Tag: alternative assets

Medcap Diversifies & Allocates €50M to Alternative Investments & Portugal

19 March 2018 – Eje Prime

Medcap is starting 2018 by making new investments and entering new markets. Diversification and alternative assets are going to be the focus of the group over the coming months, which has just invested €50 million on its entry into Portugal and the launch of a healthcare assets investment division, according to explanations provided by Dimas de Andres, the group’s CEO to Eje Prime.

One of the main operations that Medcap is going to carry out this year, as well as continuing “to keep an eye on opportunities in the prime retail sector, which is one of the fund’s main activities” is going to be the launch of two out-of-town retail parks in the Portuguese market, specifically, in Lisbon and Porto.

The company has invested €30 million in the purchase of 2 plots of land, one spanning 19,000 m2 and the other measuring 27,000 m2, for the complete development of two commercial areas, which are going to be leased in their majority to a supermarket group, according to explanations from Medcap.

Medcap Real Estate, a company owned by the De Andrés Puyol family, has also explained that it is going to back alternative investments this year. The company is currently involved in a healthcare project in the Community of Valencia. With an investment of between €15 million and €20 million, Medcap is going to construct the building with all of the needs that a healthcare operator may have, in order to put it on the market and lease it or resell it.

With these types of assets, the company is going to focus its efforts on Valencia and Cataluña. “We are not afraid to continue buying in Spain: our investments in Madrid and Barcelona are still intact”, explains the CEO of the company. “We are long-termists and we are not afraid of the political situation”, he says.

In addition to its investments, the group is also starting a divestment phase in 2018. The company has already sold the NH Murcia Hotel, located in Cartagena, and a supermarket, also located in Cartagena, for €12.5 million. “At the end of the day, divestment forms part of our business too”, say sources at the company.

MedCap, ten prime assets

At the beginning of 2015, the De Andrés Puyol family constituted Medcap Real Estate to manage its portfolio of assets, formed as a result of the contribution by Inversora del Reino de Valencia of one of its branches of activity, which included all of the urban assets leased or offered as rental properties, as well as all of the shares of the subsidiary specialising in managing operations relating to prime retail.

Medcap’s shareholders have a long history in the real estate business, with extensive experience in the search for, development of and letting of assets. Medcap focuses its activity mainly on the prime segment given the greater stability of that sector. Nevertheless, it also has a portfolio of rental properties for operation such as supermarkets in more secondary areas.

Medcap has a pipeline of assets in different stages of development or study in Spain, the Netherlands and Italy. Its most noteworthy properties include the building at number 80 Paseo de Gracia, where the luxury firm Louis Vuitton has its flagship store in the Catalan capital, as well as the Desigual megastore on Plaza Cataluña and the Apple store on Paseo de Gracia, according to the firm’s annual accounts.

In Madrid, until January, the group was the owner of the Adidas flagship store at number 21 Gran Vía (pictured above), which it sold to Triuvua; and the Louis Vuitton flagship store at number 66 Calle Serrano in Madrid, amongst others. The valuation of Medcap’s prime retail assets exceeds €475 million, according to the most recent valuation performed by the company.

Original story: Eje Prime (by Custodio Pareja)

Translation: Carmel Drake

CBRE: Investment in Residential set to Overtake Offices in 2018

16 February 2018 – Eje Prime

The Spanish real estate sector is going to continue on its path to recovery in 2018. The real estate market is expected to continue to spark great investor appetite although some of the cards may change their order in the deck. For example, the residential sector is set to climb to the top of the ranking in terms of investment demand for the first time since the change in the cycle, whereby surpassing the office segment. Together, the two segments look set to ensure that the sector maintains an investment volume of around €13 billion for the year as a whole, just like it did in 2017.

The keys for the continuation of the positive trend in the sector are the “strong economic forecasts for Spain, favourable financing conditions, the cycle of maturity in the market, the products for sale in the pipeline and the corporate operations underway”, according to the consultancy firm CBRE in its Real Estate Outlook for 2018 report.

The housing market will reign in the real estate sector this year, attracting one-third of all investment in the sector as a whole, according to the consultancy firm and experts consulted by CBRE. Nevertheless, the office segment, which will be demoted to second place in the investment ranking, will not be far behind the residential segment in absolute terms, accounting for 27% of total investment. The remaining third of the investment volume is expected to be split between retail (18%) and logistics (12%), as well as less significant amounts in hotels and other types of assets.

The recovery of the residential sector, therefore, will be strengthened over the coming months, according to the consultancy firm. House prices will continue to rise across Spain in 2018, with rises of around 5% and 6% p.a., and the highest increases in the two most dynamic markets, Madrid and Barcelona. CBRE forecasts that demand for housing will amount to between 550,000 and 570,000 units, primarily second-hand homes.

Nevertheless, following residential development growth in 2017, “we can establish that the trend in the sector will be positive for at least the next three years and that the construction output levels will be absorbed by demand (…), says Samuel Población, National Director of Residential and Land at CBRE Spain.

The executive explained that the sector is immersed in a process of concentration amongst the property developers, where “the ten largest property developers in the country will account for more than 15% of domestic output”. Of those, the director highlighted the listed companies Neinor Homes, Aedas Homes and Metrovacesa, as well as Aelca, Vía Célere, Pryconsa, Amenabar and Kronos, amongst others.

In 2018, the promotion of homes will continue to boom, supported by the high existing demand, with 100,000 permits forecast for the year as a whole. Moreover, Población estimates that, between now and 2020, new homes will reach a rate of demand of between 130,000 and 140,000 units. In terms of the large cities, Madrid stands out “with an average need for 25,000 new homes per year” (…).

Development of new offices and logistics spaces 

Offices and logistics are two segments that grew at record rates in 2017. Above all, in Madrid, where both segments experienced a year of great growth, and that boom is not expected to decrease this year. According to the report, the office market will continue to progress with its recovery (…).

For the Catalan capital, more surface area will be handed over this year than in any year since 2010, most of it in the form of new build properties. Even so, Barcelona will remain well behind Madrid in terms of leasing volumes, given that CBRE estimates that leasing volumes in the Spanish capital will amount to 600,000 m2, compared with 350,000 m2 in the Mediterranean city (…).

In the case of the logistics sector, the segment is currently one of the most attractive markets for investors. After registering record figures in 2017, with more than 1.5 million m2 of space leased, this year, more land will be added to the stock. CBRE estimates that for the sector in Madrid, its main stronghold, 850,000 m2 of space will be leased. That would result in an increase in investment in the logistics sector, which could amount to €1 billion in 2018 (…).

Original story: Eje Prime (by Jabier Izquierdo)

Translation: Carmel Drake

Experts: Foreign Investors will Continue to Back the Spanish RE Sector in 2018

11 January 2018 – Expansión

The experts believe that the residential sector is going to be the main protagonist of 2018, in terms of both development and investment. The banks are expected to continue their balance sheet clean-ups with more portfolio sales.

The real estate sector is expected to continue to constitute a mainstay of the Spanish economy in 2018 thanks to the growth of residential property development and the commitment from international investors to Spanish property as a safe haven for their investments, according to the experts consulted by Expansión.

For Adolfo Ramírez-Escudero, President of CBRE España, property developers will be some of the most dynamic investors in 2018. “Last year, they underwent an expansionary cycle and, through specialisation and the sophistication of their product, they will continue to increase their prominence in the sector”, he explains.

The CEO of JLL España, Enrique Losantos, forecasts that 2018 will maintain the positive rhythm of recent years and that figures will remain in line with 2017, with a total investment volume of around €13 billion. Losantos also expects that portfolio operations, which were the major stars of 2017, thanks to the sale of assets by Banco Popular and BBVA, will continue to strengthen their position in 2018 (…).

Rents

For Santiago Aguirre, President of the Board of Directors of Savills Aguirre Newman, “we are entering a year of consolidation in terms of the upward cycle that we have been immersed in since 2014. Several segments, such as offices and logistics, have reached maximum leasing levels, nevertheless, we still see potential for rents to reach the maximum levels seen in the previous cycle”.

In terms of investment in tertiary assets, Oriol Barrachina, CEO at Cushman & Wakefield, explains that there is a perception that there will be more liquidity than product, despite caution being erred in light of the local and international uncertainty. “The main difference with respect to the last two years is that one group of buyers, the Socimis, are now also going to be selling assets. For years, they have purchased lots of assets and after generating value from them, they are going to put them up for sale, a fact that will also help to bridge the gap between supply and demand”, adds Barrachina.

Sandra Daza, Director General at Gesvalt, thinks that this year those investors who entered the cycle during the opportunistic period, between 2013 and 2015, will be replaced by long-term investors, such as insurance companies and pension funds.

In terms of trends, Mikel Echavarren, CEO at Irea, considers that residential development will continue to generate news this year, both in terms of land transactions, as well as price rises and the recovery of secondary markets (…).

Humphrey White, Director General at Knight Frank, highlights that Spain is currently at the beginning of an expansion period, with forecast demand of between 120,000 and 150,000 new homes per year, even though it closed 2017 with just 47,500 new home transactions (…).

No sign of a bubble

White considers that the growth in the sector in Spain rests on “some very firm foundations in terms of the law of supply and demand, whereby moving firmly away from a possible real estate bubble”.

For Gonzalo Gallego, Partner in Financial Advisory at Deloitte, buildable land will be one of the major challenges in the property development sector.

In terms of the rental market, Ramírez-Escudero explains that in 2018, we will see “quite a lot” of activity in the market from institutional investors backing rental homes. Over the last decade, the number of rental homes has increased significantly to reach 22.5%. Nevertheless, Spain still has major potential given that the average in the EU is 33% (…).

Javier López-Torres, Partner in Real Estate at KPMG, agrees. He considers that the rental segment will continue to gain weight due to the difficulties involved in accessing credit, mobility and cultural change (…).

Asset types

By sector, Thierry Bougeard, Director General at BNP Paribas Real Estate, says that demand for office space will continue its strong performance (seen in 2017), above all in Madrid, where leasing volumes are expected to increase to around 600,000 m2.

Meanwhile, in the logistics market, e-commerce will continue to be the main motor of demand, whilst in retail, many owners are betting on improving the quality of their centres, boosting leisure areas and the quality of them, with the aim of encouraging customers to stay longer, he explains.

The experts also agree in highlighting the high level of interest expected in alternative real estate assets, such as student halls and nursing homes.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

Savills: Spain Leads RE Inv’t in Southern Europe

12 December 2017 – Expansión

Real estate investment in Spain is on the verge of setting a new record and positioning the country as the leader of the sector’s boom amongst its counterparts in Southern Europe. Specifically, investment in the tertiary market (offices, retail, hotels and logistics assets) in Spain looks set to amount to €8.9 billion in 2017, which represents an increase of 5% compared to the previous year and the highest figure in a decade, according to a report from the consultancy firm Savills.

The report reveals the strong performance detected in the retail and hotel sectors and also highlights that the growth in e-commerce in Spain is expected to result in greater demand for logistics and storage space, a segment that has lagged behind the main markets in Europe until now.

Luis Espadas, Director of Capital Markets at Savills España, also points out that, to the extent that demand in the more traditional sectors grows, so investors are starting to focus on alternative products, such as student halls and nursing homes. “That market may be small still but it has the potential to develop more attractive returns and price differentials”.

Other countries

The recovery of the sector in Spain has been followed by an upturn in other countries such as Italy, Portugal and, more recently, Greece and Cyprus. In this way, after a few years of weak investor activity, the volume of investment in Southern Europe increased by 277% in 2017, compared to the minimum of €5.2 billion recorded in 2012.

Overall, total investment volumes increased by 8% YoY. The markets in Southern Europe now account for 10% of the total investment in the European Union, compared to the 5% that they represented in 2012. “Economic growth, the decrease in unemployment rates and renewed consumer confidence are attracting investors back to Southern Europe”, says Alice Marwick from the Europe Research department at Savills.

Original story: Expansión (by R. Arroyo)

Translation: Carmel Drake

Kingbook Injects €22M to Offset Losses & Buy New Assets

29 November 2017 – Eje Prime

Kingbook is reorienting its financial situation. The Socimi, which specialises in gas stations, has announced a capital increase amounting to €21.6 million to offset its losses, according to explanations provided by the company. The company, which is owned by GL Europe Reit, which owns a 60% stake, and JZ Real Estate, with a 40% stake, will use this capital injection to eliminate a considerable part of its current liabilities and to increase its own funds.

According to the information document prepared by Kingbook, “the purpose of this increase is to resolve the company’s equity imbalance”. This increase has been subscribed by Holdreit in its entirety, the company’s sole shareholder. On 11 July, the company decided to increase its share capital by €4.52 million, through the issue and launch into circulation of 4.52 million new shares with a nominal value of €1, through the offsetting of credits, with an issue premium that amounted to €17.1 million in total. At present, “the company is waiting for final approval from the Alternative Investment Market (MAB) before its share price reflects the increase in value resulting from the capital increase, which should happen within the next few days”, according to the group.

The report also highlights that the Socimi has incurred losses since it started operating. As at 30 September 2017, the result for the year was negative, with losses of €1.25 million. The group has seen its losses increase, given that during the same period last year, it made a loss of €767,390. “Following this move, the company’s equity position has been restored, with own funds of €23.3 million”.

Nevertheless, Kingbook has a solid portfolio of assets to continue operating for the next few years, which it has managed to increase by 21.5% over the last year, to €38.9 million. The company owns land worth €10.3 million and buildings worth €20 million, compared with €16.3 million a year ago.

Moreover, in the last year, Kingbook has added more than a dozen gas stations to its real estate portfolio. The company has acquired gas stations in León, in San Andrés de Rabanedo, for €900,000; in Cantabria, in Castro Urdiales, for €1.4 million; and in Burgos, in Miranda del Ebro, for €2.3 million, amongst others. Kingbook has spent €7.5 million on new acquisitions in total so far this year.

Moreover, the company announced in October that it is in the process of expanding its asset portfolio into other business areas besides gas stations.

Although the group explained that it has achieved high levels of efficiency in the management of its portfolio thanks to its specialisation, it has indicated that it does not want to limit its activity to a niche as specific as gas stations, given that it considers that “it has the financial potential and management resources to venture into other areas and to achieve competitive returns”.

In terms of the new business areas that Kingbook is exploring to incorporate into its portfolio, potential assets include parking lots and other infrastructure linked to the world of transport.

The Socimi currently manages 57 real estate assets where fuel distribution activities are carried out (gas stations) and also owns one hotel and one industrial warehouse (…).

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake

PwC: Madrid Is One Of Europe’s Top 5 Most Attractive Cities For RE Investment

13 November 2017 – Eje Prime

Madrid is really winning over European investors. The Spanish capital is one of the top five cities to invest in over the course of the next year, as recommended by the consultancy firm PwC, according to its annual study Emerging Trends in Real Estate: Europe 2018. Whilst Madrid rose from 9th to 5th position, Barcelona managed to avoid the tense political situation in Cataluña to rise from 16th to 11th.

One of the reasons that led the consultancy firm to highlight Madrid as a safe house for real estate investment over the next year is its office market, which “after a cycle of compression”, has seen an increase in rental prices in the segment. “The increase in office rental prices suggests that Madrid is one of the most attractive opportunities for investors in Europe”, say sources at PwC.

With the (national) political uncertainty now “dissipated”, the recovery across Spain and, specifically, in Madrid is progressing “at full speed”. Real estate investment volumes in 2017 are on track to exceed records, especially in segments such as retail, where investment in this kind of asset is expected to soar by the end of the year, to exceed €4,000 million. Moreover, Madrid is also starring in alternative investment operations, such as those involving Resa and Nexo in the student hall segment, and the opening of the first Spanish WeWork office in Madrid, in the co-working sector.

During the 9 months to September, Spain closed transactions worth €10,300 million, according to a study compiled by the main real estate consultancy firms in Spain. In the third quarter alone, investment in real estate assets amounted to €3,000 million (…).

Offices remained the second most popular asset by investment volume (accounting for 24% of the total investment volume in Spain). Investors tend to focus on Madrid and Barcelona in this segment, with the two cities accounting for 90% of total office investment (…).

Logistics assets are also sparking a great deal of interest, especially warehouses located in Madrid and Barcelona. The volume of investment in these types of assets has not stopped growing since 2012 and so far this year, investment has reached €811 million, up by €100 million compared to 2016 as a whole (…).

Barcelona rises but misses out on Top 10 place

Outside the top ten by one position, Barcelona is nevertheless above average for the European cities recommended by PwC for investment. After rising several places from 16th to 11th in the ranking, the Catalan capital has caused alarm bells to ring due to the political situation, which has led some funds to put their real estate investments in the autonomous region on standby.

PwC says that, although there is a certain degree of concern, after interviewing a large number of investors for the preparation of its report, it concludes that no one is going to stop taking Barcelona into account for their real estate investments. “Investors are applying almost zero political risk, given that they do not believe that Cataluña is going to become independent”, said one of the main directors of a Spanish real estate business to the consultancy firm (…).

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake

C&W: Inv’t In RE Assets Amounted To €10,300M During YTD Sept

20 October 2017 – Expansión

The interest from investors in the Spanish real estate sector is far from slowing down; in fact, it has intensified in recent months. Specifically, during the 9 months to September, the total volume transacted on direct purchases, in other words, excluding corporate operations, amounted to €10,300 million, up by 74% compared to the same period last year, whereby exceeding the figure recorded during the whole of 2016, according to a report compiled by Cushman & Wakefield.

The report also forecasts that “the appropriate environment for investment that Spain offers” will allow the volume of investment in direct purchases to reach €12,000 million by the end of the year.

By area, one of the best performing segments so far this year has been the retail sector (retail premises, stores, shopping centres, retail parks and outlets). Between January and September, €3,100 million was invested in the segment, which represents 30% of the total investment in the real estate sector. The consultancy firm calculates that the investment volumes for the whole year could reach record levels, last seen in 2015, when purchases amounting to €4,150 million were made.

Offices were the second most sold asset by volume, with a 24% share of investment. Investment in offices during the first nine months of the year reached €2,500 million, of which almost €1,500 million corresponded to Madrid and €816 million to Barcelona.

Tourism is still one of the main attractions for investors. Hotel investment rose by 67% during the 9 months to September, to €2,000 million, thanks to the push from the Costa Brava, Costa del Sol, Palma de Mallorca, Canary Islands and Madrid.

Another niche segment with a strong outlook is the logistics sector. Cushman & Wakefield forecasts that investment in that area will amount to €1,000 million in 2017. The consultancy firm explains that the good figures in terms of leasing and the scarcity of high-quality assets are boosting the development of land up to 500,000 m2, in both Barcelona and Madrid.

New opportunities

In addition to the traditional segments, investors are paying attention to alternative assets, such as student residences, parking lots and petrol stations, which generate better returns.

In terms of the forecast evolution, the consultancy firm explains that the major activity recorded in recent years will result in a lower level of supply and will incentivise new acquisition formulae with indirect purchases through corporate operations and joint ventures. Moreover, the new cycle of property development will encourage investors to participate in the initial phases of developments, whereby redistributing the burden of property developer risk and facilitating investment.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

 

Ibercaja Sells 450-Space Parking Lot In Zaragoza To Indigo

13 October 2017 – Inmodiario

JLL, the professional services firm and investment manager specialising in the real estate sector, has advised Ibercaja on the sale of the San Ignacio de Loyola parking lot, located in the centre of Zaragoza, The purchaser has been the parking lot manager Indigo, the global mobility leader, which has a presence in 16 countries, including Spain.

The asset has a surface area of almost 20,000 m2, distributed over 500 parking spaces in total, of which 450 have been included in the transaction perimeter; the remaining 50 spaces will continue to be owned by Ibercaja.

The parking lot is prized due to its excellent location, in the heart of Zaragoza, between Calle San Ignacio de Loyola and Paseo de la Constitución, next to El Corte Inglés and close to Plaza Paraíso, an important transport hub in the city. Similarly, the area stands out because it is home to a large number of homes, as well as several major commercial and office spaces.

For Loïc Delcroix, Indigo’s Director General in Spain and Director in Europe: “This significant operation fits perfectly into our expansion and growth strategy in Spain. (…). The operation also serves to reinforce our position as one of the main mobility players in the country”.

For Ibercaja, this operation comes in response to the objective to divest non-strategic assets and, in this way, focus all of its efforts, media and resources on boosting the banking business and implementing the digital transformation, whereby fulfilling the route map established for the strategic cycle 2015-2016.

In the words of Nick Wride, Director of Alternative Assets at JLL, this operation “is another example of the great interest that exists in investing in alternative real estate assets in Spain, a market with enormous potential that will continue to grow at a rapid pace over the next few years”.

Original story: Inmodiario

Translation: Carmel Drake

The MAB Gets Ready To Receive A New Wave Of Socimis

5 October 2017 – Expansión

Socimis have become the shining stars of the stock market and the undisputed protagonists of the real estate sector. Over the last four years, in addition to the large five listed Socimis – Merlin, Colonial, Hispania, Axiare and Lar España – , 40 vehicles of this kind have been incorporated into the Alternative Investment Market (MAB) and experts predict that, far from slowing down, the flood of stock market debuts is going to continue for the next few months at least.

Specifically, they estimate that around a dozen new vehicles are set to debut on the Madrilenian stock market. “We calculate that the total number of Socimis listed on the market could reach 50 by the end of 2017. At Armabex, we have 14 processes open for new Socimis, which will be making their debuts between 2017 and the first quarter of 2018”, explains Antonio Fernández, President of Armabex.

“You could say that we are facing the second wave of Socimis, but their growth prospects, until they reach the €40 million or €50 million mark, are still very broad”, explains Sandra Daza, Director General of Gesvalt. For Daza, the tightening of the access requirements to the MAB for Socimis, especially in terms of the diffusion of shareholders, will avoid the appearance of a distinguished group of small Socimis, focused solely on the fiscal benefits and not oriented towards the professionalism of their asset management.

Moreover, analysts expect to see greater specialisation in the field of the Socimis and consolidation of the sector over the medium term. “Gradually, over a period of three to five years, we will see the start of a new model of Socimi: those that arise as a result of mergers and acquisitions. This movement will result in the consolidation of the structure and the creation of some more heavyweight Socimis”, explains Fernández.

For Daza, the specialisation of Socimis in alternative assets within the real estate sector will be a process that will push ahead gradually: “For a Socimi to be a good investment vehicle, it requires a minimum size and a development plan that alternative assets do not always allow due to the small size of the market”.

Experts rule out that a bubble is being generated. “If we analyse in detail the history of the various Socimis listed on the MAB, the majority are the result of the restructuring of pre-existing real estate companies. In other words, there were not any previous transactions, they merely represented the adaptation of existing property portfolios to a new financial-fiscal environment, the Socimis, in which their respective real estate strategies fit better”, says Fernández. For Daza, in comparison with other countries, the size of the Spanish market and our GDP indicate that we are in for “a bright future in terms of the growth in the volume of Socimis over the next three to five years”.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

The Alternative Asset Boom: Student Halls, Co-Working Spaces & Data Centres Are On The Rise

26 September 2017 – Eje Prime

2017 is going to be remembered in the real estate sector as the year of alternative assets. A large number of corporate operations in the student housing segment and healthcare sector means that investors are looking more carefully at these products. So much so that 44% of international investors say that they plan to spend money acquiring these kinds of assets over the next few years.

One of the main reasons for focusing on these types of investments is geographical behaviour and demand, important for 69% of the international funds surveyed. The next most important reason, for 46% of investors, is the stability of the returns from such investments, according to the Emerging Trends Europe 2017 study prepared by PwC. Diversification and high yields are also reasons for 46% and 45% of investors, respectively, according to the findings of the report.

For 61% of investors, the student housing business has one of the most promising outlooks, in that case, due to the demand from the demographics. “It is important to highlight that this looks like being a secular trend rather than a cyclical one”, explain sources at PwC.

Nevertheless, the corporate operations that have been carried out in recent months in the sector support this trend. The most recent saw Azora, Artá Capital, March Campus (Banca March’s client investor vehicle) and Mutua Madrileña, reach an agreement to sell Grupo Resa to a group of international investors, represented by Axa and CBRE. Even so, and although these kinds of assets are on the rise, only 23% of the funds specialising in real estate hold such properties in their portfolios.

After student halls of residence come hotels. 51% of investors have either acquired or have been exploring the possibility of investing in this kind of asset. In Spain, the Socimi Hispania has decided to specialise in this type of asset, whereby positioning itself as one of the largest companies in the hotel segment in the country.

Nursing homes for the elderly and clinics (healthcare) have also been gaining in importance during 2017 and will be the assets to watch in coming years (…).

One recent operation involving this kind of asset in Spain saw Healthcare Activos Investment acquire the Los Tilos nursing home for €15.5 million, in a transaction brokered by BNP Paribas Real Estate (…).

The most alternative assets

Within the group of alternative investments identified by PwC are some that break the mould due to their lack of history in the real estate sector. One of them is shared offices, also known as co-working spaces. In recent months, they have sparked interest amongst investors of all kinds, with operators such as WeWork and Spaces leading the way (…).

Last week, Spaces, an international workspace company, announced that it is going to open an office measuring 1,511 m2 in Madrid, at number 4 Calle Manzanares, known by the group as Spaces Rio. And within the next few weeks, it will open a new Spaces centre in Barcelona (in the 22@ district).

Meanwhile, WeWork confirmed its arrival in Spain earlier this month. The company, which specialises in the management of coworking spaces, has leased an office building in the 22@ district in Barcelona (…).

Finally, data centres, where data servers are managed and stored, have also seen their profile rise in the real estate business. These types of asset, which are mostly located on the outskirts of major cities, are expected to capture the attention of 15% of investors this year (…).

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake