Forcadell: 486,946 m2 of Logistics Space Leased in Cataluña in First 9 Months

10 October 2018 – Eje Prime

The Catalan logistics sector is seeing its figures soar. With three months still to go before the end of the year, the industrial segment of the real estate sector has already exceeded the total volume of space leased in all of 2017, with 486,946 m2 leased during the first nine months of 2018, according to data from the real estate consultancy Forcadell.

The report from the Catalan consultant points out that during the third quarter of 2018, 99,557 m2 of logistics space was leased, up by 28% YoY. That figure means that the leasing volume to date exceeds the figure recorded by Forcadell at the end of last year (459,451 m2).

The second ring of Barcelona is leading the increase in the Catalan logistics sector, accounting for 47% of the operations signed during the third quarter.  In total, seven operations were registered in this area between June and September, with 50,341 m2 of industrial land leased.

The second ring was followed by the first ring, which accounted for 40% of operations and a total leasing volume of 43,216 m2. The third, with some plots located in the province of Tarragona, accounted for 13% of the transactions in this market in Cataluña.

The Director of Industrial and Logistics at Forcadell, Gerard Plana, said that “new construction projects are continuing to offset the lack of available supply”. Seven of the fifteen operations that were completed during the third quarter in Cataluña involved new build or turnkey assets.

In terms of the largest operations signed during that period, they included Henkel’s new 24,000 m2 warehouse in Montornès del Vallès and the 10,520 m2 warehouse that Mercadona leased from Goodman in Barcelona’s Zona Franca area.

Original story: Eje Prime

Translation: Carmel Drake

Barcelona Accepts Seven Exceptions To The Hotel Moratorium

13 February 2016 – Expansion

Ada Colau´s  moratorium applied to the hotel sector in Barcelona in July last year did not catch the market by surprise, since a stoppage on the granting of new licenses was foreseen on her electoral program, while the hotel industry of the city was being reassessed. What surprised and angered the industry was the fact that the measure would affect projects already underway. 
Drivers of these establishments were quick to wield legal certainty to carry out their plans and threatened the City Council with highly expensive sues. 
The moratorium affected more than forty projects, some of them at a very early stage but others whose paperwork had been worked for months. Many of them alleged back then that they held a urban  certificate legally binding the council to accept licenses for processing and stating they were allowed to carry on with the project. 
The City Council, which at first denied this, has been six months later forced to accept these license applications. In total, seven requests have been accepted for processing, which will now come under consideration for compliance with the regulations. Among these seven projects we find Emin Capital, which bought Torre Agbar to open a Grand Hyatt, and Me que projects by Melia at Caspe Street. Two months earlier, Colau team had already unlocked Meridia Capital project in the former headquarters of Henkel and that of Amancio Ortega in the old headquarters of Banesto, where the opening of a hotel with Iberostar is planned. 
In addition to the ongoing projects that were affected by the measure, the moratorium adopted by Barcelona en Comú has stopped the investments in new hotel projects. Another immediate consequence was the rise in the value of existing establishments. Unable to open new hotels, investors have directed towards those which already had a license, those which have raised their sales expectations.

Concern     

The sector is now awaiting the development of the plan being made by Ada Colau on hotel regulation by neighborhood. Hotel entrepreneurs are worried that Mayoress has spoken of a possible “decrease” in some areas.

Original story: Expansion (by Marisa Anglés)

Translation: Aura Ree

A UBS Fund Buys The ‘Cornerstone’ Office Complex For €80M

22 July 2015 – Expansión

A fund managed by the Swiss group UBS has purchased the Cornerstone office complex, in the 22@ district of Barcelona, for €80 million. The asset was previously owned by the British fund Benson Elliot.

The building was developed by Benson Elliot and its construction was completed in 2013. A year and a half after opening, it has an occupancy rate of 70% and its tenants include ADP and Henkel. The transaction was advised by Cushman & Wakefield.

The office complex has a total surface area of 20,700 m2 and is located in the neighbourhood of Poblenou in Barcelona, known as the 22@ district, one of the new business areas in the city.

Original story: Expansión (by Marisa Anglés)

Translation: Carmel Drake

Meridia Finalises The Purchase Of Nine Buildings From GE

23 February 2015 – Expansión

For €100 million / Javier Faus’ fund will take ownership of the offices located in Barcelona, Sabadell and Madrid.

The fund manager Meridia Capital, led by Javier Faus, the Vice President of Barcelona Football Club, and Juan Barba, the former Director of Transactions at Sareb, is finalising a new acquisition in the Spanish market: a property portfolio currently owned by General Electric Real Estate.

The private equity fund manager has been negotiating the purchase (with GE) for more than two months. The target: a batch of nine office buildings that have a total surface area of 75,000 square metres. The properties are mainly located in Madrid and Barcelona, although there is also one building in Sabadell.

Most of the buildings are located on the outskirts of their respective cities and have an occupancy rate of almost 70%, which means that the fund manager could generate value by increasing the number of tenants and therefore, its rental income.

According to sources close to the process, Meridia will pay General Electric’s real estate division €100 million for the batch.

GE’s real estate arm will present the transaction to its shareholders for approval at the shareholders’ meeting to be held on 4 March in Madrid. GE’s advisor, Cushman & Wakefield, has declined to comment.

A new fund

The fund manager will undertake the transaction through its new fund, Meridian Iberian Real Estate Fund (Miref), the second investment vehicle launched by the company, which it hired Juan Barba to lead.

The previous fund, launched by Faus, was exclusively dedicated to investments in hotels. It purchased eight high-end properties, all over the world; almost all of them have now been sold, with the exception of a hotel in Paris, managed by Starwood’s W brand.

Miref has a budget of €150 million, which could equate to an investment volume of €400 million after accounting for bank financing. The fund seeks to invest in all segments in the real estate market, from offices, to commercial assets, to logistics facilities to hotels.

Miref’s first transactions have included the purchase of Henkel’s former headquarters in Barcelona for €14.4 million, which it plans to convert into a hotel, and the acquisition of a batch of ten Consum supermarkets. Last year, it purchased the Albufera Park shopping centre in Madrid for €21 million, also from GE Real Estate.

Meridia’s acquisition of these nine office buildings is just another example of the interest being shown in offices, which together with commercial assets, are the properties in highest demand. In 2014, investment in these types of properties amounted to €2,500 million (triple the amount invested in 2013), with 67% of the assets located in Madrid and 33% in Barcelona, according to Aguirre Newman.

Original story: Expansión (by R. Ruiz and M. Anglés)

Translation: Carmel Drake