The European Parliament says yes to “Capital”. All the details, or almost!

Phew! The diplomatic service (SEAE) will have a brand new seat. The opinion requested from the budget committee of the European Parliament for the acquisition of the building "The Capital", located at the top of the rue de la loi, at 9-11 roundabout Schuman, was finally positive. The Budget Committee gave this opinion on Monday by a clear majority (16 for, 6 or 7 against, the vote having been taken by a show of hands, we do not know exactly, but the majority was clear. An opinion which now allows the European diplomatic service to move on to the essentials: the signing of the contract before being able to move and thus find common accommodation for all these agents at the same time as a place to receive all these foreign guests (NB: this is not not a report voted by Parliament but an opinion of the Budget Committee which does not require a vote in plenary).

A difficult childbirth

More than three months were needed to obtain ("snatch", some would say) this opinion. The EEAS was planning to sign the contract for the building last December. But the budget committee of the European Parliament dragged its feet. And it took a little time - and several back and forths - to convince her.

The MEP in charge of the report, Monika Hollmeier (CSU, Germany) believed, in fact, initially that this contract should have been subject to a public contract. And she was ready to issue a negative opinion. Several deputies, too, were not very satisfied with the content of the contract, in particular on the fact of having only one option to examine, and not two or three options. And certain clauses in the contract, such as the non-existence of a buyout clause at the end of the contract, seemed to them disproportionate. The impression of being presented with a fait accompli dominated.

The principle of reality is essential

Finally, the deputies agreed to the concept of reality: a building was needed for the diplomatic service. And it seemed difficult to postpone the whole operation for a year or more. The pressures finally paid off. And Monika Hollmeier had to swallow her bad mood.

The services of the EEAS are, in fact, currently dispersed in at least six buildings: the "Charlemagne", the "Loi 56" and the "Science 15" (for the Commission) not to mention the Berlaymont (for the Commissioner's cabinet) ; rue Froissart (the special representatives or RSUE), the Cortenbergh 148/150 (civil and military staff, EMUE, CMPD...) and the Royal Military School (for the Military Committee), as well as the Justus Lipsius ( for Council services). Suffice to say that it is neither practical nor symbolic. And it seemed unthinkable to procrastinate further.

A public market was not necessary

For the services of Cathy Ashton, the need for a public market was not essential indeed; simply because there is no building available on the market that meets the four basic criteria set:

"− Building with an accommodation capacity of approximately 1.500 people in order to meet immediate accommodation needs and medium-term needs;
− Building located in the European Quarter and close to the other Institutions and in particular the Council and the Commission;
− Building available and ready to be developed;
− Building with an image and visibility reflecting the political role of the EEAS and in particular its position between the Commission and the Council."

All the details, well almost!

The building

The new building "The Capital", owned by the AXA group, comprises six independent branches, one of which is currently occupied by EPSO, the EU recruitment office. The five remaining branches bring together approximately 46.000 m2 of office space (and 270 parking spaces). They can therefore accommodate 1560 to 1750 people (i.e. approximately 31 to 27 m2 per person). This is slightly higher than the current staff of the Diplomatic Service headquarters. It is brand new ("delivered" in July 2009). Which has its advantage.

A building taken into usufruct

The EEAS chose to enter into a usufruct contract and not a rental contract for a period of 23 years, without having an option to buy at the end of the contract (a point criticized by MEPs). The fact of not having a rental allows you to have a right in rem (identical to that of an owner) and thus to avoid paying regional taxes and the property tax to the Belgian authorities (protocol on privileges and immunities obliges! ). That is a saving of approximately 4,3 million euros per year (VAT exemption included). A beautiful "tax optimization" as the specialists say.

Operation cost

The building was negotiated, according to data provided by the EEAS, at a price of 12,5 million euros, ie a cost of 245 euros per m2/year. With a free 25 months (about 2 years). This will allow the first payments to be made only in 2013 (ie at the end of the financial perspective period).

To this price must be added: operating costs (18 euros/m2), maintenance (43 euros/m2) and security (1,835 million euros).

The service received in its budget the shares of the buildings occupied by its agents: approximately 12,5 million euros (8,95 million euros from the Commission and 3,53 million euros from the Council).

A gradual move, neither immediate nor total

The service is not going to move completely or immediately. This should not be done before the end of the year, according to the first indications, or even 2012 to have all the workforce in full.

Thus the staff of the PeSDC (civilian and military staff, mainly the EU Military Committee) should remain in their premises in Cortenbergh because these are highly secure premises. And it would be too complicated and too expensive to make the necessary adjustments in a short time. But the walking distance is reasonable (about 3 minutes).

Some work is also necessary: ​​classic as in any office building (partitions, IT...) but also security (specific to the diplomatic service). The "classic" fitting-out work could take six months from the signing of the contract. The owner is committed to it; which avoids the EEAS both having to pay for a "unoccupied building" and having to manage the works and calls for tenders (the cost of the works, around 20 million euros, is included in the fee paid by the EEAS). The building will also have to be secured using certain technical installations (the cost is not included in the basic installation and the estimate not quite established).

About 1050 people are expected to move into "The Capital" building at a rate of about 50 per week. This move would be done in phases: first the standard offices (unsecured) and then the secure offices.

At the end of this period, the EEAS will free up almost 38.000 m2 in the existing buildings which will be able to be reoccupied by other staff (there is no early termination clause in the contract).

As for the stores (hairdresser, chocolate, brewery, Exqi...) which are already open at the Rdz of the building, the question remains. But rest assured! Their departure was not budgeted by the service. And they feature "total autonomy" which does not threaten the security of the EEAS.

The essential question remains: will Lady Ashton move near her troops or not. The question is valid. But it could be that, ultimately, Cathy Ashton prefers the "coffee" of her troops. While keeping one foot in the Commission.