15 February 2017 – El Economista
The US fund Värde is making progress with its plans to consolidate its position within the Spanish real estate sector. Last year, it launched Dospuntos, with the aim of becoming one of the main residential property developers in the country, and now it has acquired a stake in the real estate company Procisa (recently converted into Grupo LaFinca), a move that positions it as a key player in the office market in Madrid.
According to industry sources, the fund has paid €103 million for a 40% stake in LaFinca Global Assets, the firm that owns the business-related properties of the real estate company, which is in turn controlled by the García Cereceda family.
Specifically, as a result of this operation, which was advised by Alantra, Värde has become the owner of a portfolio containing 230,000 m2 of rental space – with an occupancy rate of more than 90% – as well as 6,200 parking spaces in Madrid. The jewel in the crown of this portfolio is the La Finca Business Park in Pozuelo de Alarcón, where the real estate company owns the luxury urbanisation of the same name and where many important footballers and multi-millionaires live. The group’s most iconic assets include the Cardenal Marcelo Spinola office complex and the Martínez Villergas Business Park.
LaFinca Global Asset’s new phase started with a €155 million loan from a handful of financial entities, including Allianz Real Estate as the main lender. According to the firm, this long-term loan forms part of a financing arrangement worth €395 million, which will be used to renovate and improve its office assets, as well as to acquire new properties.
“Having a partner like Allianz Real Estate, with its long-term vision and financial stability, supports our company’s strategy”, said Susana García Cerceda, President of Grupo LaFinca.
For Allianz RE, which opened an office in Madrid last year, this represents its third real estate debt operation in Spain.
Original story: El Economista (by Javier Mesones and Alba Brualla)
Translation: Carmel Drake