SANT JOSEPH

New battle for the unfinished hotel in Ibiza: developers fight back with a Supreme Court ruling

The developer company filed a brief with the mayor to stop the demolition based on new case law of the SC that questions the procedure followed by the Governing Board.
El promotor de Punta Xinxó quiere revivir el hotel de cinco estrellas.

The battle for the future of the unfinished hotel of Punta Xinxó, one of the symbols of the urban development failure in the first line of the bay of Portmany.one of the symbols of the urban development failure in the first line of the bay of Portmany, has added a new chapter that further strains the relationship between the City Council of Sant Josep and the promoters of the project.

Despite the fact that the consistory has confirmed its willingness to demolish the structure after decreeing the expiration of the building permit, the property has made a move and has submitted a direct request to the mayor to reconsider the procedure, warning of a possible legal flaw.

The company Cala Xinxó S.L., promoter of the project, has submitted a letter dated October 24 in response to the Governing Board of October 17.

There it alleges that the agreement adopted last May 16 on the expiration of the building permit – ratified and notified on October 23 – ignores a recent Supreme Court ruling, dated September 29, 2025, which, according to the developer, may invalidate the expiration procedure followed by the consistory.

“The legal report that motivates the resolution ignores the doctrine set by the Supreme Court,” says the letter addressed to the mayor of Sant Josep, Vicent Roig, which is in possession of La Voz de Ibiza.

The Supreme Court ruling and the “double jeopardy” principle

The developer bases its request on the STS 4059/2025 ruling, which establishes that it is illegal for an administration to repeat annulled procedures without completely redoing the file and without offering new guarantees to those affected.

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The Cala Xinxó document reproduces verbatim two key fragments of the sentence. On the one hand, the doctrine known as “double shot”, which prevents reiterating the content of annulled administrative acts without redoing the procedure from scratch.

And, on the other hand, the principle that reiteration without substantial changes is tantamount to a violation of the right of defense, especially if there is no new motivation and no real opportunity to argue.

In this context, Cala Xinxó requests that, in light of this ruling, the City Council’s legal services issue a new report to complement the previous one, on which the decision was based to declare expired the building permit 431/2006, which enabled the construction of the Hotel Bahía del Mediterráneo, today converted into a squatted building in a dilapidated state.

This new document is also part of the contentious-administrative appeal already filed. As explained by the legal representatives, this judicial proceeding “continues its course, which will include the infringement of the doctrine of the Supreme Court for a third expiration file”.

On the other hand, they have confirmed their intention to complete the project for the creation of a five-star hotel establishment under the “terms of the license adaptation request formulated in 2009“, they explained.

“We are awaiting resolution,” they added. This request “included an increase in the basement area for 40% more parking spaces“.

The City Council maintains its position: demolition

As already advanced La Voz de Ibiza, the City Council of Sant Josep has reiterated its decision not to extend or revive the license and to move forward with the demolition project.

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In statements to this media, municipal sources pointed out that“the expiration of the license and demolition is still in the pipeline“, referring to the agreement adopted by the Local Government Board in May 2025.

Said agreement declared the expiration and extinction of the old building permit, rejecting all of the developer’s allegations, including a request for extension. All these measures were ratified at the Governing Board meeting held on October 17.

In addition, the precautionary suspension of the process was expressly denied, arguing that the public interest in urban legality and public safety prevails.

The document approved by the Governing Board also rejected the appeals for reconsideration presented by Cala Xinxó S.L. and by Banco Santander S.A., which is a creditor, by absorption of Banco Popular Español . -which is represented as creditor, by absorption of Banco Popular Español-, thus closing the administrative procedure.

The most visible ruin in the bay

The building, which began construction in 2006, was halted in 2010 following the financial crisis.

Since then, it has gone from being an ambitious four-star hotel with projections of five stars to become the largest urban ruin on the coast of Sant Josep.

The structure, without electricity or water, has been squatted and degraded. According to a municipal inspection, 87 people were living there in subhuman conditions in May 2025, organized in 54 living quarters.

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The situation has generated neighborhood complaints, police interventions and a generalized climate of insecurity.

The company has filed a criminal complaint for the illegal occupation of the property, which has been admitted for processing by the Court of Instruction number 4 of Ibiza.

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Automatic Translation Notice: This text has been automatically translated from Spanish. It may contain inaccuracies or misinterpretations. We appreciate your understanding and invite you to consult the original version for greater accuracy.

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