"Your Majesty, the Germans must have failed in their military attempt to seize Gibraltar and now fear international condemnation. Therefore, they are resorting to diplomatic pressure to force us to abandon it," Prieto asserted with absolute conviction.
"Is that so?" King Alfonso XIII hesitated, his indecisive nature leaving him easily swayed by his ministers' opinions. As a result, he vacillated on the matter at hand.
He feared the outbreak of war, terrified of Spain's annihilation at the hands of Germany, which would leave him a king of a ruined nation. Yet, he found himself unwilling to part with the glory of reclaiming Gibraltar.
"Your Majesty, that is certainly the case. The Germans are trying to intimidate us into submission so they can fulfill their ambitions of occupying Gibraltar. If we resolutely refuse to compromise, they will surely retreat," Prieto argued.
Seeing Prieto's unwavering confidence, Alfonso XIII began to believe him.
"Your Majesty, perhaps we should summon the German ambassador to hear their terms before making a decision," suggested Prime Minister Count Romanones.
"Very well, let us proceed," Alfonso XIII agreed.
The royal palace promptly sent for the German ambassador, who appeared within half an hour.
"Your Excellency, Gibraltar has always been Spanish territory, merely seized by the British in the past. Now that we have reclaimed it, our actions are both legal and just. I hope the German Empire will refrain from interfering in the internal affairs of the Kingdom of Spain," Alfonso XIII declared.
Though often regarded as ineffectual, years of kingship had taught him what to say in such circumstances.
"Your Majesty, I have already discussed this matter extensively with your Foreign Minister. I see no need to waste time repeating myself," the German ambassador replied, showing no deference.
Alfonso XIII's expression darkened. Prieto had already briefed him on the ambassador's earlier remarks, leaving him deeply dissatisfied with Germany's obstinate rhetoric.
"Your Excellency, I must inform you that Spain has neither colluded with the British nor joined the Entente. Germany cannot fabricate charges to impose upon us," Count Romanones declared.
The German ambassador nodded. "Very well, if that is your position, the German Empire expects to see your sincerity. If Spain has not joined the Entente and is not allied with Britain, Gibraltar should hold little strategic value for you. The German Empire proposes that Spain lease Gibraltar to us. In return, the German Empire will formally recognize Spain's sovereignty over Gibraltar."
Alfonso XIII and his ministers began to deliberate. Such an agreement could bring benefits—Germany's recognition of Spain's sovereignty would make it indisputable. It would also provide Spain with a diplomatic solution, avoiding conflict and perhaps even securing rental income. This seemed like a favorable outcome compared to war.
"Your Excellency, may I ask what terms your nation is offering—specifically, the rental fee and duration?" Alfonso XIII inquired.
"We propose a lease of ninety-nine years at a rate of one mark in total," the German ambassador replied.
"One mark? For ninety-nine years?" Alfonso XIII was stunned.
Likewise, both Romanones and Prieto were incredulous.
"Your Excellency, this is outrageous. How can you expect to lease Gibraltar for a mere mark?" Prieto fumed.
"No, Your Excellency, you misunderstand. It is not one mark per year—it is one mark for the entire ninety-nine years," the ambassador clarified.
"One mark for ninety-nine years? That is no different from giving it away!" Count Romanones remarked darkly.
"Not at all. At least the sovereignty remains yours. After ninety-nine years, Gibraltar will revert to Spain, and no one can dispute it," the ambassador replied.
"Hmph! Who can predict what will happen in ninety-nine years?" Alfonso XIII retorted, seething with anger. He loathed how the Germans treated him as a fool. He was almost certain that if he agreed to their terms, Germany would find a way to extend the lease indefinitely, barring a collapse of their empire or an extraordinary rise in Spain's power—both highly improbable.
"Your Majesty, these are the Empire's terms. Whether to accept or reject them is entirely up to you. However, if you refuse, you must be prepared to face the full wrath of the German Empire," the ambassador warned.
"Your Excellency, are you issuing a threat of war? Spain has no enmity with Germany. Should Germany attack Spain without cause, it will face international condemnation!" Count Romanones rebuked.
"No, Your Excellency, this is not a war threat. The German Empire does not wish for conflict with Spain, provided our interests remain unaffected. Otherwise, the Empire will spare no effort to safeguard its interests," the ambassador replied with a smile, though his words sent a chilling fear through the Spanish delegation.
"Very well, Your Majesty. I expect your response by tomorrow morning. May God bless the Kingdom of Spain," the ambassador concluded, bowing to Alfonso XIII before departing.
"My God! This truly is a threat of war! The Germans are threatening us with war! What are we to do? Can our military possibly withstand theirs?" Alfonso XIII asked in panic.
The ambassador's stance had clearly shaken him. He feared that rejecting Germany's terms would lead to immediate conflict. Yet, the thought of accepting a lease of ninety-nine years for one mark was equally intolerable. Such a move would utterly disgrace both him and the Kingdom of Spain.