Capital city of Iberian Federation

So, what would be the capital city of a country named Iberian Federation ( the actual name isn't important ), a country founded by personal/dinastic union of Castille ( without Leon, because Leon went with Portugal ) and Aragon:

Iberian Federation ( in red )
Portuleon ( in blue )

MMfMmbP


Link for the picture:

https://ibb.co/MMfMmbP
 
Saragossa looks like the obvious choice.

Madrid was somewhat of a fluke IOTL unlikely to be repeated in this different context. Burgos, Toledo, Valladolid, Cordoba are all too dangerously close to the border with Portuleon. Northern cities such as Pamplona, Gerona, Tudela or Huesca are too decentrated, as are Catalan cities (otherwise, Barcelona would have a chance, and would possibly still be the largest and economically more dynamic city in the realm; perhaps Tarragona could be considered for historical reasons but I doubt it's realistic).
Likewise, Granada is too far to the South and so is Murcia (which I don't think has any real chance). If the realm has a seaward focus, Valencia might be a contender. On the same reasoning, but even less likely, Alicante.
The other possibility is for picking a relatively minor town in a centrally located position as the new capital, the way it happened to Madrid historically. I'd guess either Albacete or Teruel, maybe Cuenca, are the best located for that.
 
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My best bet would be Valencia. From the 1350's to the 1500's it was the economical center of Aragon aswell as it's largest city and sometimes the capital (The crown of Aragon didn't have a proper capital like France had Paris or England had London, fixed capitals in the late middle ages were the exception, not the rule), as well as also being the scientific and literary center of the Crown, hosting the first printing press in Iberia. Valencia is placed in a fairly large plain which could easily substain a large city and close to a good fish reserve in the Albufera Lagoon. However it has it's problems, mainly that the city and it's surroundings have a large muslim population (30% of the Kingdom of Valencia, if I recall correctly) which could pose a problem if they're not expelled, and if they are Valencia will surely lose importance.

Saragossa could work, but it's not as centric and it was considered the Aragonese capital, I guess Castilians wouldn't fit so well there (remember Castile alone has roughly the population of the whole crown of Aragon). Saragossa has the Ebre and it's floodplain which is fertile but not as fertile as the Valencian plain. Other cities in Aragon like Barcelona, Tortosa or Tarragona could work as well, I guess Barcelona is your best bet given it eventually gained supremacy amongst the other Catalan cities. Pamplona could also serve, but by the late 1400's it was still it's own kingdom, and the city is too close to France for security.

Options in Castile include Cuenca, which is probably the most centric but has some limitations due to it's geography; Murcia, which was the capital of it's own kingdom within the Castilian Crown (and Aragonese for a brief time); Toledo, the historical capital of the Visigothic Kingdom, but kind of too close to Portugal-Leon (doubt that mattered the Aragonese-Castilian Union as they would attempt to seize the territory at any time); and Burgos, which by the time was fairly large and home of the Castilian wool industry.
 
Valencia seems as a best candidate for me, much would depend wich part of the state is more influential at the time, Castillian or Aragonese. If Aragonese, then Valencia, if Castillian, Burgos or maybe Albacete?
 
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