AXA Negotiates with ACS to Build 2 Office Blocks on Paseo de la Dirección in Madrid

29 May 2019 – Eje Prime

The insurance company AXA is holding negotiations with the construction company ACS to build two office buildings on plots that it owns on Paseo de la Dirección in Madrid.

The towers would be similar in height to the residential skyscrapers that Stoneweg is planning to build on the same street. They would include restaurants and shops, which would serve to regenerate activity in the Tetuán neighbourhood.

Original story: Eje Prime 

Translation/Summary: Carmel Drake

Cuatrecasas’ Family Office Buys Plot Of Land To Build 6 Offices

5 July 2017 – Eje Prime

The Cuatrecasas family has strengthened its real estate portfolio in Barcelona. Emesa, the investment arm of Emilio Cuatrecasas, has bought 31,000 m2 of land in Project Finestrelles, located in Esplugues de Llobregat (Barcelona), where it plans to build six office blocks, according to sources close to the operation. These plots were owned until now by Vaines, which was a subsidiary of Metrovacesa until five years ago.

Project Finestrelles has been assigned three uses, including the residential part, measuring 90,000 m2 for the construction of housing; the commercial area, where Inbisa has already started work on a complex measuring more than 99,000 m2; and offices. The latter space is divided into two projects: the first is being handled by Sacresa, owned by the Sanahuja family, which is building two office blocks, measuring 22,000 m2 each.

The second project was owned by Vaines until now. Emilio Cuatrecasas plans to construct a business park containing six offices blocks. This project received the green light in 2014, after twelve years of administrative procedures, and so now it is beginning to take shape. Emesa declined to comment on the operation, whose price has not been revealed.

In total, Finestrelles has a surface area of 395,000 m2, between Avenida Dels Països Catalans, the Ronda de Dalt, the A-2 motorway and Calle Laureà Miró. The plans for the site, which have driven by Sacresa, have received the blessing of the Town Hall from the beginning, although it is only now that the so-called “new Diagonal de Barcelona” is starting to take shape.

In this way, Emesa is taking another step towards its goal to increases its portfolio of assets. Excluding the Finestrelles operation, the group owns real estate assets covering around 125,000 m2, which represent more than half of the group’s assets, worth more than €480 million.

In recent months, the investment arm of Emilio Cuatrecasa has carried out several acquisitions. Its purchases have included number 444 on Avenida Diagonal, for which it paid €35 million. The property, known as the Majorica building, has three façades overlooking Diagonal, Paseo de Gràcia and Calle Còrsega, and until last December it housed some of the law firm Cuatrecasas’ offices.

Last summer, Emesa also completed the acquisition of a unique asset. The investment group purchased the Ullastrer palace in the Baix Empordà area, with the aim of promoting a premium hotel chain. The estate, known as Can Romaguera, is being restored and has up to 2,500 m2 of space for hotel use, with an investment of €7 million.

The asset portfolio of Emesa, led by Ferran Forrellad, is completed by: a building at number 191 on Avenida Diagonal, which houses the new headquarters of Cuatrecasas; a property at number 579 on Avenida Diagonal, which is home to the headquarters of Emesa; two office buildings in Mas Blau; and a logistics park in El Pla de Santa María, in Tarragona.

Original story: Eje Prime (by Custodio Pareja)

Translation: Carmel Drake

German Bad Bank Finalises Sale Of Spanish Assets To Oaktree

8 May 2015 – Cinco Días

Over the next few weeks the German bad bank is expected to sell the assets that it owns in Spain. FMS Wertmanagement expects to sell the so-called Gaudí portfolio, which contains properties in Spain and Portugal, in a single transaction to Oaktree.

“Now is the time to sell the whole portfolio”, said José Holgado yesterday, Commercial Director of FMW Wetmanagement, at the Spanish real estate market’s second investment forum, which was held yesterday as part of SIMA (Salón Inmobiliario Internacional de Madrid or Madrid International Real Estate Fair). Holgado estimated that the value of the portfolio amounts to almost €900 million, although that is the nominal value, which will be reduced during the final negotiations.

The German entity, created in 2010 with assets from the nationalised Hypo Real Estate bank, operates in the same way as Sareb, the Spanish bad bank. Although the nominal value (of the portfolio) is almost €900 million, it is understood that these non-performing loans and assets have lost value since the start of the housing crisis, therefore they will be sold at below market prices, in the same way as (the assets sold by) the Spanish Sareb. Moreover, since (the portfolio is being) sold on a wholesale basis, the cost will also decrease.

Although several funds have valued FMS Wertmanagement’s portfolio, in the end it will be the Californian fund Oaktree, owner of Panrico, which takes over the Gaudí portfolio, subject to the negotiation of the final details. One of the most significant assets in the portfolio is the luxury Hotel Arts de Barcelona, a five star property managed by Ritz-Carlton. This complex was acquired by several buyers in 2006, including one company that was linked to the Singapore fund GIC. The German bank Hypo Real Estate was one of the entities that granted loans (to it). Once HRE was nationalised, part of the unpaid, syndicated debt was transferred to FMW Wertmanagement.

Other funds

According to the specialist publication CoStar, in addition to Oaktree, the portfolio also sparked interest from other funds including Cerberus Capital Management, Orion Capital Managers and Colony Capital. That publication estimates that the final price of the transaction will amount to approximately €500 million.

The sale of the Gaudí portfolio, which is being managed by Cushman & Wakefield, comprises 16 loans in Spain and two in Portugal. According to sources close to the transaction, Oaktree would immediately acquire another five star hotel in Cascais (Portugal), five shopping centres, four office blocks, 17 industrial storerooms, as well as several other residential and industrial assets.

The shopping centres include the MegaPark in Barakaldo (Vizcaya), Heron City de Las Rozas and Plaza Éboli, both in Madrid.

According to Holgado, FMW Wertmanagement commenced operation holding debt from assets worth €175,000 million, of which €100,000 million have now been sold. The director of the German bad bank said that now is the right time to sell given the significant liquidity in the market.

Original story: Cinco Días (by Alfonso Simón Ruiz)

Translation: Carmel Drake