There are 25 privately owned units in the commercial area beneath the Plaça Major in Palma. These are to be expropriated as part of the town hall's plans for the remodelling of the square. In future, there will be no below-ground space. Instead there will be an upper and an open lower level, connected by steps.
The town hall has allocated €4.2 million for the expropriation of the units as well as the common areas. Some owners reckon they will receive barely €120,000 - "peanuts" for a business in the city centre. This valuation is less than the price being asked for a space in the Plaça Major car park; it's for sale at €130,000.
For the owners, the degradation of the shopping area goes back to 2014, when a failure of town hall planning in respect of the publicly owned units initiated a process of deterioration. This situation worsened in 2019, when the town hall opted not to renew 70 per cent of the concessions (the ones owned by the town hall). This affected the remaining 30 per cent in private hands.
One of the owners argues there is unequal treatment. "There is an expropriation strategy that aims to acquire premises in the heart of the historic centre at prices far below their market value". Commercial premises in the area are being sold for more than €6,000 per square metre. This is a price that doesn't take into account the higher prices for shops on C. Sant Miquel.
The valuations don't offer owners the opportunity to acquire equivalent alternatives in the area. "This represents direct financial harm, especially for those who consider these premises to be their only family asset. Our premises aren't just businesses; they're part of the identity of the Plaça Mayor. We weren't given the chance to renovate or reinvent them under fair conditions.
"The area's decline is a direct consequence of municipal decisions and not private activity. We question whether the expropriation is solely in the public interest. We demand genuine dialogue, transparency, and respect for our right to decide."