Trajano Iberia Receives Offers of €60M+ For its Manoteras Business Park

2o June 2019 – El Confidencial

The Socimi Trajano Iberia has received several offers amounting to more than €60 million for the Isla de Manoteras Business Park in Madrid that it purchased three years ago for €44.3 million.

The asset, located on Avenida de Manoteras 48, in the Manoteras, Las Tablas and Sanchinarro office district of the Spanish capital, has a leasable surface area of 13,442 m2 and 274 parking spaces.

The Socimi created in 2015, which is managed and promoted by Deutsche Bank and in which the Alcaraz brothers hold a 10.55% stake, is hoping to close the operation at the beginning of July.

Original story: El Confidencial (by E. Sanz)

Translation: Carmel Drake

Tristan Capital & Savills IM Buy 6 Office Buildings in Madrid

6 October 2018 – Real Estate Press

Tristan Capital Partners, together with its local operating partner Savills Investment Management, has acquired a portfolio of offices spanning 78,000 m2 in Madrid from the Socimi Inmobiliaria Colonial for the added value fund Episo4.

The portfolio comprises six Grade A office buildings located in established sub-markets outside of the Spanish capital’s business district: Campo de las Naciones, Josefa Valcárcel (A2) and Arroyo de la Vega (A1), as well as Agustín de Foxá, in the district of Chamartín. The portfolio offers immediate and large-scale exposure to the office market in Madrid, as well as a well-diversified tenant mix, and has the capacity of capturing an expected increase in rents.

Nikolay Velev, CEO of Tristan Capital Partners, said: “After several years of solid economic growth, job creation and a shortage of new developments, an imbalance has been generated between supply and demand in the office market in Madrid, which has resulted in a high net absorption of space and a considerable growth in rents. This trend has been particularly strong inside the M-30 and the differential in rents between offices located inside and outside the central district is now at a historical high. We hope that this gap will be reduced over time”.

The local operating partner will be Savills Investment Management with which CCP 5 LL (Tristan’s core-plus fund over the long term) successfully completed the acquisition of the Manoteras business park (Madrid) in 2017 for €103 million.

Fernando Ramírez de Haro, Head of Savills Investment Management in Spain, stated: “We are delighted to expand our relationship with Tristan through this portfolio. The buildings are of an excellent quality and are highly energy efficient. Moreover, they offer modern and flexible spaces, making them ideally positioned to capture the increase in rents and the growth that is expected to take place outside the M-30”.

Tristan Capital and Savills Investment Management have been advised by Savills Aguirre Newman, Uría Menéndez, Currie & Brown and PwC.

Original story: Real Estate Press

Translation: Carmel Drake

Catella: RE Inv’t Rose By 60% During First 8 Months To €7,061M

25 September 2017 – Expansión

The Spanish real estate market is still a magnet for investment at the global level. In this way, during the 8 months to August, investment in tertiary real estate assets (in other words, non-residential properties) rose to €7,061 million. That volume is 62% higher than the figure registered during the same period in 2016, according to data from the consultancy firm Catella (…).

By type of properties, commercial assets accounted for 45% of the total investment, with a volume of more than €3,200 million, up by 52% compared to the first eight months of 2016. In fact, that figure already exceeds the amount recorded for last year as a whole and is very close to the record investment made in 2007, when commercial assets worth more than €3,590 million were sold, according to sources at the consultancy firm.

Of that amount, investment in shopping centres accounted for 60% of total retail investment, amounting to €1,929 million. The figure is explained by the completion of major operations, such as the purchase of Xanadú, in Arroyomolinos (Madrid), on which Intu Properties spent €530 million; and the operation involving Nueva Condomina, in Murcia, which Klépierre purchased for €233 million.

Interest

Large assets were not the only retail assets to spark interest: high-street premises were also on investors’ radars. As such, €711 million was spent on that type of property between January and August, with highlights including operations such as the purchase of Preciados 9, the future flagship Pull & Bear store in the centre of Madrid, by Generali for €98 million. Meanwhile, investors spent another €516 million on retail parks and supermarkets, with the operation involving a portfolio of nine retail parks leading the way – the South African investor Vukile spent €193 million on that purchase.

In the case of offices, investment increased by 46% to reach €1,512 million. “The Boston portfolio – comprising 14 office buildings located in Barcelona, Madrid and Valencia – owned by BBVA and acquired by Oaktree for €180 million has been the most important transaction so far this year. In Madrid, the most significant transaction saw the acquisition of the Manoteras business park by Tristan Capital (€103 million), whilst, in Barcelona, the most high-profile deal has been the purchase of Torre Agbar by Merlin Properties (€142 million”, say sources at Catella.

During the first 8 months of 2017, hotel purchases rose by 25% to reach €1,760 million, thanks to operations such as the one involving Edificio España, for €272 million, as well as the purchase starring the international fund London & Regional (which acquired four hotels located on the coast and islands for €240 million), as well as others involving Starwood and KKR.

Moreover, the logistics sector has not been left behind in terms of the increase in investment. Between January and August, that segment saw investment grow by 31% to reach €575 million. (…). In this area, the most significant operation has been the sale of GreenOak’s portfolio to P3 Logistics Park for €243 million.

Whilst retail assets were the star product by type of property, international funds continued to be the undisputed stars in terms of buyer profile.

Between January and August, funds accounted for 42% of the total volume invested; whilst real estate companies represented 28% of the total (…). Meanwhile, the Socimis, who were the most active investors in 2014 and 2015, have seen their share of the cake decrease to 11% so far this year.

“On the other hand, core investors have returned to the market, with the acquisition of prime properties located in Madrid and Barcelona. Insurance companies, family offices and other institutional investors have purchased assets such as offices and retail premises in Madrid, with yields of around 3%”, said Carlos López, Partner at Catella.

Year-end

“…We expect 2017 to be a record-breaking year, with an investment volume of around €10,000 million, compared to the figures of more than €8,500 million in tertiary investment in 2016”, says López (…).

Original story: Expansión (by Rocío Ruiz)

Translation: Carmel Drake