14 December 2017 – Eje Prime
The Chinese giant Alibaba is shaking up the office market in Madrid as the year-end approaches. The Asian e-commerce group has been negotiating for several months to open offices in Madrid from where to lead its operations in the Spanish market. In the end, it has signed a rental agreement for its Spanish headquarters at number 4 Avenida Europa, in Alcobendas, a building owned by the real estate group Gosa. Until now, the technology firm Paypal also had its headquarters in the building (…).
Alibaba will move its Spanish team to the new offices in Alcobendas, which measure approximately 1,000 m2, in the middle of February, according to sources close to the operation. At the moment, the Asian giant’s employees are managing the firm’s Spanish operations from a co-working office. Alibaba has declined to comment on the planned move.
Alibaba’s arrival at number 4 Avenida Europa comes just months after Paypal’s departure from the same building. Currently, that US firm shares offices with Google and Intel in Torre Picasso, as revealed by Eje Prime.
The property that will house Alibaba’s new offices is also home to the headquarters of the cosmetics group Clarins and the Chinese firm Ansteel. Commscope is another company that had its headquarters located in the building until the middle of 2017, but in July it decided to move to number 19 on the same street.
Alcobendas has become one of the hubs of business excellence in Madrid. Indra, VASS, Emerson, Televent, Acciona, Bankinter, Europcar, Canon and Toyota are just some of the multinational companies that have chosen to locate their offices in the Madrilenian town.
Alibaba’s new office, which the company has been anticipating since February, has the capacity to accommodate the almost forty people that make up its Spanish workforce. The team is led by Estela Ye, who was promoted to General Manager of the company in Spain in March.
The office market in Madrid
Leasing of office space during the third quarter of the year in Madrid amounted to 93,173 m2, which represented an increase of 2% with respect to the same period in 2016, although, according to a report from Aguirre Newman, 16 fewer operations were closed (96).
One of the most active areas in the capital was the Other Business District (RDN), which accounted for 31% of the total space leased. Nevertheless, the report highlights that leasing in the Central Business District (27% of the total) and in the OUT area (23%), saw the most significant increases, more than doubling their figures with respect to the same period in 2016.
In terms of rents, the maximum recorded during Q3 was €36/m2/month, whilst the average rent in the CBD area was €28.96/m2/month. In the Decentralised area, the average rent amounted to €12.71/m2/month.
Original story: Eje Prime (by A. Pijuán)
Translation: Carmel Drake