CELEX: 51982DC0280
Language: en
Date: 1982-05-11
Title: TRANSFER OF APPROPRIATIONS No 10/82 (Non-compulsory expenditure)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (82) 280
Vol. 1982/0108
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983
concernant l'ouverture au public des archives historiques de la Communauté économique
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983,
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit
règlement.
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243,
27.9.2003, p. 1), this file is open to the public. Where necessary, classified documents in this
file have been declassified in conformity with Article 5 of the aforementioned regulation.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft und der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983,
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. September 2003
(ABI. L 243 vom 27.9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5
der genannten Verordnung freigegeben.
 ---pagebreak---    COMMISSION OF THE EUROPEAN COMMUNITIES
                                                     COM(82)280 final.
                                                     Brussels , 11 May 1982
        GENERAL BUDGET FOR 1982                          P 't            -     Cl
         SECTION III - COMMISSION - PART A                    v ^        /
                       .                                         •-          y
                                                                •? < , \
                           TRANSFER OF APPROPRIATIONS No 10/82
                              (Non-compulsory expenditure )
        FROM CHAPTER 100 - PROVISIONAL APPROPRIATIONS
        TO CHAPTER 20    - INVESTMENTS IN IMMOVABLE PROPERTY , RENTAL OF
                            BUILDINGS AND ASSOCIATED COSTS
        Artide 206        – Acquisition of immovable property
                                                                           1 500 000 ECU
        The Financial Controller approved this proposal on 28 April 19°2 in
        accordance with Article 21 (4 ) of the Financial Regulation and certified
        that the appropriations are available .
COM ( 82 ) 280 final .
 ---pagebreak---                                                                      - 0 <ri
                                                           v..c>'n
                                                           v– - ;v * k /- £/
                                                                          i > v
                            GROUNDS
1,         All available space in the offices of the Commission Delegation in
                                    1
Tokyo is occupied "by the 35 people currently employed, there , "out in the medium–term
the staff complement will have to "be raised to 45 • Furthermore , these offices
do not meet present safety requirements and this makes a poor impression in a
country with which the Community * s trading- links are of the utmost importance .
The residence of the Head of the Delegation - two connected flats with a total
                 2
area of 320 m – is not convenient for the entertaining that plays such an
 important role in Japanese life .
 The Member States have always taken account of the importance of proper
 entertaining by giving reception rooms in their residences preference over their
V--vp « eiieries . All except Ireland own the buildings they occupy .
 2.         Since the conclusions of the Commission 's economic analysis establishing
 the advantages of purchase of buildings over rental are no longer questioned ,
 the Commission is requesting the means to purchase a plot of land and construct
 a building to house both offices and residence .
 In the 1980 budget the Commission unsuccessfully requested an appropriation
 of 6 904 000 ECU to buy a plot of land (5 530 000 ECU) and begin building
 (1 374 000 ECU, one third of the total cost ) and then asked for an appropriation
 of 2 094 000 ECU in the 1931 budget to continue         work .
For 1982 it requested 7 200 000 ECU for the purchase of a plot of land and a
further 1 300 000 ECU for the construction of a building . As in I9S1 , it was
granted only 1 500 000 ECU which v/as entered in Chapter 100 .
3.         Twenty-five percent of the inhabitable land area of Japan, lies around
Osaka, Nagoya and particularly Tokyo , where about JOfo of vhe population and
the same percentage of industrial' production are to be found. The very rapid grcvrtii
of these areaa has resulted in acute over-population with almost insoluble housing
problems and rocketing land prices ; fierce competition has , however , pegced
building costs .
 ---pagebreak---                                  - 2 -
If the Delegation is to function efficiently , these factors must be taken into
account and the search for a suitable site must be confined, to the area of
Chiyoda-Xu and a part of the adjoining district of Minato-Ku . These are central
areas where most of the embassies of the Member States , ministries , business
centres and press offices are situated .
Having had no success in its approaches to the Japanese authorities (Ministry
of Foreign Affairs ) and to the embassies of the United States and the Philippines ,
which own land , the Commission decided to study the land market itself .
4.        Land prices have risen sharply in only a few years from 2 509 ECU per
square metre in 1978 to between 5 018 ECU and 6 277 ECU per square metre in
1982 .
There are three sites for sale at the moment in the area referred to at 3 above :
                                                                           2
– in Chiyoda–Ku in an area designated for commercial building : 1 118 m at
    9 538 ECU per square metre ;
                                                   2
– in Chiyoda-Ku in a residential area : 1 60o m at 5 647 ECU per square metre ;
                                                     2
- in Minami–Azabu in a residential zone : 3 280 m at 5 647 ECU per square metre .
Some other sites became available but these were not pursued because the
Community 's decision–making process cannot keep up with the speed at which land
deals are usually completed .
5.        The Commission has also considered the following solutions :
( a) continuing to rent the space required for its offices and the residence of
       its Head of Delegation .   The financial terms are extremely unattractive and
       there is no return 011 the money spent . This solution runs counter to the
       recommenda-tions of the Court of Auditors and Parliament ;
( b) purchase of a suitable area in an existing building. Since office and
       apartment blocks are built by large companies either for their own needs
       or as an investment , it is impossible to buy parts of buildings in Tokyo ;
( c ) to have the space required for the offices and residence included in a
       building under construction . Although this solution would provide
       custom-built premises , there would be no financial advantage because a
       large deposit yielding no interest would have to be lodged , and then a
       normal rent paid . For an area which could be used for the residence ,
                                               2
       cnancellery and two flats on a 2 64O m site near the British Snbassy , a
       deposit of 6.2 million ECU followed by an annual rent of 745 236 ECU has
       been quoted .
 ---pagebreak---                                - 3 -
If -the "budgetary authority rejects its building proposal , the Commission will
have to fall "baok on this^ast solution which would at least have the advantage
of providing space adequate for its needs and security .      It would however
involve payment of some 6 million ECU as a deposit ;      this sum would "be returned
at the end of the lease .
6.        The Conference of Catholic Bishops in Japan wishes to auction a piece
of land which it owns .   Advertisements will "be published in mid–June .    Staff
from Brussels have "been to see the site , which appears very attractive .     It is
situated in Chiyoda-Ku ( itokubancho ) near to two large railway stations and the
Belgian Bnbassy , ten- minutes walk from the delegations present offices and in
an area where fire protection facilities are excellent .
                                 2
The total area is about 2 280 m .       This could he used for a complex of offices
and residence not more thaji 20 m high , providing 3 600 square metres of usable
space .   The Commission would use this as follows :
                     2
- offices :   1 200 m ;
               .                    . .           2
- residence of the Head of Delegation : 600 m ;
                                          2
– two or three meeting rooms : 400 m ;
                           .          . .      .                   2
– parking, technical services , archives , storage etc :    1 400 m .
Consultations with architects , construction firms and "banks suggest that :
( a) an offer of less than 5 &4Q ECU per square metre ( 12 860 000 ECU for the
      whole site) is unlikely to "be successful ;
("b) the maximum price the site is likely to realise is 6 277 ECU per
      square metre (a total of 14 310 000 ECU). A reserve appropriation should
      therefore be set aside ;  this would not be used unless required . .
                                  »
 ---pagebreak--- 7(a)       The Commission is therefore requesting the budgetary authority
to authorise the transfer of 1,5 million ECU entered in Chapter A 100
( Provisional appropriations ) to Article A 206 ( Acquisition of immovable
property) to enable it to go ahead with this building project .
   ( b)    In authorizing this transfer , the budgetary authority would also
commit itself to providing a further 12.8 million ECU for Article A 206 ,
if required , on the basis of a proposal which the Commission would submit
before the end of this financial year .
 ---pagebreak---         APPROPRIATIONS IN CHAPTER 100 - PART A
                 AS AT 23 APRIL 1982
1. Total appropriations                6 231 000 ECU
2. Appropriations oeing transferred      355 000 ECU
3. Appropriations still availa*ble     5 876 000 ECU