The investment fund Orion has created a Socimi (Real Estate Investment Listed Public Limited Company) of nearly 300 million Euros with its asset the mall Plenilunio, located in Madrid. It constitutes the first great Socimi with the new favorable taxation system for the real estate investment, days before the final date to create these vehicles in 2013.
Until now, only a few small Socimis had been created, of no more than 15 million Euros, like the ones from Visionlab or El Corte Inglés. Orion is the first international fund with experience in the real estate market and in Real Estate Investment Trusts that decides to invest in Spain. The advisors of Orion have been Pablo Serrano de Haro and Alfonso Benavides, partners at Clifford Chance. Sources within the sector do not rule out the creation of new Socimis before the end of September, the final date to do it this year. They assure that the new system is very favorable and they point out that there have been no operations until now because investors have preferred to wait as much as possible.
Taxation for the company is zero, while until this year it was 19%, and it is transferred to investors. The new norm provides two years for the company to be listed. Orion is thinking of doing it on the short and medium term.