Bankia Makes €22 Mn Per Year On Renting the Torre Foster to Cepsa
28/08/2014 – Expansion
Bankia is going to receive 1.803 million Euros each month from rental of the Torre Foster (also known as the Torre Bankia) in Madrid. The tallest skyscraper in Spain was inherited by BFA – Bankia from Caja Madrid which in turn purchased the property in 2007 for €815 million paid to Repsol.
In October 2013, the bank signed an eight-year rental agreement with Abu Dhabi‘s gas-oil firm Cepsa. Specifically, the tenant has pledged to pay €21.634 million a year. The contract may be prolonged for additional seven years.
Bankia lets the property to Cepsa through its 100%-owned company Torre Norte Castellana. As it is weighting up sale of the 250 meter tall office building, the lessee was offered a purchase option that may be executed the earliest in 2016 via acquisition of all shares of Torre Norte.
Torre Norte Castellana concluded the year 2013 with a €1.84 million loss. In order to smooth the red out, its stakeholders injected €205 million into the company.
Original article: Expansión (by M. Martinez)
Translation: AURA REE