German Fund ‘Freo’ Plans To Invest €120M In Spain
3 November 2015 – Expansión
The German fund, Freo Group, plans to invest €120 million in the Spanish real estate market over the next year. To this end, it has opened a subsidiary in Spain, headquartered in Barcelona, and today, it will open an office in Madrid.
Freo Group is a private capital fund manager that also has its own investment vehicle. Founded in Frankfurt twenty years ago, the group has offices in Europe’s major cities and is currently expanding its operations into the USA. The group focuses on the investment, development and management of real estate assets.
The change in the cycle in Spain’s economy has encouraged the group to invest here now and it has hired Daniel Mayans (pictured above, right), the former Asset Management Director at GE Capital Real Estate in Spain, as the CEO of the Spanish subsidiary.
The management team of the Spanish subsidiary will focus on buying office buildings in Madrid and Barcelona, although they do not rule out the acquisition of shops and other retail premises. “Between 40% and 60% of our purchases will be financed through bank debt”, said Daniel Mayans. The period between the purchase and subsequent sale of these assets will be between five and six years.
Original story: Expansión (by Marisa Anglés)
Translation: Carmel Drake