ABSTRACT Public bodies often pursue alternative funding of public infrastructure by using developer obligations. These are contributions made in exchange of land-use regulation decisions. Non-negotiable obligations support on detailed legislation, but negotiable obligations much less and often have a local character. In Spain, negotiable obligations were introduced in the 1980s. As in other countries, in Spain, they increased initially as a response of low effectiveness of non-negotiable obligations, but they were not always transparent and with time became regulated. Differently than in other countries, Spain introduced in the 1990s a peculiar land readjustment regulation that stimulated competition and hence negotiated contributions.