owed to the community, as the construction company holds a mortgage with the Gipuzkoa Provincial Council.
Consequently, the official request from the City Council to the Gipuzkoan institution was approved. In response to a question from Xabier Jiménez regarding the option of requesting an audit of said mortgage, Abete affirmed that this procedure was carried out without the knowledge or authorization of the Bilbao City Council. Given this administrative juncture, it was confirmed that a total cancellation of the mortgage registration on the public domain concession in favor of the Bizkaia Provincial Council would be requested from the Property Registry.
The financial situation of the Jauregizar construction company is not new. In 2021, the Madrid-based construction company Urbas acquired Jauregizar, which at the time was one of the most active real estate developers. However, economic problems began to emerge, and in October of last year, Jauregizar's parent company filed for voluntary receivership, unable to meet its debt obligations.
