Habitat to Invest €120M+ in More than 20 Developments in 2019

9 May 2019 – Eje Prime

Last year, Habitat Inmobiliaria, the property developer owned by Bain Capital invested €120 million in the purchase of 27 plots across Spain. The plan is to repeat that activity in 2019 with the launch of twenty developments and the commencement of building work at 25 sites.

So far this year, the firm has already purchased six plots for €52 million, has launched eleven developments comprising 1,207 homes. It has also started building work at 9 sites comprising 800 units.

The company’s medium-term plan is to invest €500 million in land purchases between 2018 and 2021 in order to achieve a cruising speed of 2,000 new home deliveries per year from 2021 onwards.

In parallel, the company is considering industrialising two of its developments, although its CEO, José Carlos Saz, is somewhat sceptical about the industrialisation of construction.

In total in 2019, Habitat expects to hand over around 300 homes in 2019, with that figure rising slightly in 2020. Such forecasts are now under the spotlight after Neinor disappointed the market by revising downwards its expected home deliveries in April.

Original story: Eje Prime (by Marta Casado Pla)

Translation/Summary: Carmel Drake

Habitat Acquires a Plot in Valencia for the Construction of 96 Homes

29 March 2019 – Levante EMV

The property developer Habitat has purchased a plot of land on Calle Bomber Ramón Duart in the Quatre Carreres neighbourhood of Valencia, for the construction a 96-home residential property. The company, which is backed by the US fund Bain Capital, is already building 600 homes in the Community of Valencia and plans to invest €500 million in land purchases across Spain between now and 2021.

In its latest operation, the real estate company has acquired a plot measuring more than 3,100 m2 with a buildability of 14,000 m2, which will involve a total investment, including the construction work, of €30 million. The operation forms part of the strategic and business plan that the company, chaired by Juan María Nin and led by José Carlos Saz, is carrying out.

Original story: Levante EMV (by Ramón Ferrando)

Translation/Summary: Carmel Drake

Habitat Completes the Purchase of 4 Plots of Land for €14M

21 December 2018 – Eje Prime

Habitat is also going Christmas shopping. The property developer, in which Bain Capital holds a stake, is going to complete the acquisition of four plots of land next week, with a combined investment of €14 million, according to a statement from José Carlos Saz (pictured below), the CEO of the company, speaking to Eje Prime.

With these transactions, the company is planning to end the year with €127 million of investment in the acquisition of buildable land for the construction of 2,800 homes. “We have exceeded the forecasts that we announced in October”, said the Executive, who also added that the company has focused its efforts beyond “the areas where everyone else is building, such as the Costa del Sol, Madrid and Levante”, especially during the final stage of the year.

Proof of that includes two of its latest land purchases: one in Sevilla, announced yesterday and involving the acquisition of two plots, and the other in Oviedo, which has resulted in the company’s debut in Asturias. “We have no predilection for any city or region in particular, rather we expand to wherever there is demand and we can generate returns on our investment”, said the director.

Rigour and realism are the two factors that are governing this new phase for the property developer, which starred in Spain’s second largest bankruptcy proceeding in 2008. “The arrival of Bain Capital has represented a critical boost for the re-launch of the company”, confessed Saz. In fact, the company aims to invest €500 million in the purchase of land across the country between now and 2021.

Despite the property developer’s ambitious plans, its CEO clarified that its objectives do not include “becoming one of the largest firms” or being the company that sells the most homes. In this sense, the executive confirmed that “under no circumstances”, does his firm want to return to having a workforce of 900 workers, like it did with the first Habitat. For Saz, the ideal team would comprise around 130 people, 77 of which have already been recruited during 2018.

Similarly, expansion into Portugal does not form one of the company’s objectives either. In fact, Habitat has opted for a policy of divesting the assets located overseas that it inherited from its first phase.

Challenges (…)

For  José Carlos Saz, the major challenges facing the property developer sector at the moment are the lack of buildable land, the increase in construction costs and the need to finish professionalising and standardising the industry (…).

By the end of 2018, Habitat’s land portfolio will comprise a surface area of 1.1 million m2, with capacity for the construction of 10,000 homes. Currently, the company has 33 developments under construction, corresponding to 3,000 homes in total. Of those, 800 units are in the construction phase and the rest are in the planning phase. This year, the company has started to market 1,700 homes and has handed over 270 residential assets distributed across three developments.

Original story: Eje Prime (by Berta Seijo)

Translation: Carmel Drake

Habitat Acquires 25,000 m2 of Land in Las Palmas de Gran Canaria, Málaga & Valencia

12 November 2018 – Habitat Inmobiliaria

Habitat Inmobiliaria has acquired around 25,000 m2 of land in Las Palmas de Gran Canaria, Málaga and Valencia, where it is going to build 206 homes. In total, the investment that the company is going to make, once it has finished the projects, will exceed €44 million.

These acquisitions form part of the land purchase strategy that the company is carrying out and which will involve the investment of around €120 million by the end of the year, and €500 million in total by 2021. In this way, the business plan of the property developer will allow it to build new developments to enable a delivery rate of more than 2,000 homes per year from 2021 onwards.

“These land purchase operations are a consequence of the clear purpose of Habitat Inmobiliaria to continue carrying out an active investment policy, which will allow us to place ourselves amongst the most active companies in the Spanish property developer market”, said José Carlos Saz, the company’s CEO.

Acquisition of land

In Las Palmas de Gran Canaria, the company has purchased a plot with a buildability of more than 11,000 m2 located on the Carretera de Chile. A residential development comprising 104 homes is going to be built on the plot and will involve a final investment of around €21 million.

In Vélez Málaga, Habitat Inmobiliaria has acquired a plot with a buildability of more than 8,000 m2 in the Cortijo del Conde Urbanisation (Chilches), on which it is going to build a residential development comprising 54 semi-detached houses. The plot, which is near to the Málagan coast, is located in a very established residential area in the province. The project, once finished, will involve a total investment of more than €14 million.

Meanwhile, in Valencia, the company has completed the purchase of land measuring more than 5,000 m2, on which it is going to build a 48-home residential development. The plot, located in the PAI Malilla Norte, will involve an investment of €9 million, once the project has been finished.

Original story: Habitat Inmobiliaria

Translation: Carmel Drake

Habitat Starts Marketing 124 Homes in Valencia

31 October 2018 – Eje Prime

Habitat Inmobiliaria is continuing to squeeze its land in Valencia. The Spanish property developer, owned by the fund Bain Capital, has started marketing 124 homes in the provincial capital, through which it will expand its presence in a community that the company considers to be strategic for its growth plan.

The company led by José Carlos Saz has launched two projects onto the market: Habitat Malilla Parque, with 56 homes, and Habitat Las Moreras, comprising 68 flats. These developments follow three others that are already being marketed by the real estate company.

So far this year, the property developer has invested around €70 million in the purchase of land and is working on operations on which it is planning to spend another €50 million over the coming months. The company’s objective for 2018 is to invest more than €120 million to expand its portfolio of buildable land in Spain.

Habitat currently has a €500 million land investment plan underway, spanning the next three years. The property developer intends to hand over more than 2,000 home each year from 2021. In 2018 alone, the real estate company has acquired 16 plots all over Spain (Madrid, Sevilla, Valencia, Cantabria and the Canary Islands), and has whereby incorporated 200,000 m2 into its land bank for new developments.

Original story: Eje Prime

Translation: Carmel Drake

Habitat will Invest €500M in Land Purchases by 2021

23 October 2018 – Expansión

Habitat, the property developer controlled by the investment fund Bain Capital, is planning to invest €500 million in land purchases between now and 2021.

The company, which has unveiled its business plan for the next few years, expects to hand over 2,000 homes per year from 2021 onwards. Currently, Habitat owns 800,000 m2 of land for the construction of 9,000 homes.

“Bain has provided sufficient capital to finance the purchase of land with own funds. There is no debt except for property developer loans”, explained Juan María Nin (pictured above), President of the real estate company.

To date, the firm has invested €70 million in the purchase of land and it is planning to invest an additional €50 million over the coming months with the aim of continuing its growth.

Brad Palmer, Managing Director and Head of Bain in Europe, said that following the entry of the fund, the company is “healthy and ready to grow”.

Palmer indicated that, for the time being, the fund is not thinking about an IPO, but rather is focusing on the purchase of land, constituting a good professional team and offering a high-quality product for its clients.

Similarly, he indicated that, in a market as fragmented as Spain, consolidation between real estate companies is possible, although it is too early to say what role Habitat will play in that process.

The CEO of Habitat, José Carlos Saz, indicated that although most of the portfolio is buildable land, the property developer is also opening the door to buying land under management.

Saz also said that the property developer plans to close the year with revenues of almost €100 million and a positive gross operating profit (EBITDA).

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

Bain Appoints Juan María Nin as New President of Habitat

26 June 2018 – Eje Prime

Habitat is continuing to compose its governing body. The real estate company, which has been owned by Bain Capital since last year, has hired Juan María Nin (pictured below) as the new President of the company. The director is already a member of the Boards of Directors of Azora, Société Générale and Azvi.

Nin is joining the Catalan property developer at a time when the management team is being rebuilt by the US fund, which recently hired José Carlos Saz, formerly of Neinor Homes, as its new CEO.

The executive, who holds a degree in Law and Economics from the University of Deusto and a Masters in Law and Political Science from the London School of Economics, has enjoyed an outstanding career in the Spanish business world. Nin has held positions of responsibility at several banks including Santander, Sabadell and CaixaBank (…).

Habitat, which was acquired by Bain in December last year for €220 million, currently has a portfolio of projects underway in Spain, with more than 1,000 new homes being marketed in Madrid, Barcelona, Málaga, Sevilla, Córdoba, Valencia and Las Palmas de Gran Canarias. Of those, the real estate company has 700 homes under construction and expects to hand over more than 550 homes in the next twelve months.

Original story: Eje Prime

Translation: Carmel Drake

Habitat Appoints José Carlos Saz as its New CEO

29 May 2018 – La Vanguardia

Habitat Inmobiliaria has appointed José Carlos Saz (pictured below) as the CEO and most senior executive of the company, with the objective of boosting growth in the Spanish real estate market through an active investment policy.

Saz has said that the target will be “high-quality urban development projects” close to large Spanish cities, according to a statement issued by Habitat today.

Habitat Inmobiliaria’s new CEO holds a degree of Industrial Engineering from the Escuela Superior de Madrid and is a graduate of the Director Development Program at IESE.

In recent years, Saz has served as the Operations Director at Neinor Homes and prior to that, he held positions of responsibility at LV Salamanca Ingenieros, Abengoa, Mutua Madrileña, Mace and the British construction firm ISG, amongst other companies.

Original story: La Vanguardia

Translation: Carmel Drake