 In the midst of the reign of by Philip III, Valladolid briefly served as the capital of the Hispanic Monarchy between 1601 and 1606 under the auspice of the Duke of Lerma, "valido" of Philip III.Lerma and his network had bought plots in Valladolid before in order to sell those to the Crown.Promoted by Lerma, the decision on moving the capital from Madrid to Valladolid has been portrayed as case of a (double) real estate speculative scheme, as Lerma had proceeded to buy housing in Madrid once the capital was moved from the city as the prices had plummeted.