Navarra’s Regional Gov’t Invests €15M in the Purchase of Industrial Land

23 May 2019 – El Español

The Regional Government of Navarra is going to invest €15.2 million in various industrial estates across the autonomous region, through the public company Nasuvinsa, with the aim of “supporting several companies that need to develop land to expand their production capacity”.

The action plan will involve the development and marketing of 309,123 m2 of industrial land in seven areas, specifically, in the Pamplona region as well as in the towns of Arakil, Arguedas, Cascante (or Monteagudo), Lodosa and Lumbier. It will also see the construction of an industrial warehouse in the Sakana area for its subsequent rental.

Industrial reactivation

The Navarran Government is going to develop the land and infrastructure necessary for all seven projects through Nasuvinsa, with a cash injection that will not only encourage the economic reactivation of the areas and the creation of employment, but which will also represent a return to making public investments economically viable.

Original story: El Español 

Translation/Summary: Carmel Drake

Avantespacia Buys Land in Pamplona to Build 164 Homes

11 March 2019 – Europa Press

Avantespacia, the property developer owned by Manuel Jove’s company Inveravante, has purchased two plots in Pamplona for the construction of 146 new homes, whereby expanding into Navarra for the first time.

The plots are located in the city centre, close to Plaza de los Fueras, where it will build 18 luxury homes and next to the Glorieta de Cuatro Vientos, where it will construct 128 luxury homes.

These developments will be added to projects that the company is already working in premium areas of Madrid, Andalucía, the Canary Islands, Asturias, Aragón, the Balearic Islands and Galicia.

Original story: Europa Press

Translation/Summary: Carmel Drake

Urbania to Open a Hall of Residence for Students in Pamplona

18 February 2019 – Expansión

Urbania is increasing its commitment to halls of residence for students. The real estate firm, through its subsidiary Syllabus, is planning to open a new accommodation block for university students in Pamplona, with 300 rooms and an investment of €17 million. This hall of residence in Pamplona will be added to the group’s other projects in Madrid, Málaga and Valencia. Moreover, the group is analysing new opportunities.

The hall of residence in Pamplona will occupy a plot with a surface area of 8,837 m2. Construction will commence in 2019 and is expected to be completed in 2021. This accommodation is going to be constructed in the area near to the El Sadar stadium, a stone’s throw from the Universidad Pública de Navarra and its sports facilities, the Uned campus and less than 2km away from the Universidad de Navarra campus.

The new hall of residence will comprise six storeys and will have an extensive green area inside. As well as the 300 rooms, it will have several shared kitchens, spaces for study, a gym, a cinema area, a coworking space, leisure areas and a laundry (…).

Original story: Expansión (by Rebeca Arroyo)

Translation: Carmel Drake

Catella Invests €200M in Housing in Spain & Enters the Nursing Home Segment

4 February 2019 – Eje Prime

Catella is growing its portfolio in the Spanish market. The Iberian subsidiary of the company’s fund manager, Catella Asset Management Iberia, is starting the year with plans to strengthen its position in all areas of the residential segment: from the traditional market, where it now has a portfolio comprising 1,000 homes, to alternative assets such as student halls and nursing homes for the elderly, a segment that it is planning to enter in Spain.

In Spain, the German manager owns a portfolio worth €250 million in assets under management distributed across Madrid, Barcelona and Pamplona. Most of its portfolio comprises residential rental assets, according to explanations provided by Eduardo Guardiola, Director and Partner of Catella Asset Management Iberia, speaking to Eje Prime.

The company currently has 1,000 homes under management in the Spanish market and its objective for this year is to add another 1,000 units, with an investment of around €200 million.

Catella also wants to strengthen its position in one of the fashionable residential segments: that of student halls. The manager has a fund that specialises in that market, through which it first entered Spain in 2017 with the purchase of an asset in Pamplona (…).

The company is planning to invest between €30 million and €60 million in such assets this year, with the aim of adding three or four new residences in the Spanish market.

The latest asset that Catella is backing are nursing homes for the elderly. The manager has just entered that segment in France, where it purchased six homes for €130 million two weeks ago.

“It is a very fragmented sector that is tending towards consolidation”, said Guardiola. “There are many owners who are also operators, who are now planning to sell their properties to focus on operations, and that opens up an opportunity for those of us who are searching for property”, said the executive (…).

They are non-medicalised assets, for non-dependent people, which include some services within the rental price as well as other ad hoc provisions (…).

Catella Asset Management also operates in the retail segment with retail parks and shopping centres, “provided they have a management component” (…).

Catella Asset Management specialises in the investment and management of real estate assets throughout the whole cycle, until exit. The company purchases existing assets as well as turnkey projects from property developers. In Spain, the group also operates its other line of business, that of real estate consultancy.

Original story: Eje Prime (by Iria P. Gestal)

Translation: Carmel Drake

Corestate to Invest €100M in Student Halls By 2019

4 December 2018 – Eje Prime

Corestate is growing in Spain three years after its arrival. The Luxembourg-based fund manager is going to invest €100 million in the development of new student halls in the Spanish market between the end of this year and 2019, according to comments made by Christopher Hütwohl, the Head of the company in the country, speaking to Eje Prime.

Currently, the group has several plots in its sights, located in the main provincial capitals of Spain. “Valencia, Málaga, Pamplona, Sevilla, Madrid, Barcelona, Bilbao and Alicante are on our radar”, explained the executive, who also confirmed that between December and the first quarter of next year, the company plans to close at least three operations.

Corestate’s main objective involves becoming one of the top three players in the student hall market in Spain. “It is a segment that still has a lot of potential, which is why we do not want to limit ourselves to a specific number of projects”, says Hütwohl. In fact, the director confirmed that the company plans to develop around three developments in each city, with capacity for between 200 and 350 beds, “except for in Alicante due to the limitations of that territory”.

Similarly, the group has the intention of expanding its range of investments in Spain from 2019 onwards. “Now we are very focused on the market for student halls, but we also want to undertake more operations, especially in the office, retail and residential segments across the whole Iberian Peninsula”, explained the executive. In this way, Hütwohl made clear the company’s objective of entering the Portuguese market before 2020.

Corestate sweeps across Europe

This year, Corestate has undertaken one of the largest operations in Europe in the market for student halls of residence with the purchase of CRM Students for €17 million. It is the largest manager of student halls, which operates in the United Kingdom, with 24,000 beds spread across 145 cities. “The type of collaboration that we will carry out has yet to be determined, but thanks to that acquisition, we have exceeded the 30,000-bed threshold in the European market”, said the executive.

Headquartered in Luxembourg and with 560 employees, Corestate has 41 offices around the world, located in cities such as Frankfurt, London, Madrid, Singapore and Zurich. In Spain, the company’s team comprises three people, a number that will grow as new projects are delivered.

The company led by Michael Bütter ended 2017 with revenues of €195 million and the group expects to achieve a turnover of €230 million in 2018. The gross operating profit (EBTIDA) amounted to €123 million in 2017, whilst the net result amounted to €93.3 million.

Original story: Eje Prime (by B. Seijo)

Translation: Carmel Drake

Tinsa: Madrid, Pamplona & Alicante Led Spain’s House Price Rises in Q3

1 October 2018 – Eje Prime

Madrid, Pamplona and Alicante. Those three cities led the ranking in house price rises in Spain during the third quarter of 2018. The Spanish capital topped the podium with price rises in the residential market of 15.6%, although six other large cities in the country also recorded double-digit increases, according to data from the IMIE report compiled by Tinsa.

Along with the Spanish capital, Pamplona and  Alicante saw their house prices soar between June and September, with increases of 14.2% and 13.2%, respectively. Moreover, Palma (de Mallorca) continued to be one of the most expensive markets, after recording a price rise of 12.8% during the period. Meanwhile, in Málaga, house prices rose by 12.5%, Valencia recorded an increase of 12% and Murcia saw a rise of 11.1%.

The report reflects the boom in the provincial capitals, which were key drivers behind the 4.9% increase in new and second-hand house prices in Spain during the third quarter, to €1,317/m2.

With this new increase, house prices in Spain have been rising since the third quarter of 2016. Nevertheless, sources at Tinsa recall that “although the normalisation of the residential market is a general trend, there are still significant differences by region.

By autonomous region, Madrid is the region where house prices rose by the most in the last 12 months, with a rise of 13% in Q3. It was followed by La Rioja, with an increase of 11.8%; the Balearic Islands, with a rise of 9.9%; and Navarra, with growth of 8.7%.

Original story: Eje Prime

Translation: Carmel Drake

Bankinter’s Socimi Buys 4 Retail Premises from Inditex for €12.5M

15 June 2018 – Eje Prime

The Galician giant Inditex is continuing to divest some of its real estate assets and the main players in the sector are taking advantage to acquire retail premises on some of the country’s main high streets. Ores, the Socimi owned by Bankinter and the Portuguese firm Sonae, has purchased a package of four assets from the owner of Zara for €12.5 million. The establishments, which together span more than 1,930 m2 are currently leased to the female fashion chain Stradivarius.

Ores Socimi has acquired one store measuring 700 m2 at number 28 Rúa de Urzaiz, in Vigo; another measuring 450 m2 at number 23 on Calle de los Fueros, in Vitoria; a third measuring 430 m2 at number 2 Calle Emilio Arriesta, in Pamplona; and a fourth measuring 350 m2 on the corner of Plaza del Olivar and Calle San Miquel, in Mallorca.

“With this acquisition, financed by available cash held by Ores Socimi, the company is continuing to fulfil the investment objectives set out in its business plan and in accordance with the financial parameters committed to the shareholders”, explain sources at the group.

The purchase of these stores, located on the main high streets of the respective cities, follows another acquisition carried out at the beginning of this month in Madrid. That deal involved an establishment located at number 157 Calle Alcalá, with a surface area of 374 m2, as revealed by Eje Prime. Those premises are currently rented out to the restaurant group Tim Hortons (…).

Ores is aimed at private banking clients. Although its asset portfolio is, for the time being, limited, the Socimi made its debut on the stock market with the aim of investing €400 million in commercial premises on the high street, as well as in supermarkets, retail parks (measuring up to 20,000 m2), bank branches and single assets with long-term rental contracts and solvent tenants.

Bankinter and Sonae Sierra launched this new venture in the real estate sector in record time. The two groups constituted the company on 15 December last year and, in just two months, completed the vehicle creation process, raised sufficient capital to get it moving and made the leap onto the stock market.

Original story: Eje Prime (by Custodio Pareja)

Translation: Carmel Drake

Catella Acquires 3 Residential Assets in Pamplona for €26M

7 June 2018 – Eje Prime

Catella Asset Management Iberia (Cami) is on a roll in Spain. The Swedish fund has taken another step forward in its strategy to grow its residential business in Spain with the purchase of three buildings in Pamplona for €26 million, according to explanations provided by sources at the company speaking to Eje Prime.

The latest operation signed by the fund in Spain is the acquisition from a local property developer of three residential buildings for their operation as long-term rental properties. “The vendor is going to continue to take care of the day-to-day management of the buildings”, explain the sources.

Two of the three assets are located in Plaza Puerta de Badostain, in the town of Sarrigueren, located to the west of Pamplona. Those two assets contain 168 homes, 187 parking spaces and 173 storerooms, covering a total constructed surface area of 15,080 m2.

The third building is located on Calle Paseo de los Donantes de Sangre, in the neighbourhood of Ezcaba, in the north of Pamplona. This residence has 67 homes, 69 parking spaces and 67 storerooms, which together span a constructed surface area of 7,100 m2.  The operation has been brokered by the real estate consultancy JLL.

Moreover, Catella has recently signed agreements with developers for the construction of two developments in Madrid containing 362 homes and which will form part of its portfolio in operation in the next 18 months.

The first development, whose delivery is scheduled for December 2018, is located in the expansion area of Villaverde in Madrid. It is a development with 171 homes, garages and storerooms, with a combined constructed surface area of 13,035 m2.

Meanwhile, the second development comprises 191 homes, garages and storerooms, spanning a constructed surface area of 13,800 m2 and located in the south of Madrid, which will be handed over at the beginning of 2020. With these acquisitions, Catella Asset Management Iberia has four residential assets: four in Madrid, one in Barcelona and three in Pamplona.

Roadmap in Spain

This operation forms part of the new roadmap that Catella is going to follow in the Spanish market. The Swedish manager, which is going to focus on its objective of growing its asset portfolio in the residential and office sectors, plans to own up to 1,000 flats for rental by the end of this year, doubling its current figure, which stands at around 400 homes.

Present in Spain since 2015, Catella has signed five purchases in recent years in the residential segment, where it has spent around €85 million. The group has €300 million more to spend to continue growing through purchases in the country.

In addition to the residential business, Catella is also very present in the retail sector, where it has recently undertaken operations, such as the purchase from Axiare of the Planetocio shopping centre in Madrid, alongside AEW. The company closed 2017 with a portfolio of assets under management in Spain worth €200 million.

In addition, through its fund specialising in student housing, Catella European Student Housing Fund, the investment company is backing the star alternative asset in the real estate at the moment.

In 2017, it purchased the La Campana hall of residence in Pamplona and, this year, it is analysing possible new acquisitions in the large capitals such as Madrid, Barcelona, Valencia and Sevilla, but also in another city with a notable presence of university students: Granada.

Original story: Eje Prime (by Custodio Pareja)

Translation: Carmel Drake

Hadley Sells a Prime Commercial Premise in Pamplona for €8M

7 May 2018 – Eje Prime

Whilst some Socimis are continuing to add new assets to their portfolios in Spain, others are starting to divest. In this vein, Hadley Investments, whose sole shareholder is Stirling Adjacent Investments, has closed the sale of a property on the most prime street in Pamplona. The Socimi has received €7.8 million for the asset, according to explanations from the group.

The premises are located at number 1 Plaza Merindades, where the main fashion, technology and telephony operators are located in the city. The store has a retail surface area of 587 m2. The sales price fixed by the Socimi is equivalent to 105% of the appraisal value of the property, according to sources at Hadley.

The removal of this asset from Hadley’s portfolio represents a 1% reduction in the Socimi’s total portfolio in terms of gross leasable area. Revenues from the rental of the property in 2017 accounted for 13% of the company’s total turnover during that period.

Hadley Investments, constituted in 2014, has the objective of acquiring and managing residential rental assets in Spain. According to the group, “Hadley’s strategy is aimed at working with real estate investment opportunities in Spain, focusing on the acquisition, rental and management of residential, office and commercial assets located all over the country”.

Since its debut on the MAB in June 2016, when the Socimi was worth €30.75 million, the company has been growing its portfolio of assets, which now comprises several retail premises and residential developments located all over Spain.

Hadley Investment is the owner of a retail premise in Palma de Mallorca, located at number 125 Calle General Riera. That property has a constructed surface area of 1,780 m2, distributed over several rooms, and leased to the household décor chain Maisons du Monde.

The Socimi also owns another retail premise, located in the La Laguna shopping centre, in Santa Cruz de Tenerife, which has a surface area of almost 12,000 m2.

Finally, Hadley Investments also operates two residential assets. The first is located in Vallecas and comprises several blocks with 245 homes in total, plus 4 commercial premises and 248 garages. In 2015, a series of repairs were carried out (to the roof, structure and facilities, amongst others) to ensure the safety of the building, amounting to €134,000.

The second residential asset is located at number 1 Calle Nador, in Madrid. This asset, which is leased in its entirety to Ivima (Community of Madrid) comprises several housing blocks with 110 homes in total, plus 2 commercial premises and 110 garages.

Hadley’s sole shareholder is Stirling Adjacent Investments, a firm that is owned by the company TAO Finance 3, which is, in turn, owned by private investment funds. The management of the Socimi’s asset portfolio is carried out by Servihabitat.

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake

Two Sought-After Plots in Pamplona Awarded to ACR & Allegra Holding

26 December 2017 – Observatorio Inmobiliario

ACR Grupo and Allegra Holding are continuing to strengthen their alliance after they were awarded two sought-after plots of land known as “Salesianos” in Pamplona.

The plots, which span a surface area of more than 15,000 m2, are going to be home to the tallest two towers in the area. More than €40 million is expected to be invested in the development of between 120 and 140 two-, three- and four-bedroom homes.

The plots, located in Salesianos, one of the best locations in the city, just a stone’s throw from the Plaza de Toros and close to the Carlos III shopping area, were owned until now by the Salesianos religious order. Their public auction has sparked a great deal of interest as it represents one of the most high-profile and important projects in Pamplona in recent years.

This ambitious urban planning project will allow access to housing in an area of scarce supply and which until now did not have any new build developments. Moreover, it will incorporate services such as a civic centre, a large open square and retail premises.

Residencial Nature, consolidating a successful alliance

This development is the product of the alliance between ACR Grupo and Allegra Holding, two prestigious and solvent companies in the Spanish real estate sector, through Residencial Nature, a concept that is continuing to grow following the experience it has accumulated through the more than 750 homes managed primarily in the Community of Madrid.

“This is the first project that we have undertaken together with Allegra Holding outside of Madrid, which reflects the solidity of the concept that both companies are backing with the development of unique projects in different cities”, said the Director of Property Development at ACR Grupo, David Botín.

The success of the Residencial Nature developments allows the alliance to evaluate new investments in Madrid, as well as in other locations such as Barcelona, Málaga and Levante, with the aim of expanding its activity to other regions.

Original story: Observatorio Inmobiliario

Translation: Carmel Drake