Tag: finalists

Blackstone Offers €90M+ for Lar España’s Logistics Portfolio

14 June 2018 – Eje Prime

Blackstone is expanding its appetite for Spanish real estate. The US fund, which is in the middle of a takeover bid for Hispania’s hotels, is now attacking the industrial real estate market and is finalising the purchase of Lar’s logistics portfolio. The firm could pay more than €90 million for the six assets owned by the listed Socimi.

Lar’s portfolio, which includes one plot of land, a precious commodity in the sector’s current climate, is worth €92 million, according to the most recent appraisal, performed at the end of 2017. The capital appreciation that the Socimi has managed to generate amounts to 40%, according to Expansión.

The operation, in which Blackstone has emerged as the only finalist and which, therefore, is holding exclusive negotiations with the Spanish group, forms part of Lar España’s new strategic plan to divest its position in the logistics market. It is the intention of both parties to sign the sale and purchase contract before the summer.

Lar’s six assets span a combined gross leasable area (GLA) of 169,800 m2 and, since they came onto the market, have attracted interest from large investment funds and international logistics operators. The list of potential suitors has included, in addition to Blackstone, CBRE Global Investors, P3 and Ares Management.

Through this purchase, the US fund is seeking to strengthen its logistics portfolio in Spain. In January, the company paid €90 million for four complexes leased to the supermarket chain Dia. In 2017, the sector set a new historical record with total investment in Spain of €1.5 billion, up by 85% compared to the previous year, according to data from the consultancy firm Savills Aguirre Newman.

Original story: Eje Prime 

Translation: Carmel Drake

Aelca & Aedas Enter Final Round of Sareb’s Property Developer Venture

1 June 2018 – Eje Prime

The bad bank is gradually outlining what its property development venture in Spain is going to look like. Aelca and Aedas Homes are the final candidates in the bid to take over the land portfolio that the bad bank has put on the market in exchange for entering the share capital of one of the house builders. By contrast, Vía Célere has abandoned the competition, leaving the path clear for the other two operators.

According to sources familiar with the process, Vía Célere has decided not to submit a final proposal to Sareb. The property developer, controlled by Värde Partners (51%), together with other funds, decided against going forward to exploit the bad bank’s €1.2 billion portfolio.

The bet by the entity chaired by Jaime Echegoyen is also happening because its property developer partner is listed on the stock market, such as in the case of Aedas, or has the intention of doing so, such as Aelca. That means that the financial institution will be able to divest its shares easily in the future and make a gain. That point is likely to have been one of the reasons that led Vía Célere to back out of the deal, given that it has put the brakes on its stock market debut following the postponements announced by Testa and Azora.

Original story: Eje Prime

Translation: Carmel Drake