Tag: short-term lets

Orinoquia Real Estate to Invest €47.7 Million in Co-Living and Temporary Stay Projects in Spain

30 October 2019 – The Venezuelan family Capriles is increasing its bet on the Spanish real estate market, after a major push into the luxury residential market with Gran Roque, its developer. Now, their socimi, Orinoquia Real Estate, will invest more than 47.7 million euros in co-living and temporary stay projects.

The socimi plans to build seven buildings and more than 205 flats. The first two buildings, in Málaga and Valencia, are already under construction. The others will include another in Málaga, two in Seville and one in Madrid.

Original Story: Idealista – Custodio Pareja

Adaptation/Translation: Richard D. K. Turner

The Hatchwell’s Socimi Excem Plans a €300M Capital Increase

18 March 2019 – El Confidencial 

The Socimi Excem, which is linked to the Hatchwell family, considers that its particular business model is immune to the new Rental Act. The company specialises in the rental of shared flats to university students and young professionals. As such, its clients are not subject to some of the aspects of the new legislation that are causing the most concern, such as the new contract terms (five or six years) or the limits on avals and guarantees.

Each young person pays the Socimi an average of €600 per month by way of rent and typically stays in the property for less than a year. That allows the vehicle to generate a gross return of 7.46%.

Moreover, in Spain, around 400,000 students have to find accommodation every year and 85% of them want a shared flat, rather than a hall of residence. As such, Excem is convinced that it needs to expand its business model across Spain and, to this end, is planning to undertake a €300 million capital increase this summer to finance that expansion.

Currently, Excem has 42 flats comprising 288 rooms, spanning a residential surface area of 8,000 m2. The company wants to expand to Barcelona and Valencia first, although it also has cities such as Málaga, Sevilla, Bilbao and Vigo on its radar. The aim is to grow the portfolio to include 4,000 beds across the whole Peninsula.

Original story: El Confidencial (by Ruth Ugalde)

Translation: Carmel Drake

Be Mate Signs an Agreement with Q Capital for €100 Million to Buy Apartment Buildings

26 March 2018

The company plans to acquire between eight and ten new buildings within three years.

The home rental company Be Mate signed a €100-million collaborative agreement with the investment fund managed by Q Capital to finance its expansion and acquire between eight and ten new buildings over the next three years.

The Sarasola-based company, together with Q Capital, will invest in apartment buildings aimed at medium and long stays for corporate clients.

The agreement, which has already been signed, will allow the apartment-rental company to build “enough momentum” to take on new buildings in the main Spanish cities and in the international regions where Be Mate already operates, the company said in a statement.

“It is undoubtedly a big step in Be Mate’s growth,” said the founder of Room Mate Group, whose tourism rental platform aims in the coming months to exclusively manage buildings within its new business model.

First apartment building

Recently, the company opened its first full apartment building in Madrid, the Plaza de España Skyline by Be Mate. The property has 37 apartments, parking spaces and a 24-hour concierge.

Currently, the platform manages three types of apartments: in online marketing where owners advertise their homes through the Be Mate website, fully managed apartments where the company offers owners to manage the maintenance, cleaning and check-in of customers in addition to marketing the properties) and corporate apartments, aimed exclusively at companies.

Be Mate already has more than 10,000 apartments, 600 of which are managed exclusively. The company is present in twelve regions (eight international) and has revenues of six million euros in 2017. 40% of its clients come from international markets. Recently, Be Mate has seen a twelve-fold increase in rooms sold and a ten-fold rise in revenues.

Original Story: Diário Agenttravel.es

Translation: Richard Turner