10 June 2016 – El Economista
FCC owns real estate assets worth €328 million. The company controlled by the Mexican tycoon Carlos Slim is working on the sale of all of its assets located in Spain, which include housing developments, land/estates, garages and other premises. Not in vain, in the last year, FCC has strengthened its team in the real estate division, whereby converting it into a sort of real estate agency. Nevertheless, far from withdrawing from the real estate market, the Spanish multi-national wants to take advantage of the recovery in the sector to combine the construction of homes with their promotion and whereby open a new line of business.
Under the leadership of Xavier Fainé, the former CEO of Cementos Portland, FCC Real Estate is looking to generate value from its real estate assets by proceeding with their orderly sale. The progressive, albeit slow, recovery of the market in Spain and the positive outlook is helping with this task – house sales grew by 9.2% during the first quarter of the year, although the figures are still 56.9% below those registered in 2007 -. Sources at the company indicate that the real estate assets belong to FCC Construcción “and they are administered from there”.
FCC’s most valuable real estate asset is a batch of land plots/estates under development in Tres Cantos, in Madrid, with have a book value of around €120 million. Also in the capital, the company owns the Las Mercedes estate, worth around €120 million. In Barcelona, it owns land in Sant Joan Despí and Badalona, which have a combined value of €64 million. The company also owns several housing developments in Vitoria, Huelva, Pino Montano and Mairena de Aljarafe, the Oporto Industrial Estate in Sevilla, as well as flats, other premises and garages in several cities. According to FCC, the total value of these assets amounts to €328 million. However, clearly the market will dictate the final consideration it receives. (…).
Original story: El Economista (by Javier Mesones)
Translation: Carmel Drake