Property Tourism Is Madrid´s Last Resort

24/03/2014 – El Confidencial

Madrid returned onto the international investment stage throught the back door. In spite of heaps of accumulated deterioration, the interest in the Spanish capital grows day by day. From being a cultural destination (El Prado, Santiago Bernabéu or Las Ventas), the city became a business target, mainly due to the recent jewel properties´ sales. (…).

 The interest of the richest man of China seems not impressive enough. The Edificio España building sold last week by Santander was also visited by Mexican, Brazilian, Venezuelan, Asian, Israeli and investors from other countries, let alone private equity funds such as Norwegian Norges that scanned all emerging opportunities along the Castellana and the Gran Vía Streets.

After the botched construction of Eurovegas in Alcorcon, local authorities cannot wait to welcome other projects that would fuel the economy and bring them votes. (…)

 Among the local investors, only few dared to buy properties during the recession. For instance, Amancio Ortega that acquired the Picasso Tower (Torre Picasso). Now, it seems that also Juan Abelló or Mario Losantos are considering some shopping on the property market.

Foreign investors make a line to invest in Spain. Althought eventually only few buy, the amount spent is usually considerable. All of them seek something more than just a discount. As many are bored to repeat, there is no product, no projects and too many unused square meters.



Original article: El Confidencial (Carlos Hernanz)

Translation: AURA REE