Quabit’s Profits Increased by 79.1% in 2017

28 February 2018 – El Economista

Quabit recorded a net profit of €14.3 million in 2017, which represents an increase of 79.1% compared with the previous year (€8 million).

The real estate firm explained that the increase in profits was due to “the greater activation of credits and discounts associated with the cancellation of its debt” with the bad bank Sareb.

According to a report submitted by the real estate company to the National Securities and Exchange Commission (CNMV) on Wednesday, its net turnover decreased by 82.6% in 2017 to €5.7 million.

Meanwhile, the EBITDA was negative at -€7.3 million, which represented a decrease compared to 2016 (-€19.6 million).

The company highlighted that the progress made in 2017 demonstrates Quabit’s management capacity and gives “visibility” over the execution of the strategic plan with a higher return than initially estimated.

Moreover, it says that it is on course to fulfil its objective of reaching a recurring sales volume of 3,000 homes from 2022 onwards.

For 2018, Quabit estimates having a commercial portfolio of 3,000 homes, as well as starting the construction of 2,000 homes, delivering 215 dwellings and securing plots of land, which will allow it to cover more than 80% of the needs of its strategic plan.

Original story: El Economista

Translation: Carmel Drake

Lar España Buys Rivas Futura Shopping Centre for €62M

6 February 2018 – Expansión

The Socimi in which Pimco holds a stake has purchased the Rivas Futura shopping complex, in the Madrilenian town of the same name, for €62 million.

Lar España has completed its first investment of 2018. The Socimi, whose largest shareholder is the fund manager Pimco, has completed the purchase of the Rivas Futura shopping complex, located in the Madrilenian town of Rivas.

Inaugurated in 2016, this complex was promoted by the real estate firm Avantis, and became a reference in Madrid, with a surface area spanning more than 55,000 m2 and first-class tenants such as Media Markt, Conforama and Toys R Us. Next to the retail park, the same real estate firm constructed a large office complex and a shopping centre called H2Ocio. Recently, that shopping centre also changed hands, with the manager CBRE Global Investors acquiring 70% of the property.

In 2008, Avantis’ liquidity problems meant that it had to find a new owner for the complex. The real estate subsidiary of Axa spent €81 million to buy the centre at that time. Years later, the fund Lone Star was awarded the park as part of Project Octopus, formed by loans from the German bank Eurohypo.

Now, the Socimi managed by the real estate group Lar has become its new owner, after paying €61.6 million to the most recent owner: Credit Suisse.

With this new investment, Lar España has become the largest operator of retail parks in Spain, with more than 150,000 m2 in its portfolio. Its flagship assets include the Megapark complex in Barakaldo, where the Socimi owns both the Megapark shopping centre and the factory outlet (acquired for €170 million), as well as the leisure area; that operation was closed at the end of October.

This purchase also represents the first acquisition of a commercial asset by the Socimi in Madrid, where it already owns a luxury housing development, Lagasca 99, as well as two office buildings. At the end of last year, Lar España put its office portfolio, comprising four assets and worth €170 million, up for sale. Since then, it has sold two of the assets, both located in Madrid and both sold to the same buyer: the real estate firm Colonial.

During the first nine months of 2017, Lar España generated profits of €72.2 million, up by 55% compared to a year earlier, after earning €57.2 million, up by 36%.

Original story: Expansión (by Rocío Ruiz)

Translation: Carmel Drake