Seur Sells Las Atalayas Logistics Centre to Blackstone in Sale & Leaseback Operation

20 July 2019 – Richard D. K. Turner

Logisland SA (Seur) sold its logistics platform in the Las Atalayas industrial park in a sale & leaseback operation to the U.S. giant Blackstone. The American fund acquired the asset through a subsidiary fund that was set up in Spain to carry out logistics operations, such as its acquisition of land from LAR Spain in 2018.

Suer is finalising the operation just as construction is expected to begin on its new logistics centre in Monforte del Cid in Alicante.  The two firms declined to reveal further details of the sale.

Original Story: Alicante Plaza – David Martínez

Photo: Rafa Molina

 

LaSalle Acquires Six Makro Stores for €73 Million

2 July 2019

LaSalle Investment Management announced that it had acquired a portfolio of six properties, all currently occupied by MAKRO Spain, from Metro Properties, as part of a sale-and-lease-back operation. The investment group acquired the portfolio on behalf of the French public pension scheme ERAFP for €73 million. Following the transaction, MAKRO Spain will remain the sole tenant of all six assets with a 15-year fixed lease term with extension options.

The six properties are located in Bilbao, Zaragoza, Badalona, Valencia, Alicante and Palma De Mallorca. Each constitutes the dominant wholesale store in its area. Makro mainly caters to buyers from the hotel, restaurant and catering sectors.

Original Story: Property Magazine International

Adaptation/Translation: Richard D. K. Turner

 

Pedro Trapote Puts Teatro Barceló in Madrid up For Sale

23 April 2019 – Expansión

The businessman Pedro Trapote has put the “for sale” sign up over Teatro Barceló in Madrid. The former Pachá nightclub was an important meeting point during Madrid’s “movida” era (in the 1980s).

The asset, located at number 11 Calle Barceló, was constructed in the 1930s and comprises six storeys with a useful surface area of 3,200 m2. The asking price for the property is reported to amount to around €25 million and the Spanish consultancy firm TC Gabinete Inmobiliario is advising the sale.

It is thought that the transaction will be formulated as a sale and leaseback deal with a long-term rental contract that will allow the property to continue as a nightclub.

The property was originally a theatre and cinema, but has been a nightclub for almost forty years. Some of the building’s installations have been renovated in recent years.

Original story: Expansión (by Rebeca Arroyo)

Translation/Summary: Carmel Drake

Liberbank Sells its HQ on the Outskirts of Madrid for €45.3M

1 March 2019 – El Confidencial

Last year, Liberbank sold its headquarters in Madrid for €45.3 million under a sale and leaseback arrangement, generating gains of €23.4 million. The bank will continue to occupy the property, located in the Fuente de la Mora area of the Spanish capital, on a rental basis.

Liberbank acquired the building from Sareb in 2015. The identity of the purchaser has not been revealed.

Original story: El Confidencial

Summary translation by: Carmel Drake

Eroski Sells & Leases Back a Hypermarket & Gas Station in Velez-Málaga

18 December 2018 – Alimarket

Eroski has sold the hypermarket and gas station that it owned in the El Ingenio Shopping Centre in the Malagan town of Velez-Málaga to the property developer Sociedad Azucarera Larios Patrimonio S.L. (Salsa Patrimonio), which forms part of the Azucarera Larios group. The assets will continue to be managed by the Basque cooperative under a 25-year lease contract. The centre has belonged to Eroski, through its company Cecosa Hipermercados, since its inauguration in November 2000.

According to a statement issued by Salsa Patrimonio, the firm is going to invest €25 million in the purchase and subsequent renovation of the hypermarket, which will reduce its surface area by 35%, from 13,782 m2 to 8,816 m2. Moreover, the statement highlighted that the objective of the operation is “to strengthen El Ingenio’s position as a reference shopping centre in the western Costa del Sol”, and the renovation will contribute to improving the shopping experience of its customers.

Indeed, Eroski is one of the retailers that is backing the sale and leaseback arrangement the most. This year, it has sold six other hypermarkets in this way in the Pais Vasco and Cantabria for €105 million, and just a few days ago, it did the same with its establishment in the El Mirador Shopping Centre, in the town of Jinámar (Las Palmas de Gran Canaria).

Original story: Alimarket (by Rosa de Lera)

Translation: Carmel Drake

El Corte Inglés Closes its Biggest Sale of Buildings To Date for €160M

18 December 2018 – Iberian Property

To continue its policy of reducing debt through the sale of real estate assets, El Corte Inglés has closed its biggest sale of buildings so far, receiving €160 million for its centres in Parquesur and La Vaguada, both in Madrid.

Although the group will continue to operate in these commercial centres on a tenant basis, the properties will now be owned by Unibail-Rodamco-Westfield (URW). Thus, it is also selling the stores that it had in the interior, where URW already was co-owner. The Parquesur store measures 20,000 m2 and the La Vaguada store spans 20,200 m2, as reported by Cinco Días based on data from ‘La Asociación Española de Centros y Parques Comerciales’ (the Spanish Association for Shopping Centres and Retail Parks).

Through this transaction, El Corte Inglés is continuing its strategy of divesting non-strategic real estate assets. Thus, in 2018, it has carried out several sales, specifically, it sold two assets in Madrid to the Inbest Socimi in the summer for €100 million and another two assets in Valencia in October for about €90 million.

The value of the URW’s properties in Spain, not including this latest transaction, amounts to €3,823 million.

Original story: Iberian Property (by Jaqueline Cardoso)

Edited by: Carmel Drake

Eric Vökel Boutique Apartments Sells 1,000-m2 Property Next to Sagrada Familia

4 October 2018

The company owns by the Danish architect sold the building to a Catalan family office. The operation was concluded using a long-term sale & lease-back contract.

The market for tourist apartments us continuing to see an elevated level of activity in Barcelona. Eric Vökel Boutique Apartments, a company that specialises in the sector and which was founded by the Danish architect of the same name, just sold a 1,000-square-meter property next to the Sagrada Familia in Barcelona, ​​according to sources with knowledge of the transaction.

The new owner of the building is a Catalan family office, which completed its acquisition of the asset with a long-term sale & lease-back contract and with a return just under 4%. The transaction, which was concluded for an undisclosed sum, was advised upon by the consultancy Valliance.

Eric Vökel intended to generate funds to undergird the firm’s planned international expansion while maintaining its presence in the Catalan capital, where it owns two other properties. One of those properties is also located near the Sagrada Familia, while the other is in the middle of Gran Vía.

Founded by the Danish architect Eric Vökel, the company was created in Barcelona after a trip by the Nordic executive to the Catalan capital, where he now lives. Outside of the Catalan capital, the company has boosted its portfolio through the acquisition of tourist apartments in Madrid, Hamburg, Amsterdam and, more recently, Copenhagen.

The residential tourism market is on an upswing in Barcelona. During the last Easter week, apartments of this type saw prices increases of 11.6%, according to a report from the apartment manager Hostmaker. The study estimated that the daily price that visitors paid for staying overnight in a home in the Catalan capital reached 115 euros.

Hostmaker has been one of the most active players in the sector in Barcelona in the last year and a half. The online platform plans to finish 2018 with 600 flats under management in the Catalan capital, quadrupling the size of its portfolio since 2017. The company also began operating in Madrid this year, EjePrime reported. Jaime de la Torre de Ysasi-Ysasmendi, who once worked at both Airbnb and Amazon, is the firm’s new general director as Hostmaker doubles down on its investments in the country.

Original Story: EjePrime – Jabier Izquierdo

Translation: Richard Turner

Blackstone Offers €3bn+ for Santander’s Ciudad Financiera HQ

10 September 2018 – El Confidencial

Santander’s Ciudad Financiera, the operating headquarters of the bank chaired by Ana Botín in Boadilla del Monte (Madrid), is being put up for auction five years after its owner, the company Marme Inversiones 2007, owned by several investment funds, filed for bankruptcy. After an arduous legal process whereby the bankruptcy administrator and the court managing the liquidation has released the asset, the central offices of Spain’s largest financial institution have been put on the market in search of a buyer.

According to financial sources close to the process, one of the most interested parties is Blackstone, the US hedge fund that has become Santander’s largest real estate partner after it purchased half of its portfolio of toxic assets last year. The US fund is negotiating the finishing touches for the presentation of its offer for the building where the bank employs almost 7,000 employees, including the office of the President, Ana Botín. According to the same sources, Blackstone is debating whether to participate in the auction by itself or to team up with the other creditors that supported the purchase of the Ciudad Financiera in 2008.

Of those, the presence of ING, HSH Nordbank, CaixaBank and Bayeriche Landesbank stand out, which 10 years ago granted a €1.575 billion loan to Propinvest to acquire Santander’s largest real estate asset on a “leaseback” basis. Other entities also participated in that loan including Deutsche Postbank, Royal Bank of Scotland and Raffeisen Zentralbank, which in 2011 started to sell its stake in the loan to vulture funds at significant discounts on the nominal value, when the owner started to realise that it could not afford to pay the debt.

One of the players that purchased that debt was Blackstone, together with other similar funds, such as Centerbridge and Avenue Capital. According to other sources, those investors are seriously considering submitting a joint offer on 17 September, the date on which the interested parties have to appear before the judge. That date is the one that has been set for the binding offers for all of the assets to be processed. If none are received, which is unlikely, then the Ciudad Financiera will have to be split up and sold off piecemeal.

According to these sources, Blackstone is now the main candidate, after two Arab groups placed tentative offers on the table that never proved successful due to legal wrangling and the lawsuits filed by some of the creditors, such as the Iranian Robert Tchenguiz. The investor, who owns several properties in London and is known for his idle lifestyle, was another person to take advantage of Propinvest’s bankruptcy to acquire debt at low prices and whereby become a significant creditor. Nevertheless, his problems with the Law – he ended up being arrested – have ruled him out of the process to take ownership of all of the Ciudad Financiera.

Arab interest

The player that came very close to acquiring Santander’s headquarters was AGC Equity Partners, a Kuwaiti fund with €3 billion under management, which received approval from Mercantile Court number 9, which was leading the bankruptcy of Marme. But its bid, which amounted to €2.5 billion, now needs to be updated, given that, according to various sources, the debt alone of the special purpose vehicle reached €2.8 billion, including senior and mezzanine. Therefore, the offers must exceed at least €3 billion, which means that this auction is going to turn into one of the largest real estate operations of the year.

The attempt by AEG, which was suspended when Ana Botín exercised the right of first refusal over Ciudad Financiera, came at the same time as the bid from Aabar, a company from Abu Dhabi, owned by IPIC, the owner of Cepsa, now renamed Mubadala. According to those sources, that fund is no longer interested in the auction and Santander has no intention of exercising its preferential right, as acknowledged by official sources at the Spanish entity.

The main attraction of Ciudad Financiera is that Santander, which financed the first operation with a loan amounting to €304.6 million to pay the VAT on the purchase, has committed to remain as the tenant of the property for the next 40 years, which means that the rental income is guaranteed.

Original story: El Confidencial (by Agustín Marco)

Translation: Carmel Drake

Lasalle & Corpfin Buy 4 Assets from Makro for c. €100M

30 July 2018 – Eje Prime

Makro is lightening its property load. The food distribution group has sold four assets in Spain to Lasalle and Corpfin for almost €100 million. Specifically, the fund has acquired three of Makro’s centres in Madrid for €90 million, whilst Corpfin has purchased one asset in Madrid for €8 million, according to Expansión.

The company has sold to Lasalle the buildings in Barajas, Alcobendas and Paseo Imperial, all located in the Community of Madrid, in a sale and leaseback operation brokered by CBRE. Other distribution groups such as Inditex and El Corte Inglés have carried out similar operations over the last year.

On the other hand, Makro has sold 8,000 m2 of retail space, also in Madrid, to Corpfin for €8 million. That operation has been brokered by the consultancy firm Knight Frank.

Makro has 37 centres in Spain, which span a total commercial surface area of 241,744 m2. The chain belongs to the German group Metro, which operates in 35 countries around the world.

Original story: Eje Prime

Translation: Carmel Drake

Primark to Open a Megastore in Barcelona’s Plaza Cataluña

12 July 2018 – Idealista

Primark is finally entering the centre of Barcelona. The low-cost fashion company is going to open a flagship store at number 23 Plaza Cataluña, in a building owned by the fund manager IBA Capital, according to confirmation from real estate sources speaking to Idealista News. Until now, the property has been occupied by the El Corte Inglés department store group, but now the Irish chain is going to take over the 7,393 m2 property.

IBA Capital acquired the building in 2013 for €100 million and, over the last six months, since it has been on the market, the asset has attracted attention from the main fashion groups in Europe, including H&M, Primark, Inditex and the Japanese firm Uniqlo.

The building has a gross leasable area of 7,393 m2 and is located at the junction of Plaza Cataluña and Las Ramblas, one of the new commercial thoroughfares in Barcelona following the opening of establishments by the Galician giant Inditex there, as well as by operators such as Mango, Apple and Urban Outfitters.

The building was leased in its entirety to El Corte Inglés until a few months ago, which operated it through a multi-brand concept with firms such as Gap, Tommy Hilfiger, Guess, Diesel, Maje, Sandro, Stefanel and Desigual.

The property was renovated in 1998 and used to house the former headquarters of Banco Central and one of the only stores that the British firm Marks&Spencer used to have in Spain. Following the purchase by IBA Capital, El Corte Inglés and the fund signed a sale and leaseback contract, which expired in 2018.

IBA Capital in the Spanish market

Founded in 2013, IBA is led by Thierry Julienne and Jesús Valderrama, the founders of the investment vehicle. The fund manager has the capacity to manage all classes of real estate assets and its portfolio is currently worth €1 billion.

The portfolio comprises more than a dozen assets situated in first-rate locations in Madrid and Barcelona. Its properties include number 18 Gran Vía, number 9 Preciados and the ABC Serrano shopping centre, which have been acquired for subsequent renovation.

The other assets are office buildings including the property at number 96 Calle Santiago de Compostela, in Madrid and the Tripark Business Park, in las Rozas. Moreover, the fund owns the Vodafone Building, located at number 115 Avenida de América, and the Manoteras Leisure Park, also in the Spanish capital.

Original story: Idealista (by Custodio Pareja)

Translation: Carmel Drake