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The author explores distinctiveness of the regional state mostly in Spain as third model of territorial organization. Unlike unitary and federal, regional state is not wide-spread and broad accepted concept of vertical organization although modern Spain and Italy represents examples of good practice. Having in mind diversity of regional identities and strong cultural distinctiveness in Catalonia, the Basque Country, Galicia and other areas, author is wondering if any other model of territorial organization could be sustainable in such socio-cultural environment. After the period of Franco’s dictatorship, which had been trying to exterminate cultural and historical particularities among Spanish nations, decentralization demands have become more stronger resulting with the new constitution adopted in 1978. This act has set the corner-stone of modern Spanish democracy based on Autonomous Communities as specific forms of decentralized state and territorial autonomy.

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