Valladolid City Council Swaps Assets With Sareb in €6.8 Million

18 December 2019 – The City of Valladolid has reached an agreement with Sareb to exchange several plots of land in Viveros, Avenida de Burgos and Cuarteles for a plot of land housing the former school El Salvador, in a deal worth 6,850,065.50 euros. The agreement had been conditioned on the value of the land received not exceed the appraised value of the school land, estimated at €7.4 million. The property had debts of more than 20 million euros.

The city plans to build a new Justice Campus on the school grounds, while Sareb will develop subsidised housing on the plots of land.

Original Story: El Diário

Adaptation/Translation: Richard D. K. Turner

Cain International Acquires Two Buildings in Madrid for €65 Million

18 December 2019 – Acciona and the Schindler Group have finalised the acquisition of two office buildings in Madrid from Cain International in a deal worth approximately 65 million euros. The two properties are located in the Albatros Business Park complex, in Alcobendas. CBRE advised Acciona and Schindler.

Original Story: El Economista – Alba Brualla

Adaptation/Translation: Richard D. K. Turner

Silicius Real Estate Completes €22-Million Capital Increase

11 December 2019 – The Socimi Silicius Real Estate has finalised a further €22-million capital increase. The increase is aimed at “the continuation of the investment plan set out in the Company’s Business Plan.” Current shareholders took up the new shares, along with 13 new investors.

The firm also acquired 29% of Shark Capital, which is also managed by Mazabi. Shark invests in real estate focusing on long-term, stable income streams. It currently owns properties in London, Amsterdam and Luxembourg.

Original Story: Merca2 – Javier Rosell

Adaptation/Translation: Richard D. K. Turner

Euronext Access Vies With MAB for Socimis

11 December 2019 – Euronext Access is increasingly competing for listings of socimis with Spain’s Alternative Market (MAB). The stock exchange is comparable to the MAB in that it is aimed at companies with smaller capitalisations. Euronext, however, has the added benefit of lower costs and requirements.

Those benefits, together with Euronext’s pan-European reach (with a presence in Belgium, France, Ireland, the Netherlands, Portugal, Norway and the United Kingdom), are leading a growing number of socimis to opt for a listing in Paris instead of in Madrid.

Armabex, a specialist firm in placing socimis in the MAB, is currently working with ten firms looking to debut on the French stock market in 2020. The president of the firm predicts that 20 or 25 Spanish socimis will opt for a listing on Euronext next year. If that turns out to be true, it would be a major blow to the MAB.

Since 2013, ninety-one socimis have listed in Spain, and seven of those are already trading on Euronext Access.

Original Story: El Confidencial – Ruth Ugalde

Photo: Reuters

Adaptation/Translation: Richard D. K. Turner

Invesco to Convert Newly Acquired Office Building in Madrid to Flats

18 December 2019 – The US firm Invesco Real Estate has reached an agreement, together with the Spanish real estate company Grupo Barba, to acquire the former headquarters of the Madrid Traffic Headquarters, a building located Calle Arturo Soria 125 in the capital. The two firms are buying the asset from its previous owner, the socimi Jaba I Inversiones Inmobiliarias.

The new owners plan to convert the property into an apartment building. The property has approximately 5,700 square meters of surface area on five above-ground floors.

Original Story: Expansión – Rebeca Arroyo

Adaptation/Translation: Richard D. K. Turner

Foreign Investors Fund Student Residence Building Spree in Granada

Major investment funds in Granada are searching for developable land while already working on five projects for new student residences. The two that are closest to completion include 767 new beds for next summer at the Cartuja University Campus. The first is the result of an investment by the British investment fund Amro Real Estate Partners Limited. The other will be the Livensa Living Granada Cartuja, an impressive new building at the Cuesta del Observatorio.

The latter building will have 423 beds and involves an investment of twenty million euros financed by the foreign investment group Princeton. Livensa Living will design and manage the facility.

Original Story: Ideal – Mercedes Navarrete

Adaptation/Translation: Richard D. K. Turner

Barcino Acquires Apartment Building in Barcelona for €4.2 Million

18 December 2019 – The socimi Barcino has acquired an 11-flat apartment building in the centre of Barcelona for 4.2 million euros. The socimi paid 20% of the price using equity, partially guaranteeing the rest of the payments with a mortgage loan on the property.

Original Story: Eje Prime

Adaptation/Translation: Richard D. K. Turner

Investments in Shopping Centres Falls Due to Concerns about E-Commerce

18 December 2019 – Investments in 2019 in shopping centres totalled €1.018 billion in the year to September, the lowest level since 2013. The volume of acquisitions in the same period was just 35% of the level in 2018, when it reached €2.9 billion. Analysts expect that total acquisitions for the year will reach between 1.500 and 2 billion euros, according to a report by CBRE.

The fall in investment in the sector is in large part due to the untrammelled growth in e-commerce even as sales in shopping centres remain robust. The revenues generated by e-commerce in Spain increased by 22.2% year-on-year in the first quarter of 2019, reaching €10.969 billion and an 8% market share.

Original Story: Eje Prime

Adaptation/Translation: Richard D. K. Turner

Millenium Hotels Acquires Golf Assets from Alcaidesa for €15.2 Million

18 December 2019 – Millenium Hotels Real Estate, a real estate investment fund based in Spain, has reached an agreement with the construction company Constain to acquire land and two golf courses from the Alcaidesa Holding SAU and its subsidiary Alcaidesa Golf SLU for 15.2 million euros.

Alcaidesa had owned and operated the two golf courses, the land and a clubhouse in the municipality of La Linea de la Concepción and San Roque (Cádiz). Alcaidesa Golf is marketed as a paradise for golf lovers in the Mediterranean. There are two professional golf courses, Alcaidesa Links and Alcaidesa Heathland.

Original Story: ABC de Sevilla – Soraya Fernández

Adaptation/Translation: Richard D. K. Turner

European Real Estate Market to Prize Stable Income Streams in 2020

17 December 2019 – According to a report by Savills Investment Management, the big players in the European real estate market will begin to focus on more conservative investments in the coming year. Investors are expected to start looking for stable, long-term rental income streams in place of opportunistic bets.

The investment cycle in European rental markets is entering a period of reduced growth and heightened uncertainty due to weakened demand and economic and geopolitical developments. Consequently, analysts foresee anaemic economic growth over the next 12-18 months.

Savills IM, however, still sees significant opportunities in the office, retail and logistics sectors at the European level. In Spain, the firm expects the real estate sector to continue to see better than average performance in 2020, vis-à-vis the rest of Europe, despite the slowdown in domestic demand and weakness in external markets.

Original Story: Idealista

Adaptation/Translation: Richard D. K. Turner