Riu Negotiates Sale of Retail Space in Edificio España to Corpfin

22 August 2018 – Eje Prime

Riu is taking action and, after falling out with Baraka, it now has a potential buyer for the retail space in Edificio España. The hotel chain is finalising the sale of this space in the property, which spans a surface area of 15,000 m2, to the Spanish Socimi Corpfin Capital.

On Tuesday, the Baraka Group announced that it is going to file a lawsuit against Riu for the hotel chain’s refusal to recognise in the deed the 15,000 m2 of retail space that had been promised to the company Baraka Renta following the sale of the building last year. Moreover, the real estate company has demanded that the renovation work on the building, which began in the autumn of 2017, be suspended.

Following the breakdown of the agreement, Riu is now finalising the sale to Corpfin, which, in the event that it goes ahead, will acquire an asset that will be worth €200 million once the renovation of the property has been completed, according to Expansión.

Corpfin Capital has been extremely active in recent months. Just a few weeks ago, the Socimi led by Ana Granado purchased two prime stores from El Corte Inglés in Madrid and Bilbao for €100 million, as reported by Eje Prime. Moreover, in the logistics sector, the company invested €8 million in the acquisition of an asset from Makro.

On the divestment side, in July, Corpfin completed the sale to the fund Swiss Life of thirteen retail premises for €83 million. That operation was carried out through the two Socimis that the company has listed on the Alternative Investment Market (MAB): Corpfin Capital Prime Retail II Socimi (Ccpr II) and Corpfin Capital Prime Retail III Socimi (Ccpr III).

Original story: Eje Prime 

Translation: Carmel Drake

Lasalle & Corpfin Buy 4 Assets from Makro for c. €100M

30 July 2018 – Eje Prime

Makro is lightening its property load. The food distribution group has sold four assets in Spain to Lasalle and Corpfin for almost €100 million. Specifically, the fund has acquired three of Makro’s centres in Madrid for €90 million, whilst Corpfin has purchased one asset in Madrid for €8 million, according to Expansión.

The company has sold to Lasalle the buildings in Barajas, Alcobendas and Paseo Imperial, all located in the Community of Madrid, in a sale and leaseback operation brokered by CBRE. Other distribution groups such as Inditex and El Corte Inglés have carried out similar operations over the last year.

On the other hand, Makro has sold 8,000 m2 of retail space, also in Madrid, to Corpfin for €8 million. That operation has been brokered by the consultancy firm Knight Frank.

Makro has 37 centres in Spain, which span a total commercial surface area of 241,744 m2. The chain belongs to the German group Metro, which operates in 35 countries around the world.

Original story: Eje Prime

Translation: Carmel Drake

Corpfin Sells 13 Commercial Premises to Swiss Life for €83M

10 July 2018 – Idealista News

The Swiss do not only come to Spain to go on holiday. Through its real estate arm, the insurance company Swiss Life has purchased thirteen premises from the fund Corpfin Capital Prime Retail Assets (Ccpr) for €83 million.

The sales have been carried out through the two Corpfin Socimis that are listed on the Alternative Investment Market (MAB): Corpfin Capital Prime Retail II Socimi (Ccpr II) and Corpfin Capital Prime Retail III Socimi (Ccpr III). The contract for the sale of the portfolio was signed in June, according to Idealista News.

Swiss Life is investing in Spain for the first time. It already tried to enter the  Iberian real estate market with the acquisition of a package of offices from Hispania. The Socimi, which put that portfolio up for sale for €500 million, subsequently pulled out of the sale following the public takeover bid from Blackstone and the political instability in the country.

With assets worth €69.2 billion in the Pan-European market, Swiss Life focuses its investment in the office business, which accounts for 37% of its portfolio, followed by the residential business with 32%. Retail accounts for just 16% of its investments and the remainder of its portfolio is split between the logistics sector, the hotel segment and alternative assets.

In the case of Corpfin, the group founded by Javier Basagoiti created a new Socimi in April with €400 million to invest in high street stores. The roadmap for Basagoiti’s company involves raising €200 million this year to double the capital by the end of 2021.

Original story: Idealista News

Translation: Carmel Drake

Corpfin Agrees Sale of 13 Premises for €83M

10 April 2018 – Expansión

Corpfin Capital Real Estate is preparing to rotate most of the assets in the portfolios owned by its listed Socimis. The fund manager chaired by Javier Basagoiti (pictured below) has reached an agreement with an investor to sell 13 of its 21 commercial properties for €83.33 million.

According to the terms of the agreement, the sale of the assets will be carried out before the end of 2020, to allow time for the Socimis to comply with the regulations that govern them, which require properties to be owned for at least three years in order for the companies to benefit from the exemption to pay tax on any gains obtained from transactions.

Corpfin has invested €114 million through CCPR II and CCPR III –its two listed Socimis – since 2014.

Following the sale of five premises, it now owns 21 assets on the main high streets of Madrid, San Sebastián, Burgos and Valencia, which are occupied by tenants such as McDonald’s, Vips, Starbucks, Zara and Mango.

Moreover, it has purchase options over three other assets in San Sebastián and Madrid.

The manager has just launched a new vehicle, Inbest, through which it plans to invest €400 million in high street assets between now and 2021, of which €200 million will proceed from own funds and the remainder from gearing.

The fundraising process for Inbest was initiated in February and is expected to conclude in December or whenever the funds reach the €200 million threshold. The structure of Inbest will include one Socimi from which four others will depend, which will all be listed on the stock market.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

Corpfin Launches a Socimi to Invest €400M in High Street Assets

5 April 2018 – Expansión

The real estate manager Corpfin Capital Real Estate is accelerating its commitment to retail with the launch of a new Socimi through which it plans to invest €400 million in high street assets (retail premises at street level) between now and 2021. €200 million of that amount will proceed from own funds raised and the remaining from gearing.

The President and Founding Partner of Corpfin Capital Real Estate, Javier Basagoiti (pictured above), said that the fundraising process began in February and is expected to conclude in December or whenever the €200 million threshold is reached. In terms of investment timeframes, the manager calculates that the process will finalise in 2021 or whenever the target investment volume of €400 million has been reached.

In terms of the structure, this vehicle will comprise a Socimi from which four other Socimis will depend, in turn, which will be listed on the stock market, a formula known in the jargon as the “inverted comb”. The estimated date for the stock market debut of the four Socimis is September 2019.

Basagoiti explained that the objective is to acquire high street assets with a surface area of between 1,000 m2 and 2,000 m2, which involve, in many cases, the purchase of entire buildings that will require managing and will include mixed uses – residential, offices and hotels -. In any case, the value of the retail element of the asset must always exceed 60% of the total.

Corpfin is holding advanced negotiations to buy assets in País Vasco, Madrid and Valencia at prices ranging between €5 million and €52 million.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

Corpfin Begins its Divestment Period by Placing Assets Worth €160M Up For Sale

23 March 2018 – Eje Prime

Corpfin Real Estate is rotating its asset portfolio. According to sources familiar with proceedings, the company has started to divest some of its assets, and to this end, has placed on the market commercial premises and out-of-town retail parks worth €160 million. Currently, Corpfin Real Estate manages four investment vehicles in the Spanish market.

“The investment strategy of Corpfin Capital Real Estate Partners includes the rotation of assets once they have reached their maturity period”, explain sources at the group. “Specifically, the two vehicles that Corpfin Capital Real Estate Partners is managing at the moment, Corpfin Capital Prime Retail Assets and Corpfin Capital Retail Parks, are nearing the end of their investment periods, and so the group has not ruled out divesting some of the assets owned by those vehicles”, they said.

Corpfin Retail Parks, a vehicle with an investment capacity of €150 million, specialises in retail products “with a high management component”. Meanwhile, Corpfin Capital Prime Retail Assets was created in 2011 and completed its investment phase in 2016.

In parallel, the company has been fattening up its portfolio with the investment vehicles that remain active. Through its vehicles Corpfin Capital Prime Retail II Socimi and Corpfin Capital Prime Retail III Socimi, the company purchased two commercial premises last year, in Madrid and Vitoria (…).

In addition, with Corpfin Capital Retail Parks, the company has also been purchasing assets until recently, although it still has a small percentage of its funds left to invest before it finalises that vehicle’s purchasing process. Corpfin’s most recent operations with CPRP include the purchase of a plot of land measuring 4,345 m2 from the General Foundation of Madrid’s University of Complutense.

For now, Corpfin has signed a contract to set up an Aldi supermarket on that plot, which will occupy a surface area of more than 1,200 m2 and which will be the chain’s first store in the municipality. The rest of the land is still being marketed.

Other operations undertaken by the fund include the Las Moruchas Shopping Centre in Ávila, inaugurated in June 2016, and the construction of a new shopping complex in Alcorcón (Madrid), which is currently under development.

New director general

In addition, this year, the group is also shaking up its management team and has appointed a new CEO for the Socimi. Ana Granado has served as the most senior executive of the company since February (…).

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake

Corpfin Appoints Ana Granado as New CEO

27 February 2018 – Eje Prime

Corpfin Capital Real Estate has opted for an expert in corporate finance to lead the three investment vehicles that it has in place. The Spanish Socimi has hired Ana Granado (pictured below) as the new CEO of the company.

Granado previously held positions of responsibility at Aguirre Newman and Deloitte. At the real estate company, the director led the corporate finance team for six years and at the consultancy firm, she served for five years as a director of financial advisory in the real estate sector. Moreover, the executive previously worked as an analyst at Santander Investment in the corporate finance department.

Granado is a RICS member and holds a degree in Business Administration and Management, as well as a Masters in Management Skills, both from the Universidad Comercial de Deusto. Moreover, she has completed the Advanced Program in Corporate Finance at the IE Business School.

Corpfin finished 2017 by making new asset purchases for its portfolio. In December, through its vehicles Corpfin Capital Prime Retail II Socimi and Corpfin Capital Prime Retail III Socimi, it acquired two commercial premises, located in Madrid and Vitoria, as reported by Eje Prime. The company is going to invest in up to fifteen more assets and thus plans to spend €100 million between the two vehicles.

Moreover, the company also operates in the real estate business with its vehicle CCPR Retail Parks. That fund targets retail products, primarily medium-sized spaces, with a high management component. According to the group, for that fund, the estimated diversified investment will involve between 12 and 14 operations with an average investment volume of €3 million for each operation, including land, capex, acquisition and marketing costs. Until now, the fund has committed half of its planned investment.

Original story: Eje Prime

Translation: Carmel Drake

Corpfin Buys 2 Retail Premises in Madrid & Vitoria

11 December 2017 – Eje Prime

The Socimi Corpfin is continuing to add new assets to its portfolio. The company, through its vehicles Corpfin Capital Prime Retail II Socimi and Corpfin Capital Prime Retail III Socimi, has purchased two retail premises in Madrid and Vitoria, according to a statement issued by the company.

At the end of November, Corpfin formalised the purchase of a store located at number 15 Calle Posats in Vitoria. The acquisition of that asset involved an investment of €1.06 million.

In Madrid, the company has also grown its portfolio of retail assets. In September, the Socimi acquired the store at number 68 Calle Velázquez from Banco de Madrid. That operation, whose consideration has not been disclosed, was formalised through a mortgage with CaixaBank and the company’s own funds.

Corpfin Capital Prime Retail Assets Socimi operates with the vehicles CCPR II Socimi and CCPRIII Socimi, raised in 2013 and 2014, respectively, with an estimated lifespan of between six and seven years.

According to the company, “the two vehicles will invest in around fifteen assets, with a maximum investment amount per asset equivalent to 15% of the total of the funds”. “The forecast combined total investment is €100 million, split between CCPR II, with €30 million and CCPR III, with €20 million, and a target leverage rate of 50%.

Moreover, the company also operates in the real estate sector through its vehicle CCPR Retail Parks. That fund specialises in retail assets, primarily retail parks, involving a high management component. According to the group, the estimated diversified investment for that fund is between twelve and fourteen operations, with an average investment volume of €3 million per operation, including land, capex, acquisition costs and marketing. To date, the fund has committed half of its planned investment.

Corpfin’s most recent operations through CPRP have involved the purchase of a plot measuring 4,345 m2 from the General Foundation of the Universidad Complutense de Madrid. For now, Corpfin has signed a contract to open an Aldi supermarket on that site, which will occupy a surface area of more than 1,200 m2 and which will be that chain’s first establishment in the municipality. The remaining land is still being marketed.

Other operations carried out by the fund are the Las Moruchas Retail Park in Ávila, inaugurated in June 2016, and the construction of a new retail complex in Alcorcón (Madrid), which is currently under development.

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake

Neinver & Colony Buy 2 Logistics Warehouses For c. €9M

6 February 2017 – Expansión

The joint venture created by the Spanish real estate company Neinver and Colony Logistics – which is owned by severa investment vehicles that are managed by subsidiaries of Colony Capital – has strengthened its portfolio of logistics assets in Spain, with the purchase of two new warehouses in Barcelona and Pamplona.

Market sources have indicated that these two logistics warehouses, which have a combined constructed surface area of 15,000 m2, have been sold for around €9 million.

The warehouse in Pamplona is located in the Arazuri-Orcoyen industrial area, three kilometres from the city centre, and has a surface area of 10,000 m2. The asset, acquired from Corpfin, is leased to the logistics operator Logiters.

Meanwhile, the logistics warehouse in Barcelona has a surface area of 5,000 m2.

The real estate consultancy firm CBRE advised the vendor in both cases.

Following these two new acquisitions, the joint venture that Neinver and Colony created at the beginning of 2015, with the aim of investing €200 million, now has a portfolio comprising 39 logistics and industrial centres, covering a surface area of more than 276,500 m2.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

Socimis Account For Almost One Third Of The MAB

14 March 2016 – El Economista

Almost one third of the 49 companies currently trading on the Alternative Investment Market (MAB) are Socimis. The real estate investment vehicles have a combined market capitalisation of €1,600 million and have led the debuts on this market, which have accompanied the recovery of the sector.

The first Socimi to make the move onto this growing business market was Entrecampos, which debuted in November 2013, a year in which Promorent also joined the exchange. In the middle of 2012, the Ministry of Development decided to improve the regulations governing Socimis – created in 2009 – whereby relaxing the requirements for their constitution, in relation to capital and the number of shareholders.

Despite that, in 2014, only two Socimis debuted on the MAB, namely Mercal and Obsido; the latter specialises in hotel assets.

The presence of Socimis was almost symbolic until in 2015, when there was also a change of direction in the real estate sector and this type of company – very common in other countries similar to our own – burst onto the MAB, which had been questioned after having witnessed some high profile failures (Gowex, Grupo Nostrum and Bodaclick, amongst others).

Last year, seven Socimis debuted on the MAB. They included Trajano Iberia, which is managed and promoted by a division of Deutsche Bank; Uro Property, whose portfolio mainly comprises bank branches leased to Santander; Corpfin Capital Prime Retail II; Autonomy; Fidere; Zambal; and Zaragoza Properties, which owns a stake in the Puerto Venecia Shopping Resort shopping centre in Zaragoza.

So far this year, four Socimis have debuted on the MAB, namely, Heref Habaneras, owner of the Habaneras shopping centre (in Torrevieja); Corpfin Capital Prime Retail III; Inversiones Doalca and Jaba I Inversiones Inmobiliarias. Indeed, the last two made their debuts on Friday.

Zambal is the Socimi with the largest market capitalisation on the MAB, almost €570 million, followed by Uro Property (€218 million) and Fidere (€192 million). Promorent and Obsido have the smallest market capitalisations in the Socimi segment on the MAB, with €4.3 million and €6.6 million, respectively.

The tax advantages of these vehicles for investors (they are exempt from Corporation Tax, although they must distribute almost 80% of the profit that is not reinvested in the form of dividends) are part of their appeal.

Nevertheless, even though the MAB is still growing and increasingly more companies are joining it, the heavy weight Socimis are listed on the main stock market (Hispania, Axiare, Lar España Real Estate) and Merlin Properties is even listed on the Ibex 35.

Original story: El Economista

Translation: Carmel Drake