• Transaction / Assets
    Árima Acquires Two Prime Office Buildings in Madrid
  • Seller
  • Buyer
  • € MM

Árima Acquires Two Prime Office Buildings in Madrid

7 February 2019

Árima is remaining faithful to its goal of generating value for its shareholders and complying with its contractual committments. In this line, Árima has concluded the acquisition of two office buildings in Madrid, fulfilling the binding investment commitment it announced on December 27, 2018. Árima also announced that it had signed a 30-million-euro bridge loan with CaixaBank, which will allow it to continue expanding its portfolio.

On December 27, the Socimi announced the acquisition of its first two real estate office assets for 31 million euros. The assets in the middle of the Madrid central business district: on calle María de Molina, on the corner of Príncipe de Vergara, and at the junction of Paseo de la Habana and Avenida de Alfonso XIII. The firm also announced a binding commitment to acquire two prime office buildings, which it formalised in January 2019, as planned. The total amount of the operation amounts to 62.75 million euros. The two office buildings have a total gross leasable area of ​​20,200 m2 and have a total of 395 parking spaces.

The first of the two assets is located on calle Josefa Valcárcel 42, in the urban and very corporate area around the M30-A2, next to the new headquarters of Santander Spain and calle Arturo Soria, and with quick access to the airport. The building benefits from high levels of visibility from the A2 and is currently leased to very well-regarded Spanish multimedia groups. Árima has hired the architectural studio Álvarez-Sala to plan a full rehabilitation and transform it into one of the best office buildings in the area.

The other property is in the Cristalia business park, in the business district of Campo de las Naciones. It is one of the best buildings in the area and has LEED Gold certification. The building is partially leased to one of the largest insurance groups in the world, and the company is in advanced negotiations to take over the rest of the building.

In total, the Socimi, which debuted on the stock market on October 23, has completed the acquisition of four real estate assets and has already invested all the funds it raised from its shareholders. The acquisitions faithfully adhere to the socimi’s investment model, which is made up of a balanced portfolio of leased offices with a significant potential for elevated returns for the socimi’s shareholders.

Luis Alfonso López de Herrera-Oria, the CEO of Árima, stated: “We are still able to find good opportunities that, thanks to the team’s agility and real estate experience, we can quickly execute and increase their value, as we have shown in the past.”

EY Abogados acted as a legal advisor, PwC for technical due diligence and CBRE as a global advisor for Árima on the operation.

Original Story: EjePrime

Translation: Richard Turner