US embassy cable - 05MADRID4075

UNCLAS MADRID 004075 
 
SIPDIS 
 
SENSITIVE 
 
STATE FOR EUR/WE - GCLEMENTS AND MHALL 
 
E.O. 12958: N/A 
TAGS: PREL, ECON, SP 
SUBJECT: SPAIN: AMBASSADOR'S MEETING WITH MINISTER OF 
HOUSING TRUJILLO 
 
 
(SBU) The Ambassador paid a courtesy call November 22 on 
Minister of Housing Maria Antonia Trujillo. She was 
accompanied by Technical Secretary General (Assistant 
Secretary) of Housing Javier Garcia Fernandez. In an amiable 
 
SIPDIS 
meeting, the Ambassador and Trujillo discussed potential 
cooperation on housing and urban planning.  The Ambassador 
offered the possibility of organizing a trip to the U.S. for 
the Minister. Trujillo expressed her desire to do so in order 
to share information on statistical reporting methods and on 
home financing plans.  Trujillo then explained that her 
Ministry will be releasing new statistics in an effort to 
respond to the accusations that Spain's housing market is 
overheated.  She clarified that the current annual statistics 
of homebuilding take into account planned projects and 
rehabilitations, whether or not they ever materialize. 
Trujillo rationalized that since this leads to an exaggerated 
number of new homes reported, that her Ministry needs to make 
an effort to more accurately report the true state of the 
Spanish housing market. Trujillo predicts that if Spain's 
housing market has a bubble, that it will smooth out over the 
next few years rather than bursting. Post will remain in 
contact with Fernandez about Trujillo's potential visit to 
the U.S. in 2006. 
AGUIRRE