16 May 2018 – Eje Prime
The Socimis are continuing to party in Spain. Although the experts said that 2018 would be a year for portfolio management, the fact is that many of these companies are continuing to add new assets to their portfolios. The latest is Barcino Properties, which is continuing to specialise in the residential sector with the purchase of a package of 20 assets in Barcelona for more than €2 million, according to a statement issued by the group.
Barcino, which signed the purchased deed on 14 May, has acquired the property at number 18 Calle Olivera for €2.15 million. The asset comprises two commercial premises and 14 homes, and the current occupancy rate stands at 79%. To finance this purchase, the company has signed a mortgage loan with Bankinter for €1 million.
The Socimi debuted on the MAB last December with a share price of €1.33 and a market value of €19.1 million. Specialising in real estate investment and management, the Catalan entity has eight properties in its portfolio, all of which are located in the Barcelona metropolitan area. Most of its assets are rental homes, although it also owns some office buildings and commercial premises. Currently, the Socimi is controlled by Barcino Management (50.01%) and managed by a related party company Vistalegre Property Management.
The company’s most recent purchases include a residential building in Barcelona, which it bought just 48 hours after making its stock market debut. In that case, the company executed a €1.2 million purchase option that it had signed over the property, located at number 92 Calle Girona, after paying €493,000 euros in November for the rights to acquire the asset.
That building contains two commercial premises and seven homes in total, all of which are currently occupied. For the operation, the company made use of its own available funds, without having to resort to additional leverage.
Created in 2015
Barcino defines itself as a company whose main activity is the “acquisition and renovation of urban assets for their subsequent rental”. The company primarily invests in central locations in the Barcelona metropolitan area. In terms of the characteristics of its desirable assets, the company must be able to purchase the entire building and subject it to a comprehensive renovation.
The group was constituted in January 2015 and since February 2016 it has been registered as a Socimi. The company is chaired by Mateu Turró, who is also an honorary director of the European Investment Bank (EIB), where he worked from 1988 until 2009 (…).
Turró is accompanied in the management of Barcino by Francesc Ventura, an architect who has held roles as director and secretary of the management board and executive committee of APCE (Association of Property Developers of Barcelona) and as CEO of La Caixa de Pensions de Barcelona.
Moreover, the company is also led by Ralph Weichelt, Investment Director at Triple Point Social Housing, a public company listed on the main London Stock Exchange, which operates in the social housing sector in the United Kingdom. The executive has also served as the director of several companies including BNP Paribas Real Estate and JLL.
Original story: Eje Prime (by C. Pareja)
Translation: Carmel Drake