French Fund Ojirel Buys a 7,360m2 Warehouse in Madrid

6 November 2018 – Eje Prime

International funds are continuing to back the Spanish logistics sector. The investment firm Organa III, created by the French real estate investment company Ojirel, has just acquired an industrial warehouse spanning 7,360 m2 in Madrid.

The asset, located in the municipality of San Agustín de Guadalix, was owned by a Spanish company specialising in logistics services. The contract specifies that the warehouse will continue to be operated by its previous tenant, a German multi-national specialising in automotive spare parts, for five more years.

The operation, which has been advised by the real estate consultancy firm Iremcap, “shows the growing interest from French real estate investment funds in the acquisition of real estate assets in Spain”, according to sources at the consultancy firm.

Madrid is one of the magnets in the country for logistics investors. Although the spectrum of the sector is increasingly broad and is spanning increasingly more regions, the area surrounding the Spanish capital is the most attractive for 63% of those surveyed in the latest edition of the International Logistic Fair (SIL), which is organised every year by the company Prologis.

That is also reflected in the numbers. 632,000 m2 of logistics space was leased in the Spanish capital during the first half of 2018. Similarly, more than half of the assets leased corresponded to warehouses with a surface area of more than 20,000 m2, according to the latest report published by CBRE.

Due to the boom in e-commerce, in particular, the market for industrial centres and warehouses in Spain is currently one of the strongest in Europe. Despite the high demand for assets, in cities such as Barcelona and Madrid, just 4% of stock is available, which is driving up rental prices. The experts indicate that the main challenge facing logistics firms between now and 2022 is how to “adapt existing properties to the new needs of companies”.

Original story: Eje Prime (by B. Seijo)

Translation: Carmel Drake

Union Investment Sells Pórtico Building in Madrid to a French Fund

19 July 2018 – Eje Prime

International operation in the office market in Madrid. The German fund Union Investment has sold the Pórtico building to a leading French investment company. The price of the operation has not been revealed, but it exceeded the valuation.

The building, located at number 2 Calle Mahonia, in the Campo de las Naciones area, spans a surface area of 21,000 m2 spread over seven storeys. Moreover, the asset has 413 parking spaces. The operation has been advised by CBRE.

The tenants of the property, which used to be the headquarters of Marsans for several years, include the cruise company Pullmantur and the liquor company Beam Suntory. The building is almost completely occupied, according to details provided by the last owners, who were asking €130 million for the asset when they put it on the market in January.

Pórtico, designed by the architects SOM and Rafael de La-Hoz, was constructed in 2005 and has formed part of Union Investment’s real estate portfolio since 2008. The asset was included in the group’s Unilmo: Deutschland portfolio.

The operation represents the end of Unilmo: Deutschland’s investments in Spain. Nevertheless, Union Investment is continuing to analyse the commercial property market in Madrid for possible new purchases.

Not in vain, at the beginning of the year, the German fund acquired a commercial asset on central Calle Fuencarral in the Spanish capital. Union Investment also owns two offices buildings in Spain and a hotel in Barcelona, which together have a combined value of approximately €190 million.

Original story: Eje Prime

Translation: Carmel Drake

French Fund Corum AM Acquires Hotel Cartagonova in Cartagena

6 December 2017 – La Verdad

One of the flagship hotels in the Murcian city of Cartagena is changing hands. The French investment fund Corum AM has acquired the 4-star Hotel Cartagonova, located on Calle Marcos Redondo. The property is going to be operated by B&B Hotels on a lease basis for at least fifteen years, according to a statement issued yesterday by the international chain.

The amount paid for the economic operation has not been disclosed. The establishment is going to be renamed B&B Hotel Cartagena and will see 100 rooms of varying sizes go on the market, ranging from individual rooms to suites and family rooms – all of them have been redesigned and modernised in recent years. Moreover, the hotel has a lobby, a meeting room, 31 underground parking spaces and several free services for its guests. According to the buyers, the condition of the facilities is very good, and so they only plan to carry out minimal changes to bring the property in line with the standards of B&B Hotels. The company defines itself as a specialist in “comfortably designed accommodation, offering select high-quality services, at an attractive price”.

The interest from the hotel company in establishing a presence in the tourist city, which is “growing fast” and benefits from a strategic location, has been key to the success of the operation. Its executives have not failed to notice that the port of Cartagena is the country’s fourth busiest in terms of goods traffic. Moreover, the hotel is positioned in a very central location, both for those travelling for pleasure and for business.

“The new B&B Hotel Cartagena has excellent facilities and an unbeatable premium location. It has been designed carefully and will allow us to continue offering our guests high-quality accommodation at an unbeatable price across Europe”, said the chain’s Director of Expansion in Spain, Teresa Pérez.

The company that operates the property formerly known as Hotel Cartagonova owns twenty establishments all over Spain. It closed the first half of this year with a turnover of €13 million. In recent months, it has opened hotels in Madrid’s Puerta del Sol and in the city of Vigo.

Original story: La Verdad (by Gregorio Mármol)

Translation: Carmel Drake