Galil Capital Buys a Residential Building in Barcelona for €3.8M

19 July 2018 – Eje Prime

Galil Capital is already starting to use the €4.5 million it raised last week. Taking advantage of the two loans it signed recently, the Socimi has purchased a building in the Grácia neighbourhood of Barcelona for €3.8 million, according to a statement filed by the company with the Alternative Investment Market (MAB).

The asset, located at number 9 Calle Escorial, comprises fourteen homes and two retail premises, all of which are leased. The building has a surface area of 1,603 m2 and was acquired on 17 July.

The Socimi owned by Gil Avraham Shwed, founder of the technology firm Check Point has funded this operation using the two loans that were signed just a few days ago. The first is a bank loan amounting to €2.5 million and the second is a €2 million loan that the majority shareholder granted to the company. “This acquisition has been financed using available cash following the drawdown of new financing subscribed by the company”, said the group in a relevant fact sent to the MAB.

Galil Capital owns a portfolio comprising seven residential properties located between Madrid and Barcelona. The valuation of its assets exceeds €31 million.

The Socimi’s plans at the time of its debut on the MAB included carrying out two acquisitions during the course of 2018. For the time being, it has fulfilled half of that objective through this operation in Cataluña.

The company seeks residential assets in Barcelona and Madrid, above all small- and medium-sized buildings (with between ten and fifty assets per building), although it does not rule out investing “at least 25% of its funds in commercial assets in Madrid and Barcelona and even in properties outside of the two major capitals”.

Original story: Eje Prime

Translation: Carmel Drake