Sareb to Sell Portfolio of 140 Flats in Catalonia

5 January 2020 Sareb announced that it would sell 140 flats, plus another thirty parking spaces and storerooms, in Catalonia. Many of the flats are currently occupied illegally by squatters and may now have to deal with a possible new owner, likely vulture fund. The sale follows a similar divestment of 400 properties late last year.

The bad bank has already evaluated the squatters using local social services and determined that they must be evicted.  In cases where the people living in the flats are determined to be vulnerable families, Sareb looks to arrange alternate living quarters. That was not considered to be the case in these circumstances.

Investment funds generally acquire portfolios such as this with significant discounts of up to 70-80% on the initial value. The new owners will have to incur legal expenses to remove any occupants and to subsequently renovate the homes, which are generally in rather poor condition.

The regional government of Catalonia, for its part, has the right of first refusal for all properties sold in portfolios, by banks or by Sareb.

En español

Sareb anunció que venderá 140 pisos, más otros treinta estacionamientos y almacenes. Muchos de los pisos están ocupados ilegalmente y ahora pueden tener que tratar con un posible nuevo propietario, probablemente un fondo de buitres. La venta sigue a una desinversión similar de 400 propiedades a fines del año pasado.

El banco malo ya evaluó a los ocupantes ilegales utilizando los servicios sociales locales y determinó que deben ser desalojados. En los casos en que se determina que las personas que viven en los apartamentos son familias vulnerables, Sareb busca organizar viviendas alternativas. Ese no fue el caso en estas circunstancias.

Los fondos de inversión generalmente adquieren carteras como esta con descuentos de hasta 70-80% sobre el valor inicial. Los nuevos propietarios tendrán que incurrir en gastos legales para desalojar a los ocupantes y posteriormente renovar las viviendas, que generalmente están en malas condiciones.

La Generalitat de Cataluña, por su parte, tiene el derecho un derecho de tanteo para todos inmuebles que vendan a través de carteras, bancos y Sareb.

Original Story: El Confidencial – Jorge Zuloaga

Translation/Summary: Richard D. Turner

South Korea’s Kiwoom AM to Acquire Helios Office Complex from Blackstone

5 January 2020 Kiwoom Asset Management, a South Korean investment firm, is close to making its first acquisition in Spain. The firm is seeking to buy the Helios business complex in northern Madrid. The property is slated to be the future headquarters of Dutch multinational banking group ING.

Blackstone announced its intention to sell the complex in the middle of last year. However, political uncertainty in the country caused a slight delay in negotiations. The asset is in Campos de las Naciones, a consolidated area near the Barajas international airport. The 60,250-m2 Helios office complex, which has excellent links to the city centre, consists of two largely independent office towers.

Kiwoom Asset Management, una firma de inversión surcoreana, está cerca de realizar su primera adquisición en España. La firma busca comprar el complejo empresarial Helios en el norte de Madrid. La propiedad está prevista para ser la futura sede del banco holandés ING.

Blackstone anunció su intención de vender el complejo a mediados del año pasado. Sin embargo, la incertidumbre política en el país causó un ligero retraso en las negociaciones. El activo se encuentra en Campos de las Naciones, una zona consolidada cerca del aeropuerto internacional de Barajas. El complejo de oficinas Helios, de 60.250 m2 y que cuenta con excelentes conexiones al centro de la ciudad, consta de dos torres de oficinas independientes.

Original Story: El Confidencial – Ruth Ugalde

Translation/Summary: Richard D. Turner

Singapore’s GIC to Sell Portfolio of Logistics Assets

4 January 2020 GIC, Singapore’s sovereign wealth fund, has mandated JLL to launch the sale of a €100-million portfolio of logistics assets owned by its subsidiary in Spain, P3 Logistics.

The portfolio contains one-third of P3 Spain Logistic Parks’ assets of approximately €270 million. The socimi is currently listed on the MAB, with a market cap of 30.7 million euros.

GIC, el fondo soberano de Singapur ordenó a JLL lanzar la venta de una cartera de activos logísticos de 100 millones de euros, propiedad de su filial en España, P3 Logistics.

La cartera contiene un tercio de los activos pertenecientes a P3 Spain Logistic Parks, un total de aproximadamente €270 millones. La socimi actualmente cotiza en el MAB, con una capitalización de mercado de 30,7 millones de euros.

Original Story: El Confidencial – Ruth Ugalde

Translation/Summary: Richard D. Turner

Sareb to Sell Portfolio of Unfinished Developments

4 January 2020 Sareb is looking to finalise the sale of Project Esla, a portfolio of collateralised developer loans that it put on market almost two years ago. Esla is the first project of partially-built developments that the bad bank has attempted to sell.

The financial institution is reportedly creating a Bank Assets Fund (FAB) to sell the portfolio, the second time it has done so. The vehicle was designed for Sareb, with the advantage that it is taxed at a rate of just 1%, compared to a normal rate of 25%. The Spanish government created the structure to entice institutional investors to acquire the bad bank’s toxic assets.

An unnamed firm and Sareb are said to have already reached an agreement to sell the portfolio for approximately 150 million euros, including the necessary investments to complete the developments.

En español

Sareb está buscando finalizar la venta de Project Esla, una cartera de préstamo promotor con garantía que lanzó al mercado hace casi dos años. Esla es el primer proyecto de urbanizaciones parcialmente construidos que el banco malo ha intentado vender.

Según los informes, la institución financiera está creando un Fondo de Activos Bancarios (FAB) para vender la cartera, la segunda vez que lo ha hecho. El vehículo fue diseñado para Sareb, con la ventaja de que está sujeto a una tasa de solo el 1%, en comparación con una tasa normal del 25%. El gobierno español creó la estructura para atraer a los inversores institucionales a adquirir los activos tóxicos del banco malo.

Se dice que una empresa no identificada y Sareb ya han llegado a un acuerdo para vender la cartera por aproximadamente 150 millones de euros, incluidas las inversiones necesarias para completar los desarrollos.

Original Story: El Confidencial – Ruth Ugalde

Translation/Summary: Richard D. Turner

Patrizia to Sell Amazon’s Logistics Platform in Madrid

4 January 2020 The German firm Patrizia has decided to sell two logistics assets in Madrid. The platforms include Amazon’s logistics centre in Getafe and a warehouse in Torrejón de Ardoz. Patrizia is looking to raise 150 million euros with the sale.

Amazon’s facility in Getafe is raising the most investor interest. The 58,000-m2 asset has a long-term lease with the e-commerce giant and is located near the M-50 ring-road. Patrizia acquired the property in 2017 and paid 40 million euros to build the platform.

La firma alemana Patrizia ha decidido vender dos activos logísticos en Madrid. Las plataformas incluyen el centro logístico de Amazon en Getafe y un almacén en Torrejón de Ardoz. Patrizia busca recaudar 150 millones de euros con la venta.

Las instalaciones de Amazon en Getafe están generando el mayor parte del interés de los inversores. El activo de 58,000 m2 tiene un contrato de arrendamiento a largo plazo con el gigante del comercio electrónico y está ubicado cerca de la carretera M-50. Patrizia adquirió la propiedad en 2017 y pagó 40 millones de euros para construir la plataforma.

Original Story: Idealista / El Economista

Translation/Summary: Richard D. Turner

Vía Célere, Aedas and Kronos Submit €120-Million Proposal to Acquire Land in Los Berrocales

4 January 2020 The developers Aedas, Vía Célere and Kronos have launched a joint bid to acquire two million square meters of land in Los Berrocales, Madrid. The land, the largest remaining plot of land in the capital’s south, has sufficient space to build up to 5,000 homes. The three companies submitted a proposal offering to pay 60 euros per square meter to a group of small property owners.

Market watchers expect protracted negotiations for the land, however. The regional authority has yet to agree to any kind of re-subdivision and urbanisation works. Even the most optimistic projections place the beginning of construction in 2022.

Las inmobiliarias Aedas, Vía Célere y Kronos han lanzado una oferta para adquirir dos millones de metros cuadrados de terreno en Los Berrocales, Madrid. La tierra, la mayor parcela de tierra restante en el sur de la capital, tiene espacio suficiente para construir hasta 5,000 casas. Las tres compañías presentaron una propuesta que ofrecía pagar 60 euros por metro cuadrado a un grupo de pequeños propietarios.

Sin embargo, los observadores del mercado esperan negociaciones prolongadas por las tierras. La autoridad regional aún tiene que aprobar cualquier tipo de obras de reparcelación y la urbanización. Incluso las proyecciones más optimistas sitúan el comienzo de la construcción en 2022.

Original Story: Idealista

Translation/Summary: Richard D. Turner

 

Bain Capital Hires JP Morgan and Deloitte to Securitise NPLs

18 December 2019 – Bain Capital has hired JP Morgan and Deloitte to sell off all of the non-performing loans it acquired in Spain during the crisis. The portfolio has a nominal value of approximately €4 billion, though it is likely to sell at a significant discount.

The firm is looking to securitise the portfolio of NPLs. The credits would remain in the same companies, but any new investors would assume the risks and the potential profits.

Market analysts believe that Bain’s decision is linked to two major factors. First, the entrance of Unidas Podemos into the governing coalition, together with the Socialists, an second the expected coming change in the economic cycle. Both have been roiling the market in the last few weeks.

Original Story: El Confidencial – Jorge Zuloaga

Adaptation/Translation: Richard D. K. Turner

Aedas Hires JLL to Sell Portfolio of Rental Homes

17 December 2019 – Aedas Homes announced that it would sell a 1,300-home turnkey project for rental homes. The developer is currently looking for one or more investors to carry out the operation, the largest so far in Spain.

The firm has chosen up to 10 developments throughout Spain: Barcelona, Madrid, Valencia, Seville, Alicante and Granada. According to estimates, the transaction would bring in 325 million euros to Aedas’s coffers. JLL is advising on the potential sale.

Should Aedas finalise the sale, it would be the firm’s second disposal of build-to-rent assets. Earlier this year, Aedas sold a portfolio of 500 homes to Ares Management.

Original Story: Idealista

Adaptation/Translation: Richard D. K. Turner

Barceló Group to Sell Hotel and Land on Mallorca

12 December 2019 – The Barceló hospitality group is considering the sale of a 1,200-hectare property it owns on Mallorca. The asset includes a 127-room hotel in a prime area of the island. Market sources say that Barceló has already received an offer of more than 100 million euros for the asset. The buyer of the property, which includes the Formentor hotel, will likely convert the asset into a luxury wellness resort, specialising in thalassotherapy (the therapeutic use of seawater).

Barceló acquired the complex in 2006 for 70 million euros from the Buades family and the Costa y Llobera Foundation. Since then, while occupancy has risen, the hotel has been plagued by problems with seasonality. The resort is often full in the summer but closes from the end of October until the beginning of April due to a lack of demand.

Original Story: Ultima Hora – J. L. Ruiz Collado

Adaptation/Translation: Richard D. K. Turner

Wallapop Now Selling a Second-Hand, Uninhabited Village in Alicante

10 December 2019 – Wallapop, an online platform for buying and selling second-hand products, has put an entire 275-hectare village, with 40 houses, a manor and a chapel. The asking price is a little above normal for the site, 90 million euros. The Colonia de Santa Eulalia is located between the towns of Villena and Sax, in Alicante. The small, uninhabited town also has links for electricity and water, along with a casino, olive oil press, flour factory and even a post office.

Original Story: La Razón

Adaptation/Translation: Richard D. K. Turner