Defence Sells a Plot of Land Next to Castañón de Mena for Nearly €4 Million

27 April 2018

The sale is awaiting a final adjudication. The plot, in Hacienda Cabello, has 6,000 meters and a development potential of 8,572 meters.

The Ministry of Defense has put two properties on sale in recent months in Malaga’s capital, and both transactions are nearing a conclusion as they come close to completing the formal procedure of final adjudication. On the one hand, the divestment of the former Military Government building, located on the Paseo de la Farola, is going through a process of analysis of the documentation that was submitted by a company that made an offer to acquire the property at the end of last January by direct sale, with an assigned value of about 4.5 million euros. On the other hand, the ministry has just finalised the adjudication of a 6,036.24-square-meter plot of land in Hacienda Cabello, next to the Castañón de Mena residence, for almost 4 million euros.

The estate has an allocated residential development potential of 8,572.97 meters. The Institute for Housing, Infrastructure and Defense Equipment (Invied) confirmed the conclusion of the sale, although the sources consulted declined to provide official details of the sale value, as the adjudication has been awarded on an interim basis, and still requires the completion of the corresponding procedures.

The financial value related to this sale confirms that it would have been in a second auction. The estate’s exit value amounted to 4,431,860.23 euros, falling to 3,988,674.21 euros in the case of a second round. The property is in the vicinity of the military residence Castañón de Mena. According to the information sheet incorporated by Invied, the plot of land was awarded to the Ministry of Defence within the sector’s subdivisioning project, and the development works were already underway, with 14% completed up to the present moment. The development works were awarded by the Compensation Board to a temporary joint venture (UTE) composed of Dragados-Ervega-Insersa, with an initial budget of 4,744,075 euros (VAT excluded), an amount which was increased by another 551,825 euros in October 2017.

Original Story: Málaga Hoy – S. Sánchez

Translation: Richard Turner

 

‘Valencia Parque Central’ Hopes to Raise €300M From Sale of Buildable Public Plots

22 February 2018 – Eje Prime

Valencia’s public institutions want to recover some of the investment that they are making in Parque Central. The company that is promoting the development, which is owned by the Government of Spain (50%), the Generalitat Valenciana (25%) and the Town Hall of Valencia (25%), hope to raise €300 million from the sale of the buildable public plots in this area. Those proceeds would cover 15% of the total cost of the building work, which has an approximate cost of €2 billion.

According to explanations provided by the Town Hall, the intention of the company is to propose a first public auction of the land to the Board of Directors. The Director-General of Valencia Parque Central, Salvador Martínez, has explained that “they will study two formal questions: the specifications that regulate the sales process and the sales strategy”, according to Valencia Plaza.

The work that needs to be carried out in the Russafa and Malilla areas will bring with them the largest urban planning operation underway in Valencia. This is a railway and urban project, in which, in addition to placing the railway underground and building a new train station, the city will benefit from a new green space with a park spanning 230,000 m2. The company’s forecasts suggest that the garden will be inaugurated in June.

Original story: Eje Prime

Translation: Carmel Drake

Adif Has c. 80 Homes & Land Up For Sale Worth €10M

14 January 2018 – Cuatro

The state-owned company is taking advantage of the recovery in the sector by selling properties; and is also hanging the “for rent” sign up on around fifty other premises. 

Adif, the public company responsible for promoting and managing Spain’s railway network, has around eighty real estate assets up for sale, primarily homes and land, spread across several Spanish provinces, whose prices amount to a total of €9.8 million.

The public company, which forms part of the Ministry of Development, is whereby pushing ahead with its divestment policy of assets that are not necessary for its railway activity, to coincide with the recovery in the real estate sector.

By virtue of this strategy, Adif is selling or transferring the management of assets not affected by its core business, the construction and management of railway lines, with the objective of optimising the management of its real estate portfolio and obtaining additional resources to continue investing in the railway network.

Within the framework of this policy, the company chaired by Juan Bravo has also put 56 commercial premises up for rent. The properties are located in a total of 16 provinces, according to data from the company compiled by Europa Press.

In terms of the homes up “for sale”, they are assets that were left unselected in previous auctions. The flats are located in towns or capitals of thirteen provinces and their sales prices range between €16,000 for a home in Venta de Baños (Palencia) and €131,000 for another home located in Jérez de la Frontera (Cádiz).

Nevertheless, the assets that Adif is looking to sell include several noteworthy plots of land, specifically, six in Madrid and one in Leganés.

Plots in Madrid, the jewel in the crown

The latter is the most extensive, given that it is an urban plot measuring 3,608 m2, with a maximum buildability of 5,232.26 m2. It has been put up for sale for €2.14 million.

Other assets include homes in Jérez de Frontera, measuring between 72 m2 and 99 m2, with two or three bedrooms and a parking space, with prices of between €90,000 and €131,000, as well as several commercial premises in Valencia capital.

The rest of the homes for sale, which are either new or in need of work, are located in the provinces of A Coruña, Ávila, Ciudad Real, León, Ourense, Palencia, Salamanca, Tarragona, Valladolid and Zaragoza.

Adif is adding this new round of divestments to those undertaken in previous years. In the real estate sphere, at the end of 2014, it sold a plot of land on Paseo de la Castellana in Madrid through a public auction. That site was awarded to El Corte Inglés for €136 million and is located right next to the retailer’s largest store in the country.

Two years later, the real estate company Vía Célere purchased a plot from Adif, and also from Repsol, which those two companies jointly owned in the Méndez Álvaro area of the capital for €29.1 million.

Beyond this sector, a few years ago, Adif granted concessions for the management of the parking lots in its train stations and of its fibre optic network, one of the largest in the country. The first was awarded to Saba and the second to REE.

Original story: Cuatro

Translation: Carmel Drake

InTempo Case: Judge Ratifies Sareb As Privileged Creditor

16 February 2017 – Diario Información

The ruling dismisses claims made by companies and individuals in the bankruptcy of Olga Urbana, by stating that the bad bank was not responsible for administering the company.

“The engagement of Suasor was justified by the circumstances of the construction work” and “there is no evidence” that that company, Abanca or Sareb acted as de facto administrators. The judge of Commercial Court number 1 in Alicante has dismissed three claims, made by companies and professionals that participated in the construction of the InTempo building in Benidorm, and has rejected the possibility of revoking Sareb’s status as a privileged creditor. This decision, which according to sources close to proceedings could still be appealed, opens the way for the so-called bad bank to end up being awarded ownership of the tallest skyscraper in the tourist city. Construction of the skyscraper is currently suspended, pending resolution of the liquidation process in which its developer, the company, Olga Urbana, is immersed.

The ruling, to which this newspaper had access yesterday, is uncompromising given that it does not reflect the claims of the minority creditors. By contrast, it attributes the exhaustive control exerted by the financial entities involved, Abanca – formerly Caixa Galicia – and Sareb – which inherited the loan due to a legal mandate to free Abanca from its toxic assets – through Suasor, to the situation in which the construction of this concrete giant found itself, which meant that engaging an external company to control and verify how the project was being managed was completely “justified”. (…).

Background

The incidental claims that the judge has now dismissed were filed by Kono Estructuras, a company that participated in the construction work and which is represented in the creditors’ bankruptcy to claim the payment of just over €1 million; the architect Robert Pérez Guerras, who also demanded the payment of a debt amounting to €133,019 for fees that he failed to receive when he left the Project Management team; and Isidro Bononat. All of them challenged the list of creditors prepared by the bankruptcy administrator, on the basis that Sareb, which is claiming the payment of just over €108 million, should not be accorded the status of privileged credit, but rather should rank as a subordinated creditor, given that it served as a de facto administrator of Olga Urbana and therefore, should assume some of the responsibility for its bankruptcy. (…).

The ruling from Commercial Court number 1 is clear. It states that the engagement of an external supervisor is “normal” in high-profile developments, such as the case of InTempo and that, in this case, Suasor limited its scope to controlling the progress of the construction work, and did not interfere the internal operations of the construction company.

Progress towards liquidation

This ruling represents another step forward in the InTempo liquidation process and, moreover, opens an important avenue in Sareb’s favour. The open auction to sell the building received just two bids: one for €47 million and the other for €52 million, which was ruled out because it arrived 20 days late. Both bids fell well below the appraisal value of the property, €90 million, and so Sareb, as a privileged creditor, submitted its own offer of €58.5 million, to be awarded the building. The claims paralysed that process but now that they have been resolved, all indications are that it may be reactivated.

Original story: Diario Information (by R. Pagés)

Translation: Carmel Drake

SEA Sells 43,141m2 Of Industrial Land For €2.1M

25 April 2016 – El Economista

The public company Suelo Empresarial del Atlántico (SEA), owned by the Ministry of Development, through Sepas, has sold 43,141 m2 of industrial land as the result of a public tender that was convened at the beginning of the year.

According to the Ministry of Development, a new public auction was convened at the beginning of the year whose result has involved the sale of 15 new plots of land for €2.1 million.

The company has just approved its annual accounts for 2015, with a positive net result of €431,044.

According to the data published, the company has sold 28 plots in total, spread across 10 business parks, with a combined surface area of 81,087.96 m2, for €3.6 million.

Original story: El Economista

Translation: Carmel Drake

MoD Sells A Plot Of Land In Mallorca For €5.5M

27 May 2015 – Expansión

The Ministry of Defence is continuing its real estate divestment plan to generate revenue. To this end, the body chaired by Pedro Morenés has closed the sale of a plot of land measuring 14,429 square metres, with more than 25,000 square metres of buildable area, in Cas Capiscol (Mallorca).

Given that the building is owned by the Administration, the Ministry of Defence organised a public auction, through the real estate portal addmeet. The plot of land that is up for sale houses former (army) barracks, spread over several buildings, which have been in disuse since the 1990s.

The Ministry of Defence put this land on the market for €5.318 million. In the end, it has been sold for a slightly higher price: €5.55 million. The winning bid was submitted by a subsidiary of the Catalan real estate company La Llave de Oro. The buildable plot measuring 25,131 square metres may be used for tertiary purposes, i.e. to build offices, hotels and retail buildings. Nevertheless, the general urban development plan where this land is located is currently in the process of being modified.

The Ministry of Defence also own other plots of land in Mallorca, including in Son Busquets, where it has a plot measuring more than 110,000 square metres.

Original story: Expansión (by R. Ruiz)