GGC Acquires El Mirador de Jinámar Shopping Centre for €45M

30 November 2018 – Eje Prime

General de Galerías Comerciales is now the owner of El Mirador de Jinámar. The Socimi led by the Murcian businessman Tomás Olivo has acquired the commercial complex located in the Canary Islands for €45 million. The company has been advised by Cushman & Wakefield during the operation.

El Mirador de Jinámar is the largest retail space in the Canary Islands. The asset has a total surface area of 50,000 m2, of which 11,300 m2 is dedicated to the first hypermarket that Eroski opened in the region. In fact, the Spanish supermarket chain is one of the drivers of the complex, together with the property developer Ambrosio Jiménez.

Since November 2010, the Mirador de Jinámar has housed a total of 120 establishments in its commercial area. Distributed over two floors, some of the tenants of the property include firms from the Inditex group, as well as H&M, Cortefiel and Primark (whose store exceeds 5,000 m2, making it the Irish company’s largest in the Canary Islands).

The complex is located in Jinámar, a neighbourhood located between the municipalities of Las Palmas de Gran Canaria and Telde, the two most important cities on the island. The complex also has a parking area with capacity for more than 40,000 vehicles. In a second phase, which is still pending, the centre is planning to expand its offer to include 45,000 m2 of additional space, which will be allocated to DIY and homeware firms (…).

Meanwhile, General de Galerías Comerciales made its debut on the Alternative Investment Market (MAB) in July 2017. The company has twenty years of experience undertaking its activity right across the value chain, from the purchase of land to the management of assets.

The main assets in its portfolio are retail parks and shopping centres in Spain, such as La Cañada (Marbella), Mediterráneo (Almería), Mataró Parc (Mataró), Gran Plaza (Almería), Las Dunas and Nevada Shopping (Granada). The company also has an extensive portfolio of residential assets and retail premises, as well as land, primarily in the south of Spain. When the company made its debut on the MAB, its portfolio of assets was worth €1.9 billion.

Original story: Eje Prime 

Translation: Carmel Drake

GGC Will Debut On MAB As Spain’s 2nd Largest Socimi

29 June 2017 – Expansión

A new real estate company is preparing to debut on the stock market: next Tuesday, General de Galerías Comerciales (GGC) will become the thirty-ninth Socimi to trade on the Spanish stock exchange.

Like the majority of the listed real estate investment vehicles, this company will make its stock market debut on the MAB, an index designed for small businesses looking to expand that demands fewer requirements for trading. Nevertheless, given its size, General de Galerías Comerciales could compete with any of the firms on the main stock market, given that this Socimi will make its stock market debut with a market capitalisation of €2,054 million.

This value means that it will be the largest company to debut on the Alternative Investment Market ever. Until now, that position was occupied by the telephone operator Masmóvil, which, with a market capitalisation of €1,277 million, has just approved its transfer to the main market.

General de Galerías Comerciales will not only exceed the large Socimis on the MAB, including the property developer backed by the Montoro family, GMP, whose market capitalisation amounts to around €819.5 million, it will also outrank some of the large Socimis that trade on the main stock market.

In this way, the market capitalisation of General de Galerías Comerciales (€2,054 million) will exceed that of Hispania, which was the second largest Socimi on the Spanish stock market until now, with a market capitalisation of around €1,582 million. Meanwhile, Axiare and Lar España, the other two Socimis on the main market, are worth around €1,180 million and €727 million, respectively. Only Merlin Properties, with a market capitalisation of more than €5,273 million, will be larger than GGC.

What is GGC and who is its owner?

General de Galerías Comerciales is the owner of six shopping centres: Gran Plaza, in Granada; Mataró Parc, in Barcelona; La Cañada, in Marbella; Las Dunas, in Cádiz and Mediterráneo, in Almería. La Socimi is controlled by a majority shareholder, Tomás Olivo López, who also serves as the firm’s CEO.

This Murcian property developer, who has been based on Marbella for many years, founded General de Galerías Comerciales in 1995, together with his brother Ramón and Sandra Ravich (both hold minority stakes) and, since then, he has created a large real estate group, through both the development and purchase of properties.

Besides the six shopping centres, the Socimi also owns 19 urban or buildable lots of land, 17 rural plots, a commercial building, as well as several warehouses, homes, premises, offices and garages, the majority of which are located in Andalucía.

The jewel in its real estate portfolio is the La Cañada shopping centre, which, with a gross leasable area of more than 108,000 m2, is worth €675 million. The Socimi receives rental income of €24.86 million per year from this property, according to information provided in its IPO prospectus. GGC’s other large asset is the Nevada shopping centre, which it owns in Armilla (Granada); that property is worth €520 million and generates annual rental income of €32.5 million.

GCC will make its stock market debut at a value of €79 per share, a price that was fixed after CBRE performed a real estate valuation of the company’s assets, and which values its real estate portfolio at more than €2,000 million.

The most recent Socimis to debut on the stock market have been Albirana Properties, with residential assets controlled by Blackstone; Colón Viviendas, managed by Azora and Optimum III, which debuted on the stock market on 16 May with a portfolio comprising six residential buildings and a valuation of €54.03 million.

Original story: Expansión (by Rocío Ruiz)

Translation: Carmel Drake

La Cañada’s Socimi Owner Finalises Its Stock Market Debut

17 October 2016 – Expansión

General de Galerías Comerciales – the company that owns La Cañada shopping centre in Marbella and five other retail parks, amongst other assets – is finalising its debut on the stock market, where it will be the second largest Spanish Socimi by market capitalisation, behind only Merlin. With its market value of almost €2,000 million, GCC will be the largest company on the MAB (Alternative Investment Market), according to Antonio Fernández, Chairman at Armabex, who was speaking last Thursday at a Socimi conference.

The company, which was constituted as a Socimi in September last year, will submit its DIIM – MAB joiner information document – within the next few weeks. The DIIM includes audited financial information and will be assessed by the MAB joiner coordination committee, which will then refer its assessment report to the Board of Directors.

The group expects to be able to complete all of the necessary procedures and authorisations relating to the MAB before the end of the year.

This Socimi, which is owned by the businessman Tomas Olivo López, owns six shopping centres with a combined surface area of around 350,000 sqm, as well as other less important assets. Specifically, the Socimi owns the following shopping centres: La Cañada Shopping Centre (Marbella), measuring 73,000 sqm; the Nevada Shopping Centre (Granada), measuring 108,000 sqm; the Mataró Parc Shopping Centre (Mataró, Barcelona), measuring 35,000 sqm; the Gran Plaza Shopping Centre (Roquetas del Mar), measuring 53,000 sqm; Las Dunas Shopping Centre (Sanlúcar de Barrameda, Cádiz), measuring 60,000 sqm; and the Mediterráneo Shopping Centre (Almería), measuring 19,000 sqm.

For its debut on the stock market, General de Galerías Comerciales has engaged: Armabex as its registered advisor; the law firm Martínez-Echevarría as its legal advisor; CBRE as its real estate expert; and Audalia Laes Nexia as its auditor.

The stock market debut of this company represents another in the wave of debuts that these kinds of Socimis, which focus their activity on the leasing of urban properties and which operate under a special tax regime, have been making in recent months. Socimis have gone from being an almost unknown corporate structure in Spain to being the main players in the sector.

Currently, in addition to the three large Socimis that listed on the main stock market – Hispania, Axiare and Lar – there are 25 smaller firms listed on the MAB.

The Chairman of Armabex, Antonio Fernández, expects that around 35 new Socimis will join the stock market during 2017, of which three are likely to debut directly on the main stock market. The combined value of these new Socimis, including General de Galerías Comerciales, will amount to around €5,500 million.

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake