MALLORCAS TRAUMIMMOBILIEN, advice magazine by Minkner & Partner: now available online and in Minkner & Partner branches

 

The new issue of MALLORCAS TRAUMIMMOBILIEN, the advice magazine by Minkner & Partner in German, has just been published and was enclosed with the complete edition of the Whitsun issue of MALLORCA MAGAZINE. On 64 pages, there is once again a wealth of information on all topics relating to Mallorca real estates. Experts from the fields of law & taxes, finance, architecture and building trades report on the latest developments in their fields. Furthermore, readers are invited to take part in a foray through the real estate world of Minkner & Partner, MALLORCAS TRAUMIMMOBILIEN presents the most attractive properties in the southwest of the island. MALLORCAS TRAUMIMMOBILIEN is available free of charge in the branches of Minkner & Partner (Santa Ponsa, Port Andratx and Palma), in selected hotels, golf clubs, restaurants and shops. Of course, you can also read MALLORCAS TRAUMIMMOBILIEN online.

 

Minkner & Partner and actor Heinz Hoenig present Mallorca's wineries

 

Wine has been grown on Mallorca since the 13th century. About 70 bodegas produce 50,000 hectolitres of wine annually, 80% of which are red wines and rosés and 20% white wines. The most important indigenous grape varieties are Tempranillo, Manto Negro and Monastrell for the red wines, and Moll, Prensal Blanc and Parellada for the white wines. In addition, there are international grape varieties such as Cabernet Sauvignon, Chardonnay, Merlot and Syrah. Actor Heinz Hoenig, friends with Edith and Lutz Minkner, has visited the 12 best-known bodegas in Mallorca and presents them to us on our website "Actor Heinz Hoenig accompanies you to Mallorca's bodegas".

2. Mallorca - Construction / Investment

 

Palma: Financing for new sewage treatment plant in place; investment 131 million euros

 

The problem has been known for years and stinks to high heaven: during heavy rainfall, the catch basins and the two sewage treatment plants in Palma and San Jordi overflow and the dirty water pours into the bay of Palma. Decades ago, the German comedian Heinz Erhard remarked laconically: "When you go swimming, you meet old acquaintances". This is now to be put to an end. A new sewage treatment plant is to be built in Palma's Coll d`en Rabassa district, which will have the capacity needed today and prevent overflowing during heavy rainfall. This should "definitely solve" Palma's sewage problem. The total investment is said to be 131 million euros. 20% of this is to come from the city of Palma (26.2 million euros) and 80% from the central government (104.8 million euros). Finally, funds from the EU's "Next Generation" reconstruction fund, from which Spain has been promised loans amounting to 140 billion euros, will be used.

 

Palma: Camper wants to buy Tito`s building and convert it into luxury apartments; investment/purchase price approx. 16.5 million euros

 

For almost 100 years, Tito's on Palma's Paseo Marítimo was the trendy discotheque in Palma. Then the Cursach Group, which owned the building and ran the discotheque, came under the scrutiny of the police and the public prosecutor's office. And finally, Covid and the Balearic government's restrictions banned night-time operations on Mallorca altogether. Entrepreneur Cursach currently seems to be tilling his field and parting with most of his businesses and properties. A demanded purchase price of 16.5 million is mentioned for the Tito`s building. The purchaser will probably be the leather goods company Camper, according to a board resolution of the group of companies. Camper is reportedly planning to build luxury apartments in the building. There will probably also be a new Tito`s. The Cursach Group wants to convert the BCM discotheque in Magaluf and continue it as a new Tito's.

 

Palma/Es Molinar: Conversion work for listed harbour building underway; investment € 864,761

 

After years of disputes between the harbour administration, residents and conservationists, the reconstruction of the Es Molinar harbour on the outskirts of Palma is in full swing. The harbour area around the listed harbour building has been largely completed. Now work is beginning on the harbour building itself. Built in 1927 by Carles Garau, the building needs to be completely renovated. There will be a cafeteria on the ground floor. The construction work will take eight months and is expected to cost € 864,761.

3. Mallorca – Economy

 

Tourism I: Prime Minister Armengol rejects party tourism (and probably not only for this summer)

 

The Prime Minister of the Balearic Islands, Francina Armengol, has stated in several interviews on the occasion of a trip to Germany that "the party summer in Mallorca is cancelled". There is no thought of opening the nightlife in the short term, at least not this summer and not before the vaccination campaign has progressed further. This seems to be the end for the drinking parties at Playa de Palma and Magaluf. Armengol continued: "The Covid pandemic offers us the chance to leave excess tourism behind us". Armengol pointed out that Mallorca and the neighbouring islands were working on a concept of quality tourism, a tourism with more respect for nature and the peculiarities of the regions.

 

Tourism II: Airfare - including for Mallorca flights - as a German election issue

 

As if there were no other problems: The German parties have discovered the cost of Mallorca flights as an election campaign issue. After the envy discussion about travelling to Mallorca, which degenerated into Mallorca-bashing, there is now a debate about air fare increases. Olaf Scholz (SPD) wants to set minimum prices, Annalena Baerbock wants to increase taxes on short-haul flights, and Wolfgang Steiger of the CDU Economic Council points out that the "little man" should also be able to have a holiday in Mallorca. The airlines will sort it out, regardless of the profiling attempts of some politicians.

 

Tourism III: Only 25% of Mallorca's hotels open so far

 

According to a press release of the hotel association FEHM, to which 830 of the 1,000 hotels on Mallorca belong, only 25% of the Mallorca hotels are currently open. A similar rate is assumed for the hotels that do not belong to the association. About 50% of the hotels are open in Palma, in Cala Major and in Sóller. As the major tour operators are still hesitant in their booking behaviour, it is not yet possible to give a reliable forecast about hotel openings and occupancy in the summer months.

 

Tourism IV: Balearic Islands Tourism Agency (AETIB) provides free travel insurance for possible Covid19 cases

 

The Balearic Government, through the Tourism Agency (AETIB), intends to provide free travel insurance for any Covid cases to all travellers staying in regularly rented accommodation. The insurance should cover, among other things, the following risks: costs of return travel to the home country within 24 hours after overcoming Covid19, accommodation in a Covid19 hotel during quarantine, translation service, etc. At the moment, the Balearic government is running a tender procedure for the insurance. The insurance should already be available at the beginning of the season.

 

Tourism V: Balearic Islands presented on 1,000 sqm area at FITUR in Madrid

 

From 19.05. - 23.05.2021 the International Tourism Fair FITUR took place in Madrid. The Balearic Islands presented themselves at this fair on a stand area of 1,000 sqm, for which 500,000 euros were spent. The main objective this year was to present the Balearic Islands as a safe travel destination and to stimulate bookings by international tour operators for this year's season. But they also want to boost national tourism through their presence at the fair. Parallel to the Fitur, the Balearic Islands launched an international advertising campaign, for which a new promotional film about the Balearic Islands has been produced.

 

 

Traffic I: Negotiations on sale of airline CONDOR concluded

 

According to information in business newspapers, negotiations on the sale of the airline CONDOR have been concluded. The asset manager Attestor has taken over the majority of 51% and wants to keep all jobs. CONDOR had left the protective shield procedure at the end of 2020 and pledged its business shares to KfW Bank, which then granted a further loan, but wanted to part with this commitment at short and medium term.

 

Traffic II: Swiss airline group to operate Mallorca - Menorca and Mallorca - Ibiza routes as of June 2021

 

The Balearic Islands are moving closer together. From June 2021, the airline Uepfly.com, a subsidiary of the Swiss group Swiftair, plans to operate twice-daily services between Mallorca - Menorca and Mallorca -Ibiza. The service will be operated with an ATR-72 aircraft, a turboprop regional jet built by the French-Italian consortium Avions de Transport Régional, of which 1,105 were produced. The airline has already set up offices in Palma, Maó and Ibiza Town.

 

Traffic III: Car rental prices increase significantly

 

Prices for car hire in Mallorca have increased significantly and supply will be tight for the season. During the Covid crisis and the uncertain forecasts for the 2021 season, rental companies have bought significantly less, so that there are only 30,000 rental cars on offer this season, compared to 100,000 in 2019. The result: high demand, low supply, rising prices. The average price increase is said to be 30%. The situation could ease slightly if - as announced - around 10,000 more vehicles become available in June.

 

Retail: Supermarket chain LIDL continues to expand - now in Can Picafort

 

The supermarket chain LIDL is continuing to expand: it has now opened a new branch in Can Picafort in the Son Bauló business park. Most recently, new branches were inaugurated in Palma and Paguera. LIDL now has 26 branches on the Balearic Islands; 21 of these are on Mallorca. According to its own information, LIDL directly employs 600 workers, 480 more depend indirectly on the company.

 

Agriculture: "Meteorological drought" causes problems for agriculture

 

Mallorca's farmers are moaning about a lack of water. The Balearic Ministry of Agriculture has taken this into account and officially declared a state of "meteorological drought". This is necessary in order to grant aid to agriculture. The reason for the drought is the low rainfall in the months of September 2020 to March 2021, which led to crop failures and thus low fodder quantities for sheep, goat, cattle and pig farming. The lack of rainfall is particularly evident when observing the Cúber and Gorg Blau reservoirs in the Serra de Tramuntana. Currently, the reservoirs are 51% full. In the same period in 2019/2020, they were 90% full.

 

Winegrowing: Mallorca's winegrowers draw a poor balance for 2020

 

Mallorca's winegrowers have a poor record for 2020: They recorded a large minus in grape harvest and production compared to 2019, with a minus of 24% for wines with the "Vi de la Terra Mallorca" designation of origin, a minus of 26% for wines from the "DO Binissalem" and a minus of 31% for the "Pla i LLevant" designation of origin. Since the main sales market, the gastronomy on Mallorca, has almost completely ceased, all the winegrowers point to bulging stocks despite the drop in production. Covid was thus indirectly the cause of the winegrowers' predicament, but not the only one. The winegrowers point to the fungal disease "powdery mildew", which spread in Mallorca in 2020 and led to crop failures. The wet spring was also unfavourable for the ripening of the vines. And finally, the winegrowers complain that there are far too many wineries - almost 100 - on Mallorca. The Balearic government wants to counter this with a law from 23.11.2020 that regulates wine growing on the island even further.

4. Mallorca - Law, taxes, and finances

 

EU funding and price-fixing: Shining lights in the fog of corruption

 

In all ministries of the Balearic Islands, there are great desires regarding the expected resources from the EU support funds. The Balearic government has formed a special department for this purpose and placed a director general at its head. Initially, the general director was Jaume Garau, once campaign manager and brain of the left-green party Més, today it is Félix Pablo Pintado. Both were partners in Regio Plus Consulting, which specialised in advising and applying for subsidies from EU funding pots. In other words, proven experts, a gain in expertise for the Balearic government.

 

Unfortunately, these shining lights are now in a fog of corruption. The Spanish competition authority CNMC has uncovered that in the years 2008 - 2018 there were two cartels of consulting companies, one of them Regio Plus Consulting, which obtained subsidies through manipulation and shifted contracts in the manner of a lord of the manor. Jaume Garau is named as the main perpetrator, Félix Pablo Pintado "must have known about the manipulations", according to the CNMC. Garau and some of his partners have since been fined and held responsible.

 

Traffic law: Mallorca’s cities and towns now have a 30 km/h speed limit - the new rules and their exceptions

 

From 11th May 2021, a speed limit of 30 km/h will apply on most roads in Mallorca's towns and villages. The speed limit will remain at 50 km/h only on roads with more than one lane in each direction. On narrow roads or when the carriageway and pavement are on the same level, the speed limit is even reduced to 20 km/h. The only exception is the inner-city ring road. The inner-city ring road Avenidas in Palma, the Paseo Marítimo, the Avenida Argentina and the Avenida Ramón i Cajal are excluded. Fines of between € 100 and € 600 are threatened for violations.

 

Lutz Minkner - The book is in German - Der Immobilien-Ratgeber SPANIEN – Alles über Recht und Steuern "The Real Estate Guide -SPAIN - Everything about Law and Taxes”, 4th Edition 2020, available from May 2020 (!), 237 pages, ISBN: 978-3-96004-063-7, 29.95 €

 

 

The law is in a constant state of change, Spanish real estate and tax law is one of them. New laws and regulations, new court decisions interpreting the laws, interventions by the European Court of Justice and a contract design that adapts to the market requirements - you too will find a lot of things "Spanish" when buying property here in Spain? Lutz Minkner has in his "Real Estate Advisor SPAIN everything about law and taxes" answered questions about Mallorcan property cases, very clearly and with many examples presented, taking into account laws and jurisprudence until May 2020. The author, who has been a lawyer and entrepreneur for over 45 years, can draw from the full extent of his knowledge, as he is a board member of one of the leading real estate companies on Mallorca. You will find a table of contents, sample read and the link to order your copy here:

 

Der Immobilien-Ratgeber Spanien - Alles über Recht und Steuern

5. Galería de Arte Minkner

 

Due to the uncertain situation, we have postponed the final planning of our event and exhibition calendar for 2021 for now.

 

01.04. - 30.06.2021, “Contemporaries - Themes and Scenarios of the Present”

The exhibition “Contemporaries” has been extended until June 30, 2021

 

 

Galeria de Arte Minkner is titling its new exhibition “Contemporaries - Themes and Scenarios of the Present”. Contemporary art of the present is commonly referred to as “contemporary”. Contemporary art thus includes a broad spectrum of artistic style, techniques used, materials processed and concept. From the gallery's collection, we present contemporary works by the following artists: Elvira Bach, Joseph Beuys, Jan Peter van Opheusden, A.R. Penck, Paul Quick, Mike Steiner, Antoni Tapiès and Peter Thoms.

 

Galeria de Arte Minkner, Avda. Rey Jaime I, 109 - 07180 Santa Ponsa, Tel. +34 971 695 255

Exhibition duration: 01.04.2021 – 30.06.2021, opening hours: Mon - Fri. 10.00h - 18.30h

6. Events and tips

 

30th of May 2021, “Tuesday Groove Session Special” at the cultural finca Son Bauló

 

The best musicians on the island (Rony B. - keyboards, Elon - bass, Günther Moll - guitar, Jürgen Modrow - voice, Patti Ballinas - drums and Egon Wellenbrink - sax) will set off grandiose fireworks on 30.05.2021: Rhythm & Blues & More a la Joe Cocker, Blues Brothers a.m. If you want, you can book beforehand the delicious 3-course menu of Son Bauló. 30.05.2021 “Tuesday Groove Session Special” at the cultural finca Son Bauló, 2 p.m. 3-course menu € 22, 4 p.m. concert € 18. Reservations: +34 971 524 206, www.son-baulo.com.

 

3rd of June to 6th of June 2021, PIBS – Palma International Boat Show, Palma/Harbour, Moll Vell

 

One of the biggest events on the international nautical stage will take place in Palma from 03.06. - 06.06.2021 - the Palma International Boat Show. More than 600 vessels ranging from sports boats and catamarans to large motor and sailing yachts can be viewed by visitors. Both newly built and used yachts can be checked out by the interested public. Due to Covid, there are many security precautions this year: Ticket sales are only possible online. Day tickets are only valid for half a day from 10 a.m. to 3 p.m. or from 3 p.m. to 8 p.m. Only trade visitors can stay at the show all day. 03.06. – 06.06.2021, Palma International Boat Show, Palma – Harbour Moll Vell, daily 10 a.m. – 3 p.m. or 3 p.m. – 8 p.m., tickets www.palmainternationalboatshow.com.

 

Tip I: Drive-in cinema in Mallorca, first from 28.05. to 10.06.2021 (Carrer Marie Behen,8)

 

Necessity is the mother of invention. Since the cinemas are not open or only with a small number of seats because of Covid, there will be a drive-in cinema, Autocine Mallorca, on Mallorca for an initial two weeks - from 28.05.2021 - 10.06.2021. It will be installed by the company Moviescreens Espanya at the A 1 exit of Palma's ring road (Carrer Marie Behen, 8). A total of 14 films will be screened, mostly in Spanish, but some in English and German. Tickets cost € 10, free for children under 5. Ticket sales: www.autocine-mallorca.com.

 

Tip II: Sculpture Route "The Way to Lluc" by Joan Bennassar - Inca, Selva, Lluc

 

In recent years, the artist Joan Bennassar has created human-sized, mostly female sculptures that he has exhibited in public places. His new project is called "The Road to Lluc". He sees his work as "art against discouragement" and wants to "strengthen the morale and spirit of the citizens in these difficult times we are going through". The series of sculptures leads from Inca (Plaça Santa Maria la Major, Plaça d`Espanya and the courtyard of the Sant Bartomeu monastery) via Selva (in front of the Sant Llorenç church) to the Lluc monastery.

 

Tip III: Visiting the King - Marivent Garden still open until 14th of June 2021

 

Until 14th of June 2021, the garden of the Marivent summer residence of the Spanish Kings is open to the public, daily from 9.00 h to 20.00 h - Avinguda de Joan Miró 229, Palma. The garden covers one hectare with trees, lawns and flower borders. There are 40 different plant species, mostly native, which are labelled with explanatory data. There are also some bronze sculptures by the artist Joan Miró to look at in the garden. Dog lovers, however, must leave their four-legged companions at home. During the royal family's stay, the garden is closed to the public for security reasons.

7. Legal Notice

 

The "Newsletter of Minkner & Partner S.L." is published fortnightly. As a client of Minkner & Partner PROFI KONZEPT S.L. you receive it via E-Mail. Responsible in terms of Press Law is Dipl. Jur., Ass. jur. Lutz Minkner, c/o Minkner & Partner S.L., Avda. Rey Jaime I, 109 – ES 07180 Santa Ponsa, Phone: +34 971 695 255, info@minkner.com www.minkner.org

 

 

 

 

 

 

 

 

 

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