3 May 2018 – Eje Prime
Corestate is expanding its footprint in the Spanish real estate sector. The fund, which is headquartered in Luxembourg, has purchased a plot of land in Sevilla from Helena Rivero, daughter of the former President of Metrovacesa Joaquín Rivero, for the construction of its second hall of residence for students in Spain. Having operated in the country since 2015, when it arrived at the hand of Grupo Villar Mir, the group has signed the acquisition of 2,200 m2 of land on which it will construct a building with 413 beds.
The project in the Andalucían capital comes after another one that the fund started work on in 2016 in Madrid, where it is currently working on the finishing touches to its first hall of residence for students in Spain. It is a renovated building in the Moncloa district, which is going to have 206 rooms and whose doors are expected to open in September, according to El Confidencial.
The plot in Sevilla is located on the Eusa campus, the university complex of the Sevillan Chamber of Commerce. With a buildable surface area of 11,000 m2, the construction work is going to be led by one of Corestate’s brands, Youniq. On the inside, the hall of residence will have a gym, study rooms, a swimming pool and fully equipped kitchens. The amount of the investment that the fund is going to make in the project has not been revealed.
Last year, Rivero purchased the plot that she has now sold plus another one, spanning 1,700 m2, located in the Club Antares area from the Chamber of Commerce. For both plots, the institution received €7.5 million.
On the Club Antares plot, Rivero is planning to compete with Corestate by constructing a prime hall of residence for students. The Andalucían businesswoman is holding conversations with another fund, Temprano Capital, to carry out that project in conjunction with the specialist operator Collegiate. The firm and the manager are already working together in Spain on a project in Finestrelles (Barcelona), as Eje Prime revealed.
In 2017, university halls of residences were the jewel in the alternative asset crown, a segment that grew significantly last year. In total, the real estate sector invested €560 million in the construction of rooms for students, compared with just €50 million that was transacted in 2016, according to data from the real estate consultancy JLL.
Original story: Eje Prime
Translation: Carmel Drake