Montepino Buys a 22,900 m2 Logistics Plot in Barcelona

27 November 2018 – Eje Prime

Montepino is on a roll in Spain. The property developer, which specialises in turnkey solutions, has acquired a plot measuring 22,914 m2 on the Can Serra industrial estate in the town of Sant Esteve de Sesrovires, in a deal that represents its first operation in Cataluña.

With the purchase of this plot, for which Montepino has been advised by Cushman&Wakefield, the group will have the capacity to develop a warehouse for logistics or automotive use spanning more than 13,000 m2.

The land is located in a strategic enclave, close to Barcelona and with direct access to the AP-7 and A-2 motorways, which link the French border with Levante and Barcelona with the centre of the Peninsula.

“It is our first investment in Cataluña, where we expect to be able to expand our portfolio of properties with more projects of this kind to create one-off spaces that are fully adapted to the needs of our clients”, said Juan José Vera, Vice-President of Montepino Logística, in a statement.

Currently, the company is developing five projects in Madrid and Castilla-La Mancha, which span a combined surface area in terms of logistics space of more than 300,000 m2 and with an asset valuation that exceeds €300 million.

Original story: Eje Prime

Translation: Carmel Drake

Property Developer Urbas Records a Loss of €354k in Q1

15 May 2018 – Eje Prime

The Urbas Financial Group is in the red. The company recorded a negative net consolidated result of €354,000 during Q1, which represented a decrease from the profit of €1.05 million that it recorded in the first quarter of 2017, according to Spain’s National Securities and Exchange Commission (CNMV).

The Group’s total debt with banks decreased by 2.4% in March to €122.6 million. Urbas’s land portfolio spanned 18 million m2 at the end of the first quarter. Of the real estate company’s total surface area, 73% corresponds to rural land, 25% to buildable land and 2% to urban land.

Most of the land bank that the Group owns is located in the Community of Valencia, which accounts for 34.8% of the company’s portfolio. That region is followed by Madrid with 20.5% of the total; Andalucía with 17%; and Castilla La Mancha with 14%, which are the other three regions where the company’s land is concentrated. It also owns plots in Murcia, Castilla y León and several other autonomous regions.

In 2017, Urbas increased its profit by 8.8% to exceed €5 million. The group recorded revenues of €4.2 million, which represented an increase of 40% with respect to 2016, and also generated positive EBITDA.

Original story: Eje Prime

Translation: Carmel Drake

Castilla-La Mancha Welcomes Production Activities On Rural Land

20 October 2017 – Inmodiario

The Director-General of Housing and Town Planning for Castilla-La Mancha, José Antonio Carillo, has participated in the opening ceremony of the VII Annual Meeting of the Partners of the Spanish Association of Town Planning Technicians (‘Asociación Española de Técnicos Urbanistas’ or AETU), held in the Assembly Room at the College of Architects in Toledo.

Experts from all over the country participated in the meeting about matters relating to territorial and urban planning, debating current affairs issues with experts such as José María Baño León, Professor of Administrative Law at Universidad Complutense de Madrid, and José María Ezquiaga Domínguez, dean of the College of Architects of Madrid and author of several general municipality plans, including for Puertollano, Cuenca and Guadalajara.

Carrillo took advantage of the occasion to make reference to regulatory innovations promoted by the Government of Castilla-La Mancha in the regional sphere, which regulate the subject and which have been specified in the Order dated 1 February 2016 and in the laws 3/2016, dated 5 May and 3/2017, dated 1 September, which amended the LOTAU.

The purpose of this modification, amongst others, is to facilitate the installation of production activities on rural land in small towns in Castilla-La Mancha, as well as to undertake urban regeneration operations in certain neighbourhoods of the region’s cities and towns, in collaboration with other housing policies and instruments, such as the Urban Regeneration and Renewal Areas (ARRUs), launched during this legislature in Sigüenza, Molina de Aragón and Toledo; and to which other initiatives and projects have now been added, such as those in Illescas, Tembleque and Tarancón, amongst others.

The Director-General has said that “García-Page’s Government is very clear about the priorities in terms of Urban Planning, and they include streamlining the procedures that correspond to the municipalities of the whole Autonomous Region, as well as making more flexible and facilitating even further the work that the region’s small towns are performing in this regard”, in such a way that, he continued, “town planning represents an engine for growth for them and not a burden of paperwork that may hinder the business initiatives that arise in their territory” (…).

Original story: Inmodiario

Translation: Carmel Drake

Solvia: The 2 “Castillas” Are The Black Sheep Of The RE Recovery

24 September 2015 – El Confidencial

Spain’s real estate market is very heterogeneous. There is nothing new about that. Madrid, Barcelona, the Costa del Sol and the (Balearic and Canary) Islands have all been showing signs of recovery for several months now, in terms of prices and the launch of new property developments.

Nevertheless, there are other areas where the desired recovery is not happening yet and other still where it is not even expected to happen, at least in the short term. The two Castillas (Castilla-La Mancha and Castilla y León) are two of these regions. The key drivers of the recovery have not been seen there yet and prices continue to be subject to downwards pressure. Or at least, those are the findings of ‘Solvia Market View‘, the first report about the real estate market prepared by Banco Sabadell’s servicer.

“Castilla-La Mancha is a market that is not showing any signs of recovery yet, since it has a large stock and a significant number of assets for sale, which are continuing to drive prices down. A slight increase in prices is only being observed in the historical centres of certain provincial capitals, such as Toledo and Cuenca, mainly due to the shortage of supply in these locations..but that is it”, explains Javier García del Río, CEO of Solvia.

Castilla y León finds itself in a very similar situation. The first timid signs of recovery are only being seen in a handful of towns and cities, where there is a shortage of supply and demand has been withheld – buyers have been waiting for prices to bottom out or have not been able to obtain financing until now. (…). According to García del Río, the drivers of the recovery are weak in these areas (Valladolid and Salamanca) and the demographic make-up does not help the recovery in demand, therefore the volume of activity is still very limited. (…).

High expectations in the País Vasco

Despite the sluggish behaviour in the two Castillas, Solvia has identified a certain degree of expectation in other parts of the peninsula, such as in the País Vasco. In Guipúzcao, for example, constructors are starting to build small developments, although the market is still quite slow there. Meanwhile, in Vizcaya, prices are stabilising for both new and second hand homes, and sales volumes are flat, according to Solvia. However, it points out that no new developments are being started there yet, unlike in Madrid for example. (…).

The stock of homes to be absorbed in Álava is still plentiful. “The financial entities (Kutxa, Caja Laboral) are starting some new property developments, which will be sold at a reasonable rate if they are marketed at competitive prices and are supported by financing”, says Javier García del Río. Meanwhile, in La Rioja, the market is normalising, especially in the north of the region, since as well as primary residences, it also supplies second homes for people from the País Vasco.

Sales have increased in Logroño, with competitive prices and a normalisation in terms of financing, although there is still a sizeable stock of new homes there. Finally, Navarra is a market that is still relatively inactive, with few operations overall; meanwhile, there has been a significant reduction in stock in Aragón and several property developments are being started at competitive prices. (…).

Finally, in Galicia and the northwest of Spain, particularly in A Coruña, there is a limited supply and reasonable demand for homes at affordable prices. In Vigo, there has not been a real estate boom, due to the suspension of the general (housing) plan during the crisis, but there is demand for finished products, whilst in Gijón, there is demand for homes in central, well-located areas.

Original story: El Confidencial (by E. Sanz)

Translation: Carmel Drake