Next steps in Madrid Nuevo Norte after the provisional approval

  • Project

A new phase will now unfold following the unanimous provisional approval of the project at the plenary session of the City Council

The steps needed to market and build housing at Madrid Nuevo Norte are detailed below.

Próximos pasos de Madrid Nuevo Norte tras la aprobación provisional


Following the recent provisional approval of Madrid Nuevo Norte at the plenary session of the Madrid City Council, many citizens have contacted us, through social media and our neighbourhood offices, for information about the project’s housing development. This post seeks to provide details about the next steps in Madrid Nuevo Norte and the main milestones that should be surmounted before the first dwellings can be built.


When will the dwellings go on sale?

The unanimous provisional approval of Madrid Nuevo Norte on July 29 is a historic milestone for the project and the last step in the municipal administrative procedure. The project execution phase can only begin after the Regional Government of Madrid has given the final approval.

In this phase, most landowners must first formalise their execution plan and set up Owners Boards. According to the law, it is the responsibility of these public-private legal entities to exercise their public duties regarding the implementation of the relevant urban development plan. The Owners Boards’ role is to ensure the material implementation of urbanisation works and subsequent delivery to the City Council of the road system and other lands of compulsory assignment. The Administration reserves for itself the powers of monitoring, control and guardianship throughout the entire process.

One of the primary duties of an Owners Board is the equidistribution of benefits and burdens derived from urban planning. The reparcelling project is the instrument used by each Owners Board to materialise this objective and distribute the resulting parcels among the owners who initially contributed plots.

The resulting buildable plots will only exist in law following the approval of the reparcelling project by the City Council. Hence, legal certainty will only exist from that moment on, when the plots may be marketed and developed, either by direct sale, as a cooperative or under a community ownership regime. The constitution of a cooperative or real estate development prior to the approval of the reparcelling project, and advertisement of a specific plot associated with any of the project’s various domains would entail a very high legal risk.


When will the urbanisation works begin?

Regardless of reparcelling, the Owners Boards should draft the urban development projects for the different domains that make up the physical environment of the urban development. The urbanisation works in each domain may begin following the approval of these urban development projects by the City Council.


When will the construction of housing begin?

In general, the construction works cannot begin until the urbanisation works are finished, and the City Council has approved them. At that time, the City Council provisionally certifies its proper execution. After their acceptance, 76.56% of the Madrid Nuevo Norte land will be publicly owned, including all streets, parks, infrastructure, plots for public facilities and lands of compulsory assignment.

The law, however, makes provision for bringing forward the construction of housing.

The City Council is qualified to enter implementation agreements simultaneously with one or more Owners Compensation Boards. These agreements, which are very common in Madrid, allow the construction of buildings to begin simultaneously with the urbanisation works. Construction can be brought forward through this type of agreement under appropriate circumstances: the City Council deems the urbanisation works sufficiently advanced; the City Council has established the conditions and commitments to preserve the executed works; and the City Council is provided with the necessary bank guarantees to ensure the execution of the pending urbanisation works until their completion.

The legislation also makes provisions for the partial acceptance of the urbanisation works by the City Council, in the case of plots or groups of plots that may be considered functionally autonomous. The building permits and first occupation licence for these plots may be issued, regardless of the situation of the rest of the urbanisation works.

Therefore, the construction work at Las Tablas Oeste could begin in late 2020 or early 2021, as this area is already urbanised.

30 July 2019


Madrid Nuevo Norte

30 July 2019

for Madrid Nuevo Norte