TM Real Estate Sells Out Almost All of its Luxury Sidi by TM Development

14 October 2019 The Torrevieja-based company TM Real Estate Group has sold almost all of the 162 properties that make up its Sidi by TM project in Alicante. Sidi, a luxury residential development built on the site of the old Hotel Sidi, on the San Juan beach, is still in the second phase of its construction and work is only expected to resume next week.

TM decided to temporarily halt construction in August to avoid any problems when delivering the keys to the new residents of the first 102 flats completed. The start of the second phase of construction, with another 59 homes, was delayed until March of this year due to a complex approvals process given its beachfront location.

Original Story: Alicante Plaza – Raúl Navarro

Adaptation/Translation: Richard D. K. Turner

UBS Acquires The Outlet Stores in San Vicente for €34 Million

8 October 2019 – Savills Investment Management announced that it had sold The Outlet Stores shopping centre in San Vicente, Alicante, to a fund controlled by UBS for approximately 34 million euros.

The Outlet Stores complex is located next to the campus of the University of Alicante. ING Real Estate Development built the centre in 2004 and subsequently sold it to Savills Investment in 2013. The firm invested in an expansion, and it currently has a gross leasable area of ​​about 35,000 meters and an occupancy rate of almost 100%.

The Outlet Stores has tenants including Mango, Guess, El Corte Inglés, Nike and Puma, along with restaurants, cinemas, a gym, bowling alley and a Carrefour supermarket.

Original Story: Diário Información – David Navarro

Adaptation/Translation: Richard D. K. Turner

 

 

Linvanto to Begin Work on Development in Alicante’s Benalúa Sur

4 July 2019 – Richard D. K. Turner

Alicante’s long-awaited Benalúa Sur partial plan is ready for development. The array of developers that had been waiting for approval for the beginning of construction are now scrambling to begin work. The first, the Basque Livanto Desarrollos, will soon begin work on its Mirador del Mar.  The residential development will consist of three six-floor apartment blocks with 24 flats each. The flats will have from two to four bedrooms and cost from €189,000 to €410,000 for a penthouse.

Original Story: Alicanteplaza – David Martínez

 

New Construction Permits Soar on Malagan Coast

18 April  2019 – La Opinión de Málaga

New construction permits soared by 655% on Spain’s Costa del Sol over the past four years, reaching a high of 9,195 new construction permits in 2018, according to data compiled by Sonneil, a real estate brokerage, using figures from the Ministry of Development. To the north, the issuance of new construction permits rose by 31% y-o-y in Alicante to 6,331, an increase of 166% compared to 2014.

Acquisitions by international buyers boosted growth in both coastal cities. In 2018, Alicante and Tenerife marked a sales record for international clients with a percentage of home purchases of 41% and 38% respectively, followed by the Balearic Islands with 31% and Malaga with 28%. Foreigners buyers accounted for 28% of the total in Málaga and 41% in Alicante. 80% of the acquisitions by foreign buyers were for second-hand housing.

Original Story: La Opinión de Málaga

Translation/Summary: Richard D. Turner

Mercadona Buys Land for its Online Logistics Hub in Alicante

27 March 2019 – Expansión

The supermarket chain Mercadona has acquired some plots of land in Alicante, where it is planning to open its second logistics platform in the Community of Valencia for its ever-expanding online shopping project.

The plots span a surface area of 18,550 m2 and are expected to be operational by 2020. The site will join another hub that is already operational in Valencia, as well as others under development in Madrid, Barcelona and Sevilla.

The plot in Alicante is located on Carretera de Ocaña and will serve the city of Alicante and municipalities around the province.

Original story: Expansión 

Translation/Summary: Carmel Drake

ASG is on a Mission to Purchase Undeveloped Plots in Sevilla

5 March 2019 – Diario de Sevilla

Buildable land is extremely scarce in Sevilla and as such, the investment funds looking to build new homes in the Andalucían capital have limited options when it comes to sourcing plots. They are being forced to buy sites on the outskirts of the city whose development is blocked by any number of urban development obstacles or by a lack of basic infrastructure.

One of the most active funds in this regard is ASG Homes, the residential division of ASG in Spain, which wants to build 1,000 homes in Sevilla Este. It already has more than 500 units under construction, but in order to execute the rest of its plan, it needs planning permission to be unblocked on one of the many plots located in Higuerón Norte, San Nicolás, Buen Aire, most of Santa Bárbara, Torreblanca Este and Oeste, Palmas Altas and Pítamo Sur. Together, they have the capacity for the development of 25,000 new homes.

The CEO of ASG Homes, Víctor Pérez-Arias says that whilst his fund prefers to acquire developable plots, in the case of Sevilla, it is willing to purchase plots that still need to pass through an urbanisation process, given the lack of available alternatives.

He added that his fund is involved in several operations of this kind in Alicante, Madrid and the Costa del Sol, and that it is also interested in the rental home sector given the high demand in Sevilla and across Spain in general.

Original story: Diario de Sevilla (by Ana S. Ameneiro)

Summary/Translation: Carmel Drake

Taylor Wimpey to Invest €70M in 8 Developments in 2019

22 January 2019 – Eje Prime

Taylor Wimpey is setting out its roadmap for 2019. The Spanish subsidiary of the British real estate group is going to launch eight developments with an initial investment of €71 million during the course of this year, according to comments made by Javier Ballester, the CEO of the company, speak to Eje Prime.

The company is planning to build between 350 and 400 homes in several parts of the country. Specifically, Taylor Wimpey has opted for areas where it already has a presence, namely: the Costa del Sol, Alicante, Mallorca and Ibiza. Moreover, according to the executive, “it is possible that, if we obtain the building permits in 2019, the group will launch three more developments, one in Marbella and two more in Mallorca”.

Taylor Wimpey is whereby reaffirming its commitment to the Spanish second home market, where it has been operating for more than seventy years. In fact, the company is currently one of the main property developers in the country that is building assets on beach fronts and overlooking golf courses,

In 2018, the company handed over 342 homes, 14% more than in 2017. It is currently marketing four developments in Alicante, in the municipalities of Torrevieja, Villajoyosa and Elche (…).

Original story: Eje Prime (by Berta Seijo)

Translation: Carmel Drake

Grupo El Castillo Buys the ‘Villa Universitaria’ Hall of Residence in Alicante for €19.7M

17 December 2018 – Eje Prime

The Villa Universitaria hall of residence in Alicante has been awarded to Grupo El Castillo. The Alicante-based company has won the bid for this university complex with an offer amounting to €19.7 million. The Valencian consultancy firm VEO Comunicación has also participated in the process.

The asset has a surface area of 17,000 m2 and contains 400 rooms. It is the largest hall of residence for students in Alicante and it was initially valued at €19.6 million, according to reports from Expansión.

After three years on the market and initial offers that barely amounted to €8 million, the property was owned by the Santa Anna real estate group, a company that filed for liquidation in 2016, and from which a portfolio of 450 properties was auctioned in November for €32 million.

In the first public sales process to be conducted online, closed without success, the parties interested in Villa Universitaria included Sabadell, Sareb and the Reciprocal Guarantee Company of the Community of Valencia.

Original story: Eje Prime 

Translation: Carmel Drake

Eurostars Purchases Hotel Abba Centrum Alicante

5 December 2018 – Real Estate Press

The Eurostars hotel chain is growing in Alicante. Hotusa, one of the firms belonging to the group, has completed the purchase of the Hotel ABBA Centrum, which it has been negotiating since September.

The amount of the operation has not been revealed, although market sources calculate that it could fall in the range of €12 million to €15 million.

The intention of the chain is to reopen the hotel in January as the Eurostars Centrum, and so the work that it is going to carry out in the building is minimal. In fact, the hotel chain’s website is already accepting reservations for the new hotel in the centre of Alicante from next month. According to sources familiar with the operation, the Hotusa group brand will subject the property to a detailed review to get it ready and will continue to operate it without carrying out any renovation work, at least for the time being.

With this acquisition, Eurostars is growing in Alicante and is whereby adding its third 4-star establishment to its portfolio in the Alicante capital. To date, the chain operates the Eurostars Lucentum, in the former headquarters of the now defunct Banco de Alicante on Avenida de Alfonso X el Sabio, opposite the Central Market, and the Eurostars Mediterranea Plaza, in the same square as the Town Hall. In all cases, the Eurostars hotels are 4-star establishments and offer mid-range prices, in modern buildings and in iconic urban locations.

The chain has more than 100 hotels across fifty destinations, all of which are medium-high end and, in general, housed in unique buildings. The hotel arm of the group is completed with Exe Hotels (60 establishments in Europe and Latin America) and Ikonik Hotels. In addition to its own establishments, the group has around 300 establishments associated with its hotel representation division throughout the world.

In the case of Alicante capital, and in parallel to the negotiation with ABBA Centrum, the chain has also been sounding out the market in the San Juan beach area of Alicante capital, although in that case, the operation has not come to fruition. In that area, the hotel that would be best suited to Hotusa’s plans is Alicante Golf, which is currently managed by the Husa chain, but there has not been any progress on that front for the time being.

Original story: Real Estate Press

Translation: Carmel Drake

Corestate to Invest €100M in Student Halls By 2019

4 December 2018 – Eje Prime

Corestate is growing in Spain three years after its arrival. The Luxembourg-based fund manager is going to invest €100 million in the development of new student halls in the Spanish market between the end of this year and 2019, according to comments made by Christopher Hütwohl, the Head of the company in the country, speaking to Eje Prime.

Currently, the group has several plots in its sights, located in the main provincial capitals of Spain. “Valencia, Málaga, Pamplona, Sevilla, Madrid, Barcelona, Bilbao and Alicante are on our radar”, explained the executive, who also confirmed that between December and the first quarter of next year, the company plans to close at least three operations.

Corestate’s main objective involves becoming one of the top three players in the student hall market in Spain. “It is a segment that still has a lot of potential, which is why we do not want to limit ourselves to a specific number of projects”, says Hütwohl. In fact, the director confirmed that the company plans to develop around three developments in each city, with capacity for between 200 and 350 beds, “except for in Alicante due to the limitations of that territory”.

Similarly, the group has the intention of expanding its range of investments in Spain from 2019 onwards. “Now we are very focused on the market for student halls, but we also want to undertake more operations, especially in the office, retail and residential segments across the whole Iberian Peninsula”, explained the executive. In this way, Hütwohl made clear the company’s objective of entering the Portuguese market before 2020.

Corestate sweeps across Europe

This year, Corestate has undertaken one of the largest operations in Europe in the market for student halls of residence with the purchase of CRM Students for €17 million. It is the largest manager of student halls, which operates in the United Kingdom, with 24,000 beds spread across 145 cities. “The type of collaboration that we will carry out has yet to be determined, but thanks to that acquisition, we have exceeded the 30,000-bed threshold in the European market”, said the executive.

Headquartered in Luxembourg and with 560 employees, Corestate has 41 offices around the world, located in cities such as Frankfurt, London, Madrid, Singapore and Zurich. In Spain, the company’s team comprises three people, a number that will grow as new projects are delivered.

The company led by Michael Bütter ended 2017 with revenues of €195 million and the group expects to achieve a turnover of €230 million in 2018. The gross operating profit (EBTIDA) amounted to €123 million in 2017, whilst the net result amounted to €93.3 million.

Original story: Eje Prime (by B. Seijo)

Translation: Carmel Drake