DOMUS de Mallorca, a Majorcan-based company led by British tycoon Robert Fleming, and represented by the lawyer Lluis Palmer has signed the purchase deed for the Pueblo Español in Son Armadans. The agreement was signed with the owner, Invernostra, which belongs to the Sa Nostra group, for a reported six million euros.
The new owners have drawn up a management and development plan for the complex, which will be presented to traders and craft workers at the Pueblo, a group of buildings reproducing famous historical buildings from all over Spain.
They include the Torre del Oro of Seville, part of the Alhambra gardens in Granada, the chapel of San Antonio in Madrid, a typical Plaza Mayor and narrow winding streets. The Pueblo also has various bars and restaurants and congress facilities which can cater for up to 5'800 people.
Initial agreement on the purchase was reached in May, and was expected to have been completed by July, but was held up by technical difficulties.
The Pueblo Español covers an area of 21'000 square metres and was opened in 1969, with the intention of combining a tourist attraction with congress facilities and social events. It attracts coach loads of tourists on a daily basis, and is much in demand for events such as fund-raising bazaars, Three Kings' parties and similar events. Sa Nostra became the main shareholder in 1998 and two years later became the sole owner.
Domus de Mallorca, which is led by Fleming, also has local investors.
Previously, the American consortium Miziker&Co had shown interest in purchasing the complex, and signed an option to buy in September 2002, but after several extentions to the agreement, finally backed out. The Pueblo's traders' association had expressed concern about its contracts, which for the past five years have been renewed on an annual basis.
In August, Domus said it would guarantee prior agreements included in the option to buy, although its representative, Lluis Palmer, said that the negotiation for prolonging contracts would be tied to the possible resiting of premises.
The traders plan to propose a promotion strategy among tour operators and travel agencies.