Spain’s Department of Tax Information Technology (DIT) has been allocated €70 million ($76.2m) for a new headquarters in Madrid, including a new on-prem data center.

The building will be located at 480 Calle Alcala and will house the DIT, enabling the development, implementation, and maintenance of the necessary IT systems for the management of the Agencia Estatal de Administración Tributaria (AEAT).

Currently, the DIT is split across four different facilities. The new headquarters, according to a report, is intended to enable more effective internal organizational changes and will free up three of the buildings that are being used by the department. The report goes on to say: “It should be noted that the construction of the new building will significantly improve the technical conditions of the AEAT's main Data Processing Center.”

The headquarters will be split into two buildings, covering a total of 11,036 sqm (118,800 sq ft). Two-thirds of this will house the offices in a building with eight floors. The remaining third of the plot will be for the data processing center, which will span four levels. The Material Execution Budget (MEB) is predicted to reach €59m ($64.2m), while the total value of the contract is approaching €70m ($76.2m).

The report also identifies the complexities associated with constructing data centers. “The ventilation, heating, and air conditioning installations of this building have an exceptionally unique character since they must serve a large and complex data processing center, in addition to the office spaces," the report says. 37.12 percent of the MEB will thus be allocated to the installation of air conditioning, refrigeration, ventilation, electricity, and controls.

Further details on the expected capacity of the data center, nor the hardware that will be used, have not been disclosed, nor has an expected construction start or completion date.