Domo Buys Desirable Plot of MOD For €111.05 Mn

5/11/2014 – El Mundo

After months of keeping the sector on the tenterhooks, the sale of the plot located at 50 Raimundo Fernandez Villaverde street in the center of Madrid singled out the winner: Domo Gestora. The co-operatives manager purchased the piece of land from the Ministry of Defence for a price of €111.05 million.

Domo Gestora, under the brand name Residencial Maravillas S. Coop. Mad., bought the closed block formerly housing the TPYCEA, Spanish artillery research and electrotechnical testing center, situated adjacently to the Nuevos Ministerios light railway station and the Paseo de La Castellana street. The company offered €20.77 million more than the €90.28 million amount the Ministry set as the asking price.

At the bidding, Domo emerged ahead of such leading firms as Construcciones Amenabar (attending as Amenabar Arroyo del Fresno Avantium SL), Ferrovial (Vergara Promoinvest SL) and Pryconsa (Promociones y Construcciones PYC Pryconsa SA). Specifically, Amenabar submitted a €103 million bid, Ferrovial offered €102.19 million and Pryconsa €95.59 million.

Domo Gestora’s portfolio includes a plot at 13 Guatemala street and one at 58 Cavanilles street, recently acquired from the Metro of Madrid.

President of the company, Feliciano Conde did not hide his satisfaction from the purchase: ‘it represents triumph of the cooperative economy’, he assured.

Domo Gestora has designed a project for the 54.225 buildable square meters of the plot, assuming construction of 355 unsubsidized homes priced at €325.000 each. Two- to five-bedroom dwellings inside a private estate with a swimming pool and common areas will soon come up for sale. As the company claims, 90% of the products is already reserved and the rest of the apartments will be sold like hot cakes thanks to this deal. All will be handed over the soonest at the end of 2017.

According to experts, the feverous competition about the plot demonstrates revival of the residential development market in Madrid.

The Public Administration has got many more properties placed up for sale, giving an opportunity to the investors to build up thousands of new apartments in the very center of the capital.

 

Original article: El Mundo (by Jorge Salido Cobo)

Translation: AURA REE

Ferrovial, Domo, Amenabar & Prygesa Compete For Alluring Plot of MOD

31/10/2014 – El Confidencial

Within less than a week the sector will know the name of the new owner of the Madrid downtown plot sold by the Ministry of Defence that is asking €90.3 million for it. Merely 500 meters from the popular Paseo de la Castellana street and located on the Raimundo Fernandez Villaverde street, one may find the most attractive 14.500 square meters currently up for sale in the capital. The piece of land has been listed at portal Addmeet.com for one and half year.

Despite the commotion and interest the parcel invoked, only four companies presented their binding bids: Ferrovial, co-ops manager Domo, Basque builder Amenabar and Prynconsa’s branch Prygesa.

Participation of Ferrovial is somewhat surprising as the firm sold its residential development arm to Habitat in 2006. Allegedly, it operates on behalf of a fund. At one time, the company constructed more than 200 dwellings on land which used to house the old Madrid’s Town Planning Department, situated in the cofluence of the Guatemala, Alfonso XIII, Paraguay and the Puerto Rico streets. The piece of land was purchased by La Cooperativa EAI 310 for €65 million. Further on, the company named Domo Gestora de Viviendas to manage and develop the project.

Domo itself is another bidder at the tender for the Defense’s plot. If the firm wins, it will build 355 homes ranging from one to five bedrooms at a price fixed between 3.200 and 3.300 Euros per square meter. True bargain as for the Rios Rosas neighborhood inside the Chamberi district, where a year ago prices oscillated around 4.400 euros per built square meter, data by Foro Consultores. Also, Domo takes part in an auction of another plot in Madrid, located at 58 Cavanilles street, up for sale by Metro.

Next candidate to buy the piece of land of the Ministry is Basque builder Amenabar. ‘It is a proven, solvent company with great potential from the economic point of view’, sources from the sector describe it. Few years ago, Amenabar purchased several plots intended for subsidized housing in Arroyofresno from the city of Madrid.

The last player is Prygesa, company belonging to Pryconsa Group, one of the few recession survivors. Its project for the land assumes construction of 310 dwellings, from two to six bedrooms. Besides, Pryconsa bids for the Cuatro Caminos depots of Metro, shoulder in shoulder with Ibosa.

To take part in the auction, all bidders had to hand a 5% deposit equal to 4.513.913,25 Euros.

How high may the price reach?

The Ministry of Defense asks €90.3 million for the plot which is, in the sector’s opinion, a very low listing price. Therefore, the offers for sure will aim above that level but will not exceed €110 million.

 

Original article: El Confidencial (by Elena Sanz)

Translation: AURA REE

Funds, Co-ops & Insurers Bid For Very Desirable Plot of MOD

22/10/2014 – Expansion

Today is the deadline for submitting bids for one of the most wanted plots in Madrid’s downtown currently up for sale. To refresh the memory, the Ministry of Defense sells land located on the Raimundo Fernandez Villaverde street in the capital, adjacently to the Azca and the El Corte Ingles – Nuevos Ministerios department store.

The parcel, formerly carrying the headquarters of Tpycea (Spanish artillery’s electrotechnical improvement center), has 14.546 square meters, as well as 54.225 buildable square meters, with a cap height permitted of 8 stories. The plot is intended for all residential, office, hotel and retail building structures.

Asking price of the piece of land amounts to €90,278 million, as per real estate portal addmeet.com that trades the plot.

Until now, nearly 20 potential buyers have got interested in the property, mostly cooperative housing managers (project of Ibosa for the land pictured), international mutual funds, insurance companies and financial entites, among others.

The plot will be auctioned on November 5th.

 

Original article: Expansión (by Rocío Ruiz)

Translation: AURA REE