
Article 1 
The two contracts notified by the Kingdom of Spain on 15 April 2009, concluded on 15 December 2006 between the Diputación Foral de Bizkaia and BIZKAILUR S.A., on the one hand, and Habidite Technologies País Vasco S.A. and the AFER group on the other hand, involve state aid within the meaning of Article 107(1) of the Treaty.
Article 2 
The aid involved in the notified contracts is unlawful, as it was granted in breach of the prior notification obligation stemming from Article 108(3) of the Treaty.
Article 3 
The aid involved in the Land Contract comprises:

((a)) The interests forgone by the Diputación and BIZKAILUR for a loan totalling the effective costs for the purchase of the land, to be reimbursed after a grace period of four years in four equal annual instalments of 25 % each, interest-free. The NGE of such an interest-free loan would have been of 13,41 % of the effective costs incurred by BIZKAILUR for the purchase of the land for this project on the basis of Part Two, Article 1(ii) of the Land Contract.
((b)) The total effective costs that BIZKAILUR would have incurred for the adaptation to industrial use of the land to be purchased for this project, totalling at least 101 430 sqm, as stipulated in Part Two, Article 1(iii) of the Land Contract.
Article 4 
The aid involved in the Houses Contract consists of the profit that would have been derived by Habidite and the AFER group from the sale of the 1 500 houses ordered by the Diputación Foral de Bizkaia and BIZKAILUR S.A. under this contract. This profit is defined as the difference between the price obtained by Habidite from BIZKAILUR on the basis of Article A(e) of this contract and Habidite's own costs for the construction of the 1 500 houses.
Article 5 
The aid involved in the Land contract is compatible with the Treaty under the 1998 Guidelines on National Regional Aid and the 2002 Multisectoral Framework on regional aid to large investment projects up to the permissible amount of EUR 10,5 million. Aid exceeding this ceiling is incompatible with the Treaty.
Article 6 
The aid involved in the Houses Contract is incompatible with the Treaty under Point 4.15. of the 1998 Guidelines on National Regional Aid, since it constitutes operating aid.
Article 7 
This Decision is addressed to the Kingdom of Spain.
Done at Brussels, 27 June 2012.
For the Commission
Joaquín ALMUNIA
Vice-President