Tag: retail premises

CorpFin Completes €10M Capital Increase for Inbest

8 April 2019 – Eje Prime

The Spanish fund manager CorpFin has completed a capital increase amounting to more than €10 million in Inbest Prime III Inmuebles and Inbest Prime I Inmuebles, two of its four vehicles specialising in retail.

Specifically, Inbest Prime III Inmuebles increased its capital by €2.33 million, taking the total subscribed amount to €12 million. Meanwhile, Inbest Prime I Inmuebles increased its capital by €8.22 million, resulting in a total subscribed amount of €25 million.

This latest injection of funding follows more than ten capital increases that the firm led by Ana Granado has carried out in recent months.

Corpfin launched Inbest Real Estate in April 2018 with the aim of investing in high street buildings and converting them into flagship stores. Inbest channels its investments through four vehicles, Inbest Prime I, II, III and IV, which will debut on the Alternative Investment Market (MAB) in September 2019.

The funds’ largest operation to date was its purchase of the retail premises in Edificio España last year, on which it spent €160 million.

Original story: Eje Prime (by I. P. G.)

Translation/Summary: Carmel Drake

Hines Negotiates Rental of its Jewel on Paseo de Gracia with Nike & Victoria’s Secret

25 March 2019 – Eje Prime

The US firm Hines is holding negotiations with Nike and Victora’s Secret to lease the retail premise in the former headquarters of Banco Popular.

The investment fund acquired the property at number 17 Paseo de Gracia for €90 million in March 2017, and, after completing a €10 million renovation project last year, is going to lease the building’s office space to the coworking group WeWork.

The two retail brands are competing to occupy the prime store, which has a surface area of more than 2,000 m2 and which is being marketed by CBRE.

Hines’s portfolio in Spain comprises fifteen assets, of which ten are located in Barcelona and the rest in Madrid.

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

Translation/Summary: Carmel Drake

Retail Socimi Única’s Profit Soared by 42% in 2018

26 February 2019 – Eje Prime

Única Real Estate is on a roll. The Socimi, which specialises in retail premises, has presented its results for 2018, revealing 42% higher earnings than a year earlier. Specifically, the company recorded a profit of €495,498, compared to €348,060 in 2017.

In parallel, Única generated revenues of €19.7 million, which translates into growth of 49% compared to its turnover a year earlier. The company’s operating result amounted to €858,105 in 2018, up by 45.6% compared to a year earlier.

The Socimi also reported that its real estate portfolio ended the year with a market value of €44.8 million, according to a valuation carried out by Savills Consultores Inmobiliarios. In total, Única has 36 commercial premises, spanning 8,655 m2 (…).

Looking ahead, Única’s forecasts involve executing the corporate operation in which it has been immersed since the end of 2018, and which involves the purchase of 100% of the company’s shares by Vitruvio Real Estate Socimi (…).

Única completed its stock market debut in 2018, and started trading on the Alternative Investment Market (MAB) on 27 June. The Socimi ended the year with a market capitalisation of €30.5 million and a share price of €26.60, up by 1.6% compared to its debut.

Original story: Eje Prime 

Translation: Carmel Drake

Corpfin Prepares for Stock Market Debut of its Socimi Inbest

12 February 2019 – Idealista

The Socimis are continuing to make inroads in the real estate market. There are now more than 70 listed vehicles operating under this regime in Spain, and another twenty new vehicles could make their stock market debuts soon, according to the experts.

They include five that the manager Corpfin Capital Real Estate has been promoting through its investment vehicle Inbest Real Estate, including a company called Inbest Prime Inmuebles Socimi. And it is precisely that company that is finalising its stock market debut.

According to explanations provided by the manager to Idealisa News, the purchases that Inbest has completed recently have been materialised through those Socimis and its objective is for them to be listed on the stock market by September this year at the latest, just two years after their constitution and, therefore, by the deadline established by the legislation for continuing to enjoy tax incentives. Nevertheless, the firm chaired by Javier Basagoiti expects that the Socimis will be listed before the summer.

Although the valuation of the assets and the price at which the shares will debut are not yet known, the portfolio will include some very well-known and sought-after assets. They include four commercial premises in Edificio España in Madrid, whose purchase was recently signed between Inbest and the hotel chain RIU, the owner of the skyscraper, for almost €160 million. The investment vehicle’s plans include establishing four flagship stores for first-rate operators from the textile and restaurant sectors.

The assets also include three others that Inbest has acquired in recent months from the Spanish department store giant: El Corte Inglés. One of them is located on Calle Colón in Valencia and spans 7,000 m2, distributed between two adjoining premises, whilst another is located on Calle Princesa in Madrid, and another still on Gran Vía in Bilbao, with a combined surface area of almost 8,800 m2 in the case of the latter two. The investment in those three buildings amounted to around €180 million.

The Socimis have a combined investment objective of €400 million (half from own funds), of which almost 85% has now been consumed, whilst the remaining amount (around €60 million) could be targeted towards a new acquisition, given that that is exactly the ticket size that the manager is interested in.

Inbest’s strategy for this game of poker between the Socimis is based on searching for assets located in prime situations (above all in Madrid, Barcelona and other important provincial capitals), and focusing on unique assets in the commercial sector. Barring any last minute changes, the firm will keep the Socimis active for at least five years after finalising the investment period (…), although that term may be extended for another two years (…).

Original story: Idealista (by Ana P. Alarcos)

Translation: Carmel Drake

Pryconsa Draws a Roadmap to Build 1,300 New Homes by 2020

17 January 2019 – Eje Prime

Pryconsa is remaining strong in its commitment to the Spanish residential market. The property developer is planning to build at least 1,285 homes by 2020, located across the Community of Madrid as well as in the municipalities of Cáceres and Valladolid, according to sources at the company speaking to Eje Prime.

During the course of this year, the company is going to launch fourteen developments, containing a total of 727 homes, located in different parts of the Community of Madrid (such as Alcalá de Henares, the Puerto Hierro area, Torrejón de Ardoz, Boadilla del Monte and Vicálvaro), as well as in Cáceres and Valladolid.

On the other hand, in 2020, Pryconsa is going to start work on the construction of 558 homes, spread across six developments and located in the city of Madrid and the surrounding areas (Alcalá de Henares, Vicálvaro and Carabanchel). Nevertheless, as the group explains, “it is most likely that during this year, the number of projects started will increase”.

In addition, the company has the objective of handing over 561 new homes in 2019, 1,196 in 2020 and another 1,107 in 2021. For now, Pryconsa has the intention of focusing on the centre of the country, although it does not rule out entering other cities soon. “It will all depend on the situation and on the opportunities in the market, but that will happen from 2021 onwards”, say the sources.

Currently, Pryconsa has its headquarters in Madrid and operates delegations in Valladolid, Sevilla, Ayamonte and Valencia. The company, which has a workforce of 500, recently settled in the Mediterranean city, to open a Prygesa office, one of its firms specialising in the development of homes.

More than fifty years in the Spanish real estate sector

Founded in 1965, Pryconsa is a company that spans the entire construction cycle: from the purchase of land to the construction of assets and their sale. Besides the residential sector, the group also works in other segments, and is present in the hotel, retail and office sectors through its Socimi Saint Croix Holding Immobilier.

The Socimi, constituted in December 2011, is the owner of six hotels, twelve office buildings, thirteen retail premises and one logistics centre, most of which are located in the Community of Madrid, the group’s main area of operation.

Led by Marco Colomer, Pryconsa is one of the great survivors of the real estate crisis that Spain suffered from 2007. Nowadays, the company continues to be one of the largest residential property developers in the country, with more than 54,000 assets delivered by the end of 2018.

Original story: Eje Prime (by Berta Seijo)

Translation: Carmel Drake

Optima Retail Buys Store in Marbella for €3M as part of €60M Investment Plan

12 September 2018 – Eje Prime

The retail sector in Marbella is attracting attention from investors. Optima Retail, one of the funds owned by the Spanish real estate and energy consultancy Optima Global Services, has acquired a retail outlet in Puerto Banús for €3 million. The operation forms part of the fund’s investment plan, through which it intends to disburse €60 million between now and 2019, according to explanations from Javier Alcalde, CEO of the group, speaking to Eje Prime. The objective will involve the firm spending €30 million in 2018 and another €30 million in 2019.

Launched in 2017, Optima Retail has just signed the purchase of the store located at number 17 Muelle de Benabolá in Puerto Banús from a family office. The asset, which has a surface area of 100 m2, is, and will continue to be occupied; it is let to the multi-brand footwear firm RKS. The operation has been advised by the real estate consultancy Catella.

The store displays the characteristics that the fund Optima Retail seeks for its portfolio: located in a prime area or provincial capital, as well as prices that do not exceed €4.5 million. The fund currently owns six units, located in cities such as Segovia, Vigo, Marbella and León.

Founded in 2004, and headquartered in Madrid, Optima Global Services comprises a group of companies dedicated to the real estate and energy sectors. One of the company’s areas of operation is the creation and management of real estate funds, both for external clients and on its own behalf. The company operates in a number of sectors, from retail to residential, to industrial, to hotel and including alternative assets such as hospitals and student halls.

Besides Optima Retail (its youngest vehicle), the company also operates through the fund Vastned, based in Amsterdam. In that case, Vastned focuses on assets located on prime streets of European cities, with Madrid and Barcelona amongst its targets in Spain. For example, Vastned’s assets in the Spanish capital include the properties at number 15 c/Ortega y Gasset and number 37 c/Fuencarral.

Optima Global Services also manages a portfolio of six shopping centres in Spain, located in Madrid (La Dehesa), Valencia (Mercado de Campanar), Zaragoza (Plaza Imperial), Córdoba (Connecta), Ciudad Real (Puerta del Ave) and Vigo (Travesía de Vigo). The company manages assets worth €600 million.

Original story: Eje Prime (by P. Riaño)

Translation: Carmel Drake

Barcino Completes a €9.7M Capital Increase

6 September 2018 – Eje Prime

Barcino is financing the expansion of its residential portfolio. The Socimi has completed its latest capital increase amounting to more than €9,761,033, through the subscription of 6,731,747 new shares. The operation has been conducted in two tranches, one for 3.9 million shares and the other for 2.8 million shares, according to a statement filed by the company with the Alternative Investment Market (MAB).

The Socimi, which has been listed on the MAB since last December, is in the middle of growing its residential portfolio. In May, it invested €2 million in the purchase of twenty assets in Barcelona, the city that represents the focus for all of its operations. Most of its buildings are rental homes, but it also owns offices and retail premises located all over the Catalan capital’s metropolitan area.

Before the end of 2017, the Socimi spent €1.6 million on a residential building on Calle Girona. The company’s Board of Directors comprises Mateu Turró, in the role of President, and two directors, Francesc Ventura and Ralph Weichelt.

In its debut on the MAB, Barcino was valued at €19.1 million. Specialising in investment and real estate management, the Socimi is controlled 50.01% by Barcino Management and managed by the company linked to the firm Vistalegre Property Management.

Original story: Eje Prime

Translation: Carmel Drake

MAB Approves Testa’s Stock Market Debut with Market Capitalisation of €1.83bn

24 July 2018 – Eje Prime

Testa is getting ready to refinance its debt. The Socimi in which Santander, BBVA, Merlin and Acciona Inmobiliaria hold stakes has included the refinancing of its liability on its roadmap, given that 91% of the firm’s gross financial debt is due to expire in 2022, according to an information document prepared for its incorporation onto the Alternative Investment Market (MAB), which was published yesterday.

As at 31 March, Testa’s gross financial debt amounted to €475 million, whilst the net financial debt amounted to €415 million. In addition, in order to finance the purchase of the BuildingCenter, the company took out two more loans amounting to €230 million.

As the company explained, of the total gross financial debt, €431 million (91%) expires in 2022. The company plans to refinance its debt by resorting to different instruments.

Testa’s plans following its debut on the MAB involve continuing with its purchase process, which involves acquiring between 1,000 and 2,000 apartments each year. According to the document, the Socimi has a pipeline with a GAV of around €539 million, which represents around 2,959 apartments.

As at 31 December 2017, Testa’s portfolio comprised 9,244 homes, 295 retail premises, located in the same buildings as the homes, and an office building and parking lot in Plaza Castilla, with a combined market value of €2.276 billion. Nevertheless, that data does not include the BuildingCenter portfolio.

In March, Testa signed an agreement to acquire the residential portfolio of the real estate arm of CaixaBank, comprising 1,458 homes. To date, according to the MAB document, Testa has acquired 1,450 apartments from that portfolio for a price of €226 million.

By geographical area, the Community of Madrid accounts for approximately 65% of the gross value of the portfolio, followed by San Sebastián, with 7.2%; Barcelona, 4.1%; Las Palmas de Gran Canaria, 2.9%; Valencia, 2.5%; Toledo, 2.4%; Pamplona, 2%; Valladolid, 1.9%, and Oviedo, 1.5%.

The company, in which Santander holds a 36.8% stake; BBVA a 25.6% stake; Acciona a 20% stake and Merlin Properties a 17% stake, will make its debut on the stock market with a capitalisation of more than €1.83 billion. The company’s stock market debut has suffered several delays, but yesterday it received the green light from the MAB.

Original story: Eje Prime (by P. Riaño)

Translation: Carmel Drake

CBRE: Shopping Centre Construction Soars with 30 New Sites Planned By 2020

5 July 2018 – Voz Pópuli

The market for the construction of shopping centres is soaring again. In Spain, there are currently 18 projects under construction with a combined gross leasable area (GLA) of 650,000 m2 and another 12 assets in the pipeline, spanning another 648,000 m2. That brings the total surface area to 1.3 million m2 across 30 projects between now and 2020, according to data from CBRE.

Although it is still too soon to talk about pre-crisis figures (when 800,000 m2 of retail space was constructed per year), the reality is that the sector is growing at rates that have not been seen since 2009.

Last year, five new shopping centres were inaugurated with a combined gross leasable area of 211,000 m2 and a surface area of more than 30,000 m2 each. Highlights included shopping centres in Madrid (Plaza Río 2), Gran Canaria (Alisios) and Melilla (Parque Melilla), the first ever shopping centre in the autonomous city.

In Spain, although there is a high density in general terms, there are still cities with a shortage of retail space. For example, Lleida lacks any offer and so there, Carrefour Property is promoting a new 55,000 m2 complex, which has secured demand from many retailers that do not currently supply that market. Nevertheless, the majority of the developments currently underway are located in Madrid, Sevilla and Barcelona.

Renovations

Another trend is for the renovation of existing complexes. During the crisis, the people responsible for retail premises were more concerned with surviving than with renovating their spaces. Now, refurbishments are being carried out in several shopping centres, led by huge firms such as Carrefour Property, Carmila and Merlin.

With the arrival of the internet, shopping centres have had to adapt and they are now looking to offer differentiating experiences to become meeting places and social spaces for communities.

The restaurant sector is the horse pulling the cart, given that the sales of traditional fashion is stagnating. Previously, the sector sought out fast-food operators but now restaurants are becoming attractions in their own right.

Original story: Voz Pópuli (by David Cabrera)

Translation: Carmel Drake

Socimi Tander Acquires Gran Vía 6 (Bilbao) for €7.5M

26 June 2018 – Eje Prime

Tander is expanding its geographical reach. The Socimi, present in Barcelona and Santander until now, is growing in the north of Spain with the purchase of its first asset in Bilbao. The company has acquired number 6 Gran Vía in the Basque city for €7.5 million, in its first operation since it made its debut on the MAB in January.

According to a statement filed by the company with the Alternative Investment Market (MAB), the operation includes “two properties that comprise a single commercial premise”, with a constructed surface area of 257.33 m2.

“These premises have been leased recently, and are on the verge of being handed over to the new lessee, something that will happen within the next few days”, says the company, owner of a fund in which the Canadian manager Première Alliance holds a stake.

To carry out the operation, Tander has required external financing. In June, the company granted various guarantees to ING to “free up” €8.32 million of the financing committed with the financial entity, which amounts to €54.27 million in total. Similarly, the company drew down €4.27 million more.

The Socimi is using that amount to finance the purchase of the asset in Bilbao as well as to strengthen “its financial capacity to comply with its real estate asset acquisition strategy”. Tander’s investment plan for 2018 amounts to €25 million, which will serve for the acquisition of between three and four assets outside of Madrid and Barcelona, according to Eje Prime.

The company debuted on the MAB in January with a valuation of €50 million. Tander owns five assets in prime areas of Barcelona and a sixth in Santander, which constituted a portfolio that was worth €80.3 million at the beginning of the year.

From Vía Laietana to Paseo de Gracia

Tander’s footprint in Barcelona is located in the centre of the city. The Socimi’s largest asset is an office at number 6-20 Calle Casp, which has a surface area of 3,457 m2. That building houses the offices of Cadena SER, owned by Grupo Prisa, just above Teatro Tívoli.

At number 15 Paseo de Gracia, the manager owns a retail premise measuring 527 m2, which is currently leased to FC Barcelona, which has opened a flagship store. In the same street, at number 27, the Socimi has leased a store measuring 792 m2 to the brand Cos, part of the H&M group.

Tander completes its portfolio in Barcelona’s city centre with part of number 47 Vía Laietana, an office building in which the Socimi has leased 1,100 m2 to Banco Sabadell. The financial entity also leases a branch measuring 155 m2 at number 171 Travessera de Gràcia, which is also owned by Tander Inversiones.

Original story: Eje Prime

Translation: Carmel Drake