Government finally authorizes the contract for the operation of the Castellana Conference Center

The Council of Ministers has approved the concession contract for the refurbishment of the Palacio de Congresos de la Castellana for 1,279.25 million euros, a project that the business sector considers key for business tourism in Madrid. More than 12 years after its definitive closure and numerous unfulfilled promises, the long-awaited infrastructure may become a reality.

The Government has given the green light to the administrative contract for the public works concession for the refurbishment of the Palacio de Congresos de la Castellana, closed since 2013 due to safety problems, following a fire that partially destroyed it in 1995, no less. The estimated investment amounts to 1,279.25 million euros, and includes the drafting of the project, construction and operation of the site for 40 years.

Hilario Alfaro, president of Madrid Foro Empresarial, has highlighted that the refurbishment comes "at the best moment for tourism" and will mean "a before and after" for the congress sector in the capital. The building, part B of which will house the new headquarters of the World Tourism Organization (UNWTO), will be used for events and conventions once the works are completed.

The project, which already has an urban planning license and ministerial supervision, will soon be put out to tender in the Official State Gazette (BOE). The business sector has highlighted the expected economic impact, with a forecast of higher hotel occupancy, revitalization of the hotel and catering industry and job creation. The reopening will consolidate Madrid as a leading destination for international meetings tourism.

According to Alfaro, the government's decision is "historic": "It is a very important day for Madrid, we have been pushing, insisting and knocking on every door for years, and we are finally seeing the results.