Looking for a bargain at auction? Perhaps Spain's Ciudad Real Central Airport in La Mancha will take your fancy.
The airport, located 100 miles south of Madrid, is now up for auction with a starting price of €100m -- even though the rarely-used travel hub cost €1 billion to build. The catch? The lucky owner of the airport will also have to take on Ciudad Real Central Airport's €529m debt.
Castilla-La Mancha's airport is currently going through bankruptcy proceedings, and the sale has been ordered by the case's overseeing judge. Once sold, there are a number of parties waiting in line for compensation.
The auction house will claim roughly €2 million, followed by airport workers made redundant. Suppliers, creditors and local residents whose houses were compulsorily purchased are also impatiently waiting.
If no buyer emerges from the first auction, a private auction will be held with an €80m reserve price. Pending failure, the last resort will be a compulsory sale at a judicial auction.
The airport's failure has been placed at the feet of owners who lacked a substantial business model. The administrators of Ciudad Real Central Airport told The Guardian that its proponents "produced a financial plan that was not based on any studies of the market or of demand that would justify the anticipated traffic."
Via: The Guardian
Image credit: Wikimedia Commons
This post was originally published on Smartplanet.com