Tag: fundraising

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

Iese Invests €24M In New Campus In Madrid

17 November 2017 – Eje Prime

The Universidad de Navarra is going to expand its presence in Madrid. Iese, the entity’s business school, is going to start construction work in 2018 on a new campus with a surface area of 16,000 m2. The University will invest €24 million in the project. With the future building, which will be located next to the current faculty, the university will double its space in the town of Aravaca.

In addition to the new campus, Iese will build a car park with 300 parking spaces. The aim of the Universidad de Navarra is to triple the capacity of its business school in the Spanish capital, according to El Confidencial.

The design of the campus comprises four classrooms, one of which will be equipped with the latest technology, as well as an auditorium with capacity for more than 500 people. For the financing, the University de Navarra ‘s business school has launched a fundraising campaign, which aims to secure 70% of the investment from employer companies and the network of Iese former students, with the remaining funds being provided by the budgets of the institution itself.

Original story: Eje Prime

Translation: Carmel Drake

KKR Gets Ready To Launch €525M RE Fund In Europe

3 May 2016 – El Economista

The US investment firm KKR is finalising its fundraising ahead of the launch of its new fund, which will focus on the real estate sector in Europe. To date, it has already managed to raise USD 598 million (€525 million).

The usual size of KKR’s investment vehicles ranges between USD 500 million and €1,000 million (approximately €439 million and €878 million), a range that the directors of the US firm hope to reach. The new fund’s key investors include Maine Public Employees Retirement System, which has contributed USD 50 million (€44 million) to the firm’s new vehicle.

Just like the other international investment companies, KKR decided to gradually diversify its portfolio of investments. In fact, its specialisation in the real estate sector culminated in 2011, when the US company created a team dedicated especially to that business segment. In the last year, KKR has strengthened its teams in the USA and Europe focused on the real estate sector.

Opportunities in Europe

In the words of one of the directors of KKR, Scott Nuttal, “We are seeing plenty of opportunities to invest in the real estate segment in Europe”. In fact, currently, the US investment firm owns several assets in France, the UK and Spain.

Its first foray into the property sector in France was made in September 2013, when it acquired an office building in the Paris region of River Plaza. A year later, it bought four shopping centres from Corio for €104 million.

In the UK, the US group’s first operation was the purchase of the three- and four-star hotel chain Queens Moat in 2012. During 2013 and 2014, KKR acquired a package of shopping centres located in Oxford, Glasgow, Sunderland and Birmingham.

In Spain, KKR acquired two shopping centres in September 2014: the Nassica in Madrid and Vista Alegre in Zamora. Those assets were previously owned by British Land and KKR spend €90 million on their purchase.

In the rest of the world, the US investment firm controls several assets distributed all over the world. Specifically, in the USA, it owns eight assets (three shopping centres, one residential development, offices and a portfolio of assets relating to the health sector). Moreover, it owns the World Trade Centre in Melbourne (Australia) and the K Tuin towers in Seoul (South Korea).

Original story: El Economista (by Araceli Muñoz and Rubén Esteller)

Translation: Carmel Drake