Investor Focus in Spain Turns to Student Housing

16 December 2019 – The student housing sector in Spain is in the midst of an almost unprecedented boom. The country is home to 500,000 non-resident students, 100,00 of which come from the Erasmus program. The problem and the subsequent opportunity stem from the fact that a large part of the current supply of rooms is outdated and unattractive. Returns on student housing projects also tend to pay around 5% compared to 3-3.5% for residential and office developments.

There are currently 20 consortiums of institutional investors, local developers and housing operators investing in student housing projects in Spain. Grupo Moraval is the largest developer of student residences by the number of beds and plans to develop 6,500 places in Madrid, Barcelona, ​​Bilbao, Salamanca, Pamplona, ​​Seville, San Sebastián and Malaga by 2023. That figure is equal to 25% of the new residences planned for inauguration over the next three years.

Market studies by Grupo Moraval have shown that, between 2019 and 2022, the supply of beds is projected to grow by 22%: 94,000 beds in 2019 (3.3%), 99,500 seats in 2020 (5.9%), 106,500 in 2021 (7%) and 111,000 beds in 2022 (4.2%). nvestors are planning one billion euros in total investments by the time, according to Nick Wride, a director at JLL Spain.

That growth is already forecast to increase the capacity for supplying students with accommodations to 30% in Madrid, Barcelona, ​​Seville, Bilbao, Valencia and Pamplona. At the moment, the supply in those cities is enough for just 15% to 20%.

Original Story: El País – Sandra López Letón

Adaptation/Translation: Richard D. K. Turner

Archbishopric of Madrid Sells Home for Senior Citizens to the University of Nebrija

19 November 2019 – The Spanish Catholic Church has sold the Fundación Santísima Virgen y San Celedonio senior citizens’ residence to the University of Nebrija for 37 million euros. The home, located on Calle Padre Damián 22, just a five-minute walk from the Santiago Bernabéu stadium in Madrid. Residents were informed of the sale last March but have yet to learn any further details. Nineteen nuns, 163 senior citizens and 29 workers currently live at the site, and all of them have been told that they must leave the premises on November 8, 2021. The sale is the Archbishopric of Madrid’s second in less than a year.

Sources at the foundation noted that the sale of the 18,512-m2 facility was approved by 90% of the elderly residents’ families, but those same families have yet to receive any additional information about where they will go. The foundation and the archdiocese say that they are looking into developing a large residential complex, possibly in El Cañaveral (Vicálvaro).

However, the archdiocese has yet to buy any land or commission any projects for the complex. Furthermore,  there are only two years until the residents must leave.

The sale, which was concluded in November of last year, was for 37 million euros, to be paid in four instalments. The University of Nebrija plans to convert the site into a student residence and possibly a new college.

Original Story: El País – Manuel Viejo

Photo: Kike Para

Adaptation/Translation: Richard D. K. Turner

Xior Acquires Two Student Residences in Barcelona for €41 Million

28 October 2019 – The Belgian student housing operator Xior Student Housing announced that it had reached an agreement to acquire two new student residences in Barcelona, ​​for a total of 41 million euros.

Xior reached an agreement to acquire The Lofttown residence, a 78-room, 140-bed residence in Barcelona. The asset is currently operational and is located near the Paseo de Gracia, a short distance from several universities and the city’s historic centre.

The firm also acquired Collblanc, another student housing development in the same city. The residence will have a minimum of 128 rooms, with several common areas, and will also operate under The Lofttown brand. The project is currently in the licensing stage, with delivery expected in 2021.

Original Story: Idealista

Adaptation/Translation: Richard D. K. Turner

Temprano Inaugurates Student Residence in Barcelona

28 October 2019 Temprano inaugurated a new student residence in Barcelona last month, its first foray into that market in Spain. The residence is located next to the Finestrelles shopping centre, in Esplugues de Llobregat.

The residence, which is operated by the firm Livensa Living, has 10,500 square meters of space and 372 rooms, including singles and doubles. The rooms, which have between 19 and 39 square meters of surface area, each have a kitchen and a private bathroom.

The property has common areas, including a swimming pool, gym, sauna, library, audio-visual room and a games room.

Original Story: Eje Prime – M. V. O.

Adaptation/Translation: Richard D. K. Turner

Corestate to Invest €30 Million in New Student Residence in Barcelona

21 October 2019 – Luxembourg-based Corestate Capital Holding will invest thirty million euros in developing a new student residence at Calle Pallars 489, in the city’s technological district, 22@, near then Pompeu Fabra University.

The building, which should be ready by 2022, will have a net leasable area of 4,550 square meters, with 257 flats for a total of 265 students. The new student residence will also have a co-working space, as well as two terraces, a swimming pool and a gym.

The company’s student housing provider, Youniq, will operate the residence. That firm already manages four other student residences in Spain.

Original Story: Eje Prime – Marta Casado Pla

Adaptation/Translation: Richard D. K. Turner

Syllabus and Invesco Developing Nine Student Residences in Spain and Portugal

21 October 2019 – Urbania’s subsidiary Syllabus, which signed an agreement with Invesco at the beginning of the year, currently has projects for nine student residences underway in Spain and Portugal.

In total, the firm’s investments will add 3,000 beds to its portfolio, in addition to the 2,500 it had already planned to build by 2021. The total investment in the nine projects in Spain and Porto is forecast to exceed €150 million.

The company is planning or building two student residences in Madrid and one each in Valencia, Malaga, Pamplona, ​​Seville, Salamanca and Porto in addition to other investments the firm has yet to disclose.

The projects are part of a collaboration agreement Syllabus signed with Invesco at the beginning of the year. The two firms agreed to invest 250 million euros over five years in student residences in Spain.

Original Story: Eje Prime – Marc Vidal Ordeig

Adaptation/Translation: Richard D. K. Turner

Aldara Building Three New Student Residences in Oviedo, Salamanca and Barcelona

14 October 2019 Aldara, a Spanish developer, is building three new student residences in Oviedo, Salamanca and Barcelona. The three new developments will add a total of 983 new beds to the company’s portfolio in a combined investment of sixty million euros.

The development in Oviedo is in the early stages of construction, with plans for 317 beds to be ready by May 2021. The complex consists of three buildings, with an area of 2,739 square meters and parking for 77 vehicles.

The project in Salamanca will have 270 rooms (July 2021), while the one in Barcelona will have room for 400 students (July 2022).

Original Story: Eje Prime – Marc Vidal Ordeig

Adaptation/Translation: Richard D. K. Turner

Corestate to Invest €25 Million to Build New Student Residence in Salamanca

20 July 2019 – Richard D. K. Turner

Corestate Capital Holding, an investment fund based in Luxembourg, will invest 25 million euros to develop a student residence on Calle Santiago Diego Madrazo, next to the University of Salamanca.

The property will have a net leasable area of 4,000 square meters, including 258 flats and 301 beds. The building will also have several common areas such as a TV room, gym and terrace, along with 74 parking spaces.

Original Story: Eje Prime – Marta Casado Pla