Azora Acquires HQ of the Former Cortefiel Group for €28.3M

24 January 2019 – Eje Prime

Another operation has been closed in the office market in Madrid. The Socimi GMP, controlled by the Montoro family and the sovereign fund of Singapore, has sold the building located at number 51 Calle Llano Castellano to Azora. The price of the operation amounted to €28.3 million.

The property now controlled by Azora, the real estate manager founded by Concha Osácar and Fernando Gumuzio, is occupied in its entirety by Tendam, previously known as the Cortefiel Group and owner of the fashion chains Cortefiel, Women’secret, Springfield and Pedro del Hierro.

The rental contract for the building, which has a gross leasable area of 23,108 m2 and 145 parking spaces, is due to expire in 2023.

The building was constructed in 1990 and had been controlled 100% by GMP since 2015. Until then, the property was in the hands of the real estate division of General Electric through the company Renta Gestión Fuencarral.

Its new owner, Azora, specialises in the investment and management of real estate assets for third parties and has a portfolio comprising more than €4.5 billion in assets. The company was the promoter of Hispania, the first Socimi to be constituted, which made its debut on the stock market in Spain in 2014.

Azora was considering its own stock market debut, but in the end, it suspended that process last year. Azora and Hispania ended their agreement last year, after Blackstone’s successful takeover of the Socimi.

Since then, the company has focused on the residential rental market through the creation of a joint venture with CBRE Global Investment and Madison to reach a portfolio of 10,000 homes over the coming years.

Azora manages the real estate portfolios of funds and wealthy investors, such as George Soros, CBRE Global Investors, Goldman Sachs, Axa Investment Management and Bank of Montreal, amongst others (…).

Original story: Eje Prime (by P. Riaño and I. P. Gestal)

Translation: Carmel Drake

Cortefiel’s Founder Lists Its Socimi Inmofam 99 On The MAB

21 December 2016 – Expansión

The Hinojosa family has listed its real estate Socimi Inmofam 99 on the stock market. The company primarily owns retail premises worth around €48 million.

Another Socimi will debut on the Alternative Investment Market (MAB) today (21 December) – Inmofan 99 will be the twenty-sixth Socimi to join the market and will do so with a portfolio worth €48.05 million.

Although the name of the company may not be well known, one of the most representative families in the Spanish fashion world is behind this Socimi: the Hinojosa family. The founders of the Cortefiel group, which owns the brand of the same name, as well as Springfield, Women’s Secret, Pedro del Hierro and Fifty Factory, have decided to convert their real estate company into a Socimi and whereby benefit from the tax advantages afforded by this type of investment vehicle.

Founded as a limited company in June 1999, Inmofam has focused its activity on managing the real estate assets of the Hinojosa family. In September 2015, the company converted itself into a Socimi and 14 months later it is debuting on the stock market with a market capitalisation of €38.83 million.

Diversified portfolio

Inmofam 99’s portfolio comprises a batch of stores that the Hinojosa family held onto after selling the Cortefiel textile group to the funds CVC, PAI and Permira in 2005. The nine assets are leased to the textile group that they founded: six of them are Cortefiel stores, two are Springfield stores and one is a Women’s Secret shop. The stores are located in Madrid, La Coruña, Oviedo, Las Palmas de Gran Canarias, Málaga, Valencia, Zaragoza and two in Valladolid.

In December 2004, the company bought its real estate jewel, a 2,620 m2 store located on Calle Raimundo Fernández Villaverde, which is one of the most iconic stores of the Cortefiel brand in Madrid.

The Hinojosa and García-Quirós families (which have been related for years) receive rental income of more than €883,000 for this store. Nevertheless, Cortefield has notified the Socimi of its decision to terminate the rental contract from 31 December, which has led Inmofam to update its value for this property to €11.75 million.

The other eight retail premises are worth between €2 million and €7.1 million. The former relates to a store on Calle Zorrila in Valladolid, which Cortefiel will also vacate at the end of the year, which has been taken into account in its valuation. Moreover, it owns several floors, for residential and office use, in Oviedo.

In 2005, the Hinojosa and García Quirós families sold the Cortefield textile group to the funds CVC, Permira and PAI for €1,440 million. Currently, Joaquín García-Quirós Rodríguez chairs Inmofam and Juan Hinojosa Vacas, Almudena Hinojosa Bermejo, Gonzalo Hinojosa Fernández-Angulo and Dario Hinojosa García-Puente complete the Socimi’s Board of Directors.

Original story: Expansión (by Rocío Ruiz)

Translation: Carmel Drake