16/01/2014 – Cinco Dias
Investors´appetite comes with eating. The volume of the investments in the Spanish market enlarged by 49.6%, from €529 million spent on purchases and sales in 2012 to €791 million in 2013.
“It has been an atypical and extraordinary year after six years of recession”, assures Miguel Vazquez from Irea consultant firm. The most frequently quoted are the operations involving residential or office property (mostly unused), acquired in order to transform them into hotels. The amount tripled this year, up to €326 million.
“The performance proves the return of trust in the Spanish market”, as 60% of the investors or chains came from outside of the country.
On the other hand, there have been less distressed operations, which means better financial situation in companies, mostly banks. (…). Financial institutions pursued at getting rid of their real estate assets. For example, Bankia sold the Westin Valencia hotel to the SeaSide Hotels.
When it comes to hotelier transactions, the investment focused mainly on Barcelona (51.6% of total volume), thanks to 4 operations conducted last year. The most important was the sale of Hotel W to a Qatari fund for €200 million. About 43.2% of the volume corresponds to the Canary Islands, the Balearic Islands and the Costa del Sol area.
In 2013, Madrid did not experience any large hotel investment. However, the perspectives are promising.
Original article: Cinco Días (Noemi Navas)
Translation: AURA REE