The sale is a consequence of the process of reduction of the debt of the Council of the capital, as explained by sources of the Town Hall in Madrid last Tuesday. Through a public bidding, the Council of Madrid started the sale process on the 6th May. Since then, it has received offers from different funds for this lot of properties classified as subsidized homes and with rental agreements. Among those interested there were important firms such as Cerberus, Morgan Stanley and LoneStar.
Finally, Blackstone has acquired this lot of 18 developments located in Carabanchel, Centro, Vallecas and Villaverde for 125,5 million Euros. 1208 properties included in 12 developments are properties on rental agreements and the rest, located in six buildings, are for rental with a purchase option.
Blackstone has taken part in the bidding along with Magic Real Estate, a firm with experience in the management of properties in Spain and in areas of Northern Africa. The fund will not manage the lot of properties as Blackstone, but through a subsidiary called Fidere.
The awardees have paid three million Euros more to acquire 51 parking spaces, 25 trade premises and 2 storage rooms. The new owners have assured that they will maintain the conditions of the agreements with the current tenants, as the purchase agreement included the substitution in the current rental agreements.
Blackstone is present in the sector since 1991. It is currently the world leader in real estate investment of venture capital, with an invested capital of 60.000 million Dollars. The portfolio of Blackstone includes hotels, offices, shopping malls, industrial units and homes in the United States, Europe and Asia. Among its most important assets there are the Worldwide Hilton hotel chain, the Brixmor shopping malls, and the office complex Broadgate, in London. In Spain, they are the owners of the packaging manufacturer Mivisa.