Tag: Claudio Coello

PSN Buys a Floor of Offices on c/Claudio Coello in Madrid for €3.45M

31 January 2019 – Eje Prime

PSN is continuing to grow its asset portfolio in Madrid. The Socimi has just closed the purchase of an office on Calle Claudio Coello, in the heart of the capital’s Salamanca neighbourhood for €3.45 million.

Specifically, the company has purchased a floor of offices (the right and left sides) spanning 570 m2 in total with three parking spaces in the same property. The operation has been carried out with a contribution of €1.25 million from own funds and a mortgage of €2.2 million.

The mortgage loan has a duration of twelve years and carries a fixed annual interest rate of 1.7%, according to explanations provided by the company in a statement submitted today to the Alternative Investment Market (MAB).

Moreover, the group has subrogated the lease contract signed for the right-hand office, which is due to expire in October 2024. The left-hand office, by contrast, is vacant.

PSN is whereby adding a new asset in the Madrilenian market, where it acquired a commercial premise in Collado Villalba for €1.3 million last year. During the last year, the company has also purchased two premises in Santiago and Tenerife, for €1 million each, as well as an office building in Sevilla and a hotel in Salamanca for €3 million.

The company, which debuted on the MAB in December 2017, owns a portfolio comprising more than thirty assets including offices, commercial premises and parking spaces in 21 cities across Spain and Portugal. The company expected to close 2018, its first full year on the stock market, with profits.

Original story: Eje Prime

Translation: Carmel Drake

Luxury Brands Conquer Madrid’s Golden Mile

17 October 2017 – Expansión

Fashion labels such as Sonia Rykiel, Oliver Peoples, Tesla and Audemars Piguet are arriving on the main shopping streets of the Madrilenian neighbourhood of Salamanca, with their first stores in the Spanish market.

The Spanish real estate market is enjoying good times, with investors interested in buying assets and commitments from all kinds of brands to open stores on the country’s main shopping thoroughfares. This interest is very apparent in the Madrilenian neighbourhood of Salamanca, the capital’s luxury shopping area, with the arrival of numerous new brands, such as the car firm Tesla (…).

The exclusive brand behind the 100% electric cars has taken over a store on Calle Serrano in Madrid, just a stone’s throw from Puerta de Alcalá, as Expansión revealed on 2 September. Specifically, Tesla has leased a 275 m2 store, at number 3 on the famous street along the Golden Mile (…).

“The Golden Mile in Madrid is a sought-after area for the majority of the luxury brands that decide to move to the capital. This means that sections  (of the street) that were less appealing until now, such as the uneven side of the road and the bottom section of the street, no longer have as much availability as they used to in previous years. Examples of this are the case of Tesla at number 3, and Malababa at number 8”, explain sources at the consultancy firm Ascana.

Tesla and Malababa are joining Kenzo and Audemars Piguet, the latest luxury brands to open stores on the famous Madrilenian thoroughfare (…).

Other sought-after streets

The commitment to the luxury market does not end on Calle Serrano (…). Adjoining streets, such as Calles Ortega y Gasset, Lagasca and Claudio Coello are also welcoming new international brands. “The interior of the Salamanca neighbourhood has seen the departure of traditional businesses, which cannot afford the current rental prices, and their replacement by premium brands. Not all of the brands can afford to pay for a store on the best stretch of Serrano; such premises are only available to 10% of firms”, says Ignacio Acha, Associate Director of Retail & High Street at Cushman & Wakefield.

“Claudio Coello is continuing to consolidate its position as one of the main thoroughfares in the Salamanca neighbourhood. Several brands are planning to open stores on that street, such as Sonia Rykiel, at number 79, Max Mara Weekend at number 63 and Pedro Miralles, at number 58″, say Ascana’s sources (…).

For brands like that, a store on Serrano or Ortega y Gasset is very expensive. The difference in price between the best store on those streets and on Claudio Coello could be up to three times”, says the Partner at C&W, the consultancy firm that has advised Sonia Rykiel on its operation.

In addition to the upcoming store openings on Claudio Coello, Ortega y Gasset has been selected as the location of choice by another international brand for its debut in Spain. Specifically, the glasses firm Oliver Peoples, owned by the luxury Luxottica group, has taken over the premises on c/Ortega y Gasset, 4, where it will open its first store in the country.

Original story: Expansión (by Rocío Ruiz)

Translation: Carmel Drake

Juan Bravo 3 Plot Worth 7% More Than 12 Months Ago

6 March 2016 – El Confidencial

The recovery of the real estate market is starting to be reflected in the income statements of real estate companies and Socimis, especially in the value of their assets. According to information submitted to Spain’s National Securities Market Commission (CNMV) by Lar España, the famous plot of land located on Calle Juan Bravo, 3, which is going to be home to the most exclusive luxury housing development in the capital, has risen in value by 7% in the last year.

The Socimi has owned 50% of the land, alongside the US manager Pimco since the beginning of 2015, when both companies joined forces to buy Eurosazor (the development company created by Rafael Ortiz and the businessman Fernando Fernández Tapias) which owned the 26,203 m2 plot on Juan Bravo, 3 and another 5,318 m2 plot on Claudio Coello, 108.

Lar and Pimco acquired both residential assets for €120 million, in such a away that the purchase amounted to €60 million for each plot. Six months later, in June 2015, the consultancy firms JLL and C&W valued the plots at €61.3 million, and by the end of last year, that figure had increased to €64.35 million, up by 7.1%. This increase in value is explained not only by the recovery of the residential market, but also the scarcity of plots of land and new homes on the market in the neighbourhood of Salamanca, the most sought-after by wealthy individuals, both domestic and international – especially Venezuelans.

This increase in value has been generalised for the whole of the Socimi’s portfolio. The value of the assets acquired between its debut on the stock exchange and 31 December 2015 amounted to €898.9 million, in other words, €46.2 million more than their combined acquisition prices, which represents an increase of 5.4%. By type of asset, besides residential, Lar’s shopping centres have increased in value by 4.4%, its office are up by 6.6% and its logistics centres are up by 11.1%.

Juan Bravo, 3 is, nevertheless, one of the most important assets in the portfolio, at least from the media’s point of view, given that the market has been waiting for work to begin there for more than a decade. (…).

The demolition work is about to begin

Now… the project is increasingly closer to becoming a reality, after it recently received the licence from the Town Hall of Madrid that will allow it to demolish the basements and consolidate the land. This is the first step to obtaining the construction permit and, therefore, the definitive launch of the project, which will be designed by the Madrilenian architecture firm Rafael de La-Hoz (see photo above).

Although the details of the project have not been revealed yet, all indications are that around one hundred homes measuring between 250 m2 and 450 m2 will be constructed on the 2,250 m2 plot of land, which has a buildable capacity of 26,000 m2. Prices could reach, on average, €10,000/m2, with the most affordable homes averaging around €8,000/m2 and the most elite averaging around €14,000/m2. (…).

Original story: El Confidencial (by E. Sanz)

Translation: Carmel Drake

Patrizia Acquires Claudio Coello 108 For €22M

3 February 2016 – El Confidencial

Yesterday (Tuesday), the German fund Patrizia Inmobilien completed the purchase of a residential building on Claudio Coello, 108 for €22 million, from Grupo Lar and Pimco, according to sources close to the deal.

Specifically, the property, which is currently vacant, has a surface area of 5,318 m2 and previously formed part of the operation to purchase Juan Bravo, 3. In fact, the building is located just a few metres from that plot, which houses one of the most highly anticipated luxury developments in the capital. The building acquired yesterday will be converted into 14 luxury homes, measuring 300 m2 each, with two or three parking spaces per flat.

According to the latest report prepared by TecniTasa, these homes could have a market value of around €10,900/m2. Patrizia Inmobilien will undertake a complete renovation of the property, which will require an additional investment of €7.5 million – equivalent to around €1,500 per m2 – and the company expects the building work to take 18 months.

Patrizia is one of the largest investment funds in Europe, with a presence in 14 countries and total funds under management of €18,000 million. 40% of its portfolio is invested in residential assets, equivalent to approximately €8,000 million.

The fund arrived in Spain last year, led by Borja Goday, the head of Patrizia in Spain, and the former CEO of Sotogrande, with the intention of investing €1,000 million in the Spanish market. It closed its first operation in July last year with the purchase of the H&M store in Málaga from the Nergosa group and it raised its profile further by participating in the bid for Torre Espacio.

With this operation, the fund becomes one of the new players in the luxury residential market in the capital and demonstrates its strong commitment to the real estate recovery in Spain, given its conservative profile, in comparison with the speculative capital that has entered the market in recent years.

BDO has advised the vendor, whilst the firms CMS Albiñana and MMM have advised the purchaser.

Original story: El Confidencial (by R. Ugalde and E. Sanz)

Translation: Carmel Drake