22 September 2017 – El Confidencial
The fund AEW Europe has recently joined the growing number of investors who are backing the Madrilenian street Principe de Vergara, one of the main thoroughfares in the Chamartín neighbourhood. The road has witnessed a proliferation in the volume of important real estate operations involving corporate headquarters in recent years.
And it is on the corner of that street, at its intersection with Francisco Silvela, at number 106 on the street that bears the name of the historical Spanish politician, that a private investor, advised by Aguirre Newman, has sold a building with a surface area of 6,300 m2 to AEW for €30 million, according to sources familiar with the transaction.
This operation follows several other important transactions that have been closed recently in the area, whose proximity to the Avenida de America transport hub, makes for easy access to the airport and whose proximity to both the Salamanca neighbourhood and the Paseo de la Castellana business district, have caused interest from owners and tenants to soar.
One example is the recent sale of the building at number 42 Calle Suero de Quiñones, the new headquarters of the law firm Uría y Mendéndez, which Hispania sold to the businessman José Lladó, owner of Técnicas Reunidas. The Socimi agreed that sale in the spring, a few months before the construction work was due to finish. The doors of that office are expected to open in November, whereby enabling the law firm to expand the headquarters that it already has nearby at number 187, Principe de Vergara.
Meanwhile, the property at number 108 on the same street, right next door to the building that AEW has just acquired, is also owned by Hispania, which purchased it just over two years ago for €25 million. The next one along, number 112, is owned by Colonial, which bought the whole building two years ago; it has since invested €45 million in the complete renovation of the 11,400 m2 property.
Opposite, at number 125 Principe de Vergara, the insurance company Reale purchased the entire building from Banco Sabadell two years ago and has now installed its new headquarters there. Acciona also expressed interest in that property at the time, as it had wanted to move its headquarters there, just a few metres away from the central offices of its rival, Ferrovial.
With this operation, AEW completes its seventh investment in Spain in two years. The fund has made a strong commitment to the country, where it has just acquired the historical Mercado de Fuencarral, which it has already leased in its entirety to Decathlon. It also opened an office in Madrid in January, which is being led by Carsten Czarnetzki.
Original story: El Confidencial (by Ruth Ugalde)
Translation: Carmel Drake