26 June 2017 – El Mundo
The real estate investment company (Socimi) Hispania has commenced its office divestment process with the sale of the Aurelio Menéndez building in Madrid for €37.5 million, according to a statement issued by the company.
The sales price – which is equivalent to a cost of €7,800/m2 – represents an increase of 39% over the property’s most recent appraisal value, including the pending investment.
The building, acquired by Hispania in October 2015, has a gross leasable area (GLA) of 4,700 m2. With the sale of this building, the Socimi has begun the divestment of its portfolio announced in February 2017 and as such to fulfil the commitment acquired with its shareholders.
The property, which is located in the Principe de Vergara area, one of the capital’s business districts, is currently being renovated.
Moreover, Hispania signed a lease contract with the law firm Uría y Menéndez to occupy the whole building for a duration of 17 years, of which it is obliged to fulfil 7.5 years.
The director of the Socimi, Concha Osácar, has highlighted that the sale of this property “shows Hispania’s capacity to identify buildings in prime locations, reposition them to a higher level and attract first-rate tenants with stable, long-term contracts.
“We are satisfied with the result of this investment and of the significant profitability it has generated for our shareholders”, she concluded.
Original story: El Mundo
Translation: Carmel Drake