SafeGuard Sells Aloft Madrid Gran Vía Hotel to Henderson Park for €57 Million

12 August 2019

CBRE announced that SafeGuard Real Estate Management has sold the building that is home to the Aloft Madrid Gran Vía hotel to the European real estate asset management platform Henderson Park for more than 57 million euros.

The property, which has a  long-term management contract with Marriott International, is located an excellent location in central Madrid.

The 139-room hotel is 13 floors high and has a rooftop with an outdoor pool, a gym and a bar/restaurant.

Original Story: La Vanguardia / EFE

Adaptation/Translation: Richard D. K. Turner

Henderson Park and Hines Acquire Land in Barcelona’s 22@ for New Student Residence

19 July 2019 – Richard D. K. Turner

Henderson Park and Hines have acquired several plots of land in the 22@ area of Barcelona, ​​ to build a 350-bed student residence, a 3,610-m2 office building and a 176-m2 store. The project is the partner’s third development together and is expected to be ready in time for the 2020 student year.

Original Story: Expansión – Rocío Ruiz

Henderson Park Acquires Gran Vía 43 in Madrid

23 October 2018 – Eje Prime

The European real estate fund Henderson Park is expanding its portfolio of assets in Madrid. The group has acquired number 43 Gran Vía in Madrid, an asset located in the centre of the Spanish capital, which combines office space and commercial premises, from Mutualidad General de la Abogacía, the Spanish insurance company for lawyers.

For the acquisition operation, Henderson Park has obtained senior financing amounting for €39 million from La Caixa, according to explanations provided by the company. The building, which spans 7,347 m2, comprises 11 floors – the lower two are dedicated to commercial space and the rest to offices. Currently, the asset is leased to seven tenants.

This is Henderson Park’s third acquisition in Spain, and its second in Madrid, following the purchase of the Los Cubos office building in 2017. and of a plot of land in the 22@ district of Barcelona the same year, for the construction of a hall of residence for students that will comprise 750 rooms.

Original story: Eje Prime

Translation: Carmel Drake

Henderson Park and Hines Aquire Barcelona Student Housing Scheme (ES)

Monday, 13 August 2018

Henderson Park, the European real estate investment platform founded by Nick Weber, and Hines have completed the acquisition of a site to develop a 750-bed student housing project in Barcelona, Spain. This is Henderson Park and Hines’ second student accommodation investment together following an earlier project in Lancaster, UK, and forms part of their joint venture to pursue value-added opportunities in the sector across Europe. The purchase price was not disclosed.

Occupying half of a city block in the 22@ Innovation District on the edge of Barcelona’s desirable neighbourhood of Poblenou, the joint venture’s latest project will see the development of a 20,000m², 750-bed student housing scheme, just 15 minutes’ walk from nearby university campuses. The JV is targeting to deliver the scheme for the 2021/2022 academic year.

The finished scheme, ‘Aparto Diagonal Mar’, will incorporate a range of shared amenities including a swimming pool, gym and sports facilities. Hines’ in-house operating platform, Aparto, will manage the asset once operational, to ensure an enhanced experience for its student residents.

Nick Weber, Founding Partner of Henderson Park, said: “The Spanish market, and Barcelona in particular, presents highly attractive supply and demand dynamics for an investment into the student accommodation sector, and we’ve identified a clear appetite for the kind of high-quality purpose-built product we plan to deliver in this transforming neighbourhood of Barcelona. We are pleased to further extend our partnership with Hines as student housing is an asset class with compelling underlying fundamentals across a range of different European cities.”

Lars Huber, CEO of Hines Europe, said: “The fundamentals of Barcelona’s student housing market are very strong, with an undersupply of quality accommodation, despite the popularity of its universities. 22@ Innovation District is set to provide a memorable living experience and is the ideal location for our Aparto management platform, with its strong placemaking and community focus. This investment demonstrates our commitment to the student housing sector as we continue to look for opportunities in core cities across the UK and Europe with growing and dynamic student populations.”

Original Story: http://europe-re.com/henderson-park-and-hines-acquire-barcelona-student-housing-scheme-es/65522

 

KF: Inv’t in Offices Amounted to €1.3bn & €0.8bn in Madrid & Barcelona, Respectively, in 2017

13 June 2018 – ABC

The performance of the office sector in Madrid at the end of 2017 bodes well for a “historical” 2018. That is according to all of the investment indicators managed by the real estate experts. Some very positive data for the region, which consolidates the Spanish capital’s position as the most attractive place for companies to locate their headquarters. In fact, it continues to be the greatest magnet for securing capital in the office market with a business volume of €1,324 million – 61% of the aggregated total – compared with €835 million in the Catalan capital. In terms of rented office space, 570,000 m2 was leased in Madrid, compared with 300,000 m2 in Barcelona.

Those are the findings of a recent report about the sector compiled by the consultancy firm Knight Frank, which forecasts greater activity in the sector in Madrid this year due to the rotation of assets by the Socimis and funds to fulfil their business plans. In Madrid, more than 40% of the total investment in 2017 involved funds, which, together with the Socimis outperformed other real estate players during the second half of last year.

The notable differences between the two regional capitals have increased as a result of the effects of the political instability caused by the independence drive and the decrease in tourism that has hit Cataluña. The experts consulted highlight that the rate of company creation has decreased in Cataluña since last summer, whilst in the Community of Madrid, the numbers have increased, with more than 185,000 companies registered with the Social Security at the beginning of 2018.

“The Spanish capital continues to be the key location due to its wide range of opportunities. Net absorption has been increasing for several years and rental prices are still very competitive in comparison with the main European centres”, explains Raúl Vicente, Director of Offices at Knight Frank. Nevertheless, the experts indicate the path that the city should take to become a “super city”. “In terms of the major challenges that it will have to overcome, they include mobility, adaptation to the technological revolution that we are living applied to the service of the city, efficiency, access to housing and an office supply that is commensurate with international demand, amongst others”, highlights the report.

The average price of offices in Madrid’s CBD has been rising in recent years. Prices in the capital now exceed €8,000/m2 on average, whilst in Barcelona, they amount to €6,900/m2. The highest price paid last year was for the former Barclays headquarters in Plaza de Colón, which was purchased from Barclays by CBRE Global Investors for €14,000/m2.

Other notable operations stand out including the purchase of Torre Serrano by Infinorsa and the sale of the Isla Chamartín Business Park to Tristan Capital and Zaphir Asset Management for €103 million. Also, the acquisition of the Palacio de Miraflores on the Carrera de San Jerónimo for €60 million by Remer Investment and of the Los Cubos building by Henderson Park and Therus Invest for €52 million (…).

Original story: ABC (by Adrián Delgado)

Translation: Carmel Drake

Realia Sells ‘Los Cubos’ Office Building To Therus For €52M

23 October 2017 – Expansión

The real estate company Realia, owned by Inmobiliaria Carso and FCC, which are both controlled by the Mexican businessman Carlos Slim, has sold the office building known as Los Cubos, located in Madrid, for €52 million.

The buyer is the French real estate company Therus, which is co-investing with the British investment group Henderson Park, according to several sources.

The property, which owes its name to its unique architecture, has a leasable area of 18,324 m2 and 334 parking spaces.

The real estate company put this building, located in the vicinity of the M-30 ring road, up for sale at the end of last year, as reported by Expansión at the time. The building has been vacant since the end of 2015. Before its sale, the company considered renovating it on several occasions to improve its appeal in the market.

In the end, Realia has sold the building for €52 million, compared to the initial asking price of €57 million. The sale of Los Cubos is the latest in a long line of high profile real estate investment operations closed in Spain in recent months. The investment volume in the real estate sector during the 9 months to September amounted to €10,300 million.

Original story: Expansión (by R. Ruiz)

Translation: Carmel Drake

Gas Natural Sells Its HQ In Madrid To IBA Capital For €120M

24 November 2016 – Expansión

Gas Natural has had a change of heart in its strategy to sell its real estate jewels in Madrid. The firm chaired by Isidro Fainé, which engaged the real estate consultants CBRE and Cushman & Wakefield in the summer to sell its main real estate assets in the capital, has decided to divide up its batch of four properties and sell the most sought after asset, located on Avenida de San Luis, in a separate transaction.

In this sense, the energy company has reached an agreement with IBA Capital, through its Socimi Zambal, to sell its headquarters in the capital located on Avenida de San Luis 77. The transaction will be completed within the next few days for around €120 million, once the bureaucratic procedures have been completed.

The firm has opted for the sale & leaseback formula, involving the sale of the property and its subsequent lease for a period of ten years.

The real estate fund manager, which purchased Vodafone España’s headquarters in Madrid just over a year ago, has knocked out the Spanish real estate and investment manager, Drago Capital, from the process, which until now was the favourite candidate for taking over Gas Natural’s buildings in Madrid. Drago Capital, which has been in exclusive negotiations with the energy firm for several weeks regarding the purchase, was unable to complete the operation as it failed to obtain financing from the banks.

In terms of the rest of the buildings up for sale – one property on Avenida de América 38; the Acanto 11 complex; and the Antonio López complex, on Antonio López 193– , the company has decided to reopen the process and invite those investors who expressed interest in the initial process to participate. Besides Drago Capital, the finalists also included Henderson Park and Has Capital.

In total, the combined surface area of the four complexes amounts to 57,000 m2. In addition, this asset portfolio includes 1,695 parking spaces. Specifically, Gas Natural’s headquarters on Avenida de San Luis 77 has a surface area of almost 32,000 m2, which is dedicated to office space. With this operation, Gas Natural is taking advantage of the real estate sector’s current strong performance to generate value from its properties and earn some cash, without having to move its staff by remaining as the tenant.

The office market in Madrid and Barcelona has heated up a lot in recent months due to the shortage of high quality products in good locations. During the first three quarters of this year, investment in the office market amounted to €2,200 million, according to data from Aguirre Newman.

Gas Natural’s approach is in line with that of some of its rivals, which have also opted to divest their real estate investments. For example, Torre Cepsa, located in the Cuatro Torres complex in Madrid, was sold to Amancio Ortega’s investment vehicle, Pontegadea, two months ago for €490 million. Meanwhile, Endesa’s headquarters in the capital is owned by the Socimi Merlin and Iberdrola’s head office in Bilbao is partly owned by Kutxabank.

Original story: Expansión (by R. Arroyo & M. Á. Patiño)

Translation: Carmel Drake

Drago Finalises Purchase Of Gas Natural’s RE Jewels

7 November 2016 – Expansión

The investment firm Drago Capital, together with the Canadian pension fund manager PSP Investments, has emerged as the clear candidate to acquire the real estate jewels of Gas Natural Fenosa in Madrid. The firm is now holding exclusive negotiations with the energy company to put the finishing touches to a deal that is likely to close within the next few weeks.

According to market sources, the offer from the Spanish real estate vehicle manager, which was presented as part of a consortium with the Canadian fund, has supplanted those submitted by the other suitors also interested in the assets.

The operation values the energy company’s assets in Spain’s capital at just over €300 million, which means that this will be the largest sale and leaseback transaction (sale to a third party and subsequent rental of the property) since 2010.

The firm chaired by Isidro Fainé engaged the real estate consultancy firms CBRE and Cushman & Wakefield in the summer to sell its main real estate assets in Madrid. This process sparked interest amongst private equity funds and investors alike, both at home and overseas.

Other candidates

Specifically, in addition to Drago, the investors Iba Capital, Henderson Park and a family office participated in the bidding until the latest round. Has Capital, which had also expressed its interest in Gas Natural’s properties, withdrew at the last minute as it was unable to raise financing.

The assets up for sale are: the group’s headquarters in Madrid, located on Avenida de San Luis 77; a property on Avenida de América 38; the Acanto complex, at number 11 on the same street; and the Antonio López complex on Calle Antonio López 193.

Altogether, the global surface area of the four complexes amounts to 57,000 m2. In addition, the portfolio of assets includes 1,695 parking spaces. (…) .

Gas Natural’s move comes at a time when its competitors are also divesting their real estate assets.

Specifically, Torre Cepsa – one of the Cuatro Torres in Madrid – was acquired just two months ago by Pontegadea. That purchase – the largest ever undertaken by Amancio Ortega’s investment vehicle – was completed in September and saw the founder and largest shareholder of Inditex spend €490 million.

Meanwhile, Endesa’s headquarters in the capital is owned by Merlin; and Iberdrola’s headquarters in Bilbao is partially owned by Kutxabank.

Repsol still owns its headquarters in Madrid, in Méndez Álvaro, however, there has been speculation that the oil company may sell the asset. (…).

According to the consultancy JLL, real estate investment in the office segment is expected to exceed €2,400 million in 2016. That figure falls below the record €3,170 million achieved last year due to the limited supply of high quality products. During the first nine months of 2016, investment in offices amounted to €1,572 million, with Madrid accounting for the vast majority of that figure (€1,150 million).

Original story: Expansión (by R. Arroyo & M. A. Patiño)

Translation: Carmel Drake