An environmentally benign condensation of anthranilic hydrazide with cyclohexanone or N‐benzylpiperidin‐4‐one in aqueous medium has been developed for the synthesis of benzoylhydrazones A. The thermal rearrangements of hydrazones A yielded 3′‐aminospiro‐quinazolinones B. When A or B was reacted repeatedly with cyclohexanone or N‐benzylpiperidin‐4‐one, spiroquinazoline‐hydrazones C were formed. From aqueous suspensions, products could be isolated in high purity by simple filtration.