Tag: strategic location

Palm Capital Acquires 3 Logistics Projects in Getafe from BCM

26 February 2018 – Observatorio Inmobiliario

Palm Capital has become a protagonist in the Spanish logistics market with the acquisition of three projects in the Los Gavilanes Business Area in Getafe from the property developer BCM (MCA Group). The operation, advised by the real estate consultancy Proequity, involves the acquisition, under the forward funding method, of three turnkey logistics projects with constructed surface areas of approximately 33,000 m2, 25,000 m2 and 27,000 m2, respectively.

The price for which the agreement has been closed has not been disclosed by the parties, but the value of the three completed projects is estimated to amount to around €100 million.

The first project that is going to be constructed will comprise two platforms measuring 22,000 m2 and 11,000 m2, which may house up to four different operators. It is expected to be ready for delivery by the first half of 2019.

With this acquisition, Palm Capital is going to become the main owner in the Los Gavilanes Business Area, with more than 85,000 m2 of leasable logistics space under ownership. Gavilanes represents the first acquisition that Palm Capital made in the Spanish logistics market and marks the beginning of an ambitious expansion plan through which it intends to acquire and build more logistics assets in the short term.

The Los Gavilanes Business Area is positioned in a strategic location in the south of Madrid, 16km from the centre of the Spanish capital. It has quick access to the A-4 highway between Madrid and Andalucía and 1,500 m2 of its façade overlooks the M-50 ring road. For this reason, first-class companies such as Amazon and Decathlon have already chosen the location for their distribution centres.

Original story: Observatorio Inmobiliario

Translation: Carmel Drake

Segro Acquires 2 Logistics Plots in Madrid & Barcelona

16 January 2018 – Press release

Segro, the British investment fund specialising in the logistics sector, is increasing its presence in Spain with two new acquisitions in Getafe (Madrid) and Sant Esteve de Sesrovires (Barcelona). Both assets were acquired in December 2017.

On the one hand, Segro has announced the acquisition of a plot of land measuring 8 hectares in Getafe for the construction of a logistics warehouse measuring 46,000m2. That land is strategically located in the Puerta Mayor-Los Gavilanes Business and Logistics Park, a relatively new location 14km to the south of Madrid, alongside the A4 Madrid-Andalucía highway and with direct access to the M-50.

That logistically strategic area is home to several large multinational companies, such as Decathlon, CostCo and Amazon, but suffers from a relative shortage of buildings measuring more than 40,000 m2 in the market in Madrid, despite the high demand for large units this year. Work to build the logistics warehouse will begin during the first half of the year in response to this market need.

On the other hand, Segro has acquired a new asset in Sant Esteve Sesrovires. That plot comprises 8 hectares and is located 35km away from Barcelona’s city centre. Sant Esteve Sesrovires is located between the A2 and A7 highways, which run from Barcelona to Madrid and represents a strategic communication hub. Barcelona is an area with a shortage of modern, high-quality warehouses, and for this reason, Segro will proceed to construct a 51,000 m2 property (…).

Whilst the construction and financing of the project will be completed over 2 phases during 2018/2019, work on the first phase spanning 29,000 m2 will start at the beginning of Q1 2018. This project coincides with the construction of a 20,000 m2 warehouse that the firm is working on in Martorelles, which will be completed in the summer and available for rent thereafter (…).

With these two new acquisitions, Segro, in its commitment to expand its presence in Spain, is positioning itself as one of the important investors in the Spanish logistics market with a portfolio spanning 255,000 m2. Segro is continuing to focus on high-quality buildings and prioritise strategic locations to create a privileged portfolio of warehouses for distribution and urban logistics, creating high added-value spaces for large companies and SMEs alike.

About Segro

Segro is a British Listed Real Estate Investment Company (Socimi) and European market leader in the management, promotion and construction of logistics and industrial assets. Segro owns and manages a portfolio of properties spanning 6.3 million m2, with a market value of GBP 8 billion, providing services to various clients in the logistics and industrial sector. Its parks are located in the main distribution and transport hubs of the countries in which it has a presence. It owns some of the best logistics parks and transport centres in Europe.

Segro enjoyed a record year in 2016 and according to its provisional results for 2017, the company recorded a 3.9% increase in its net rental income. Moreover, it signed rental contracts worth GBP 27.5 million (around €30.8 million), up by 28% compared to the same period in 2016 (…).

Original story: Press release

Translation: Carmel Drake

Mazabi’s Socimi Silicius Plans to Double its Portfolio in 2018

18 December 2017 – Eje Prime

Mazabi is backing Silicius‘ growth. The Socimi is ending the year by drawing a new roadmap for its future and setting itself new challenges for 2018. According to explanations provided by the company, one of its objectives is to reach an asset volume of €300 million next year, compared to its current property portfolio value of €120 million.

Currently, Silicius receives annual rental income of approximately €6 million. Recently, the company purchased a new asset in the north of the country: it acquired the property at number 2 Plaza Arroka in San Sebastián, owned until then by the supermarket chain Eroski (…).

Silicius is also currently in the middle of developing its plans for the Obenque building in the Spanish capital, which has undergone a complete renovation, according to Eje Prime. The total surface area of that property amounts to 5,870 m2 and it is used as office space, with 140 parking spaces. The work on Obenque will finish in February, but the company has already started marketing the asset, which may be leased in its entirety by a single operator or shared between several tenants. The average rental cost of the building is approximately €14/m2/month or €1.12 million per year (…).

At the beginning of October, the company signed a €29 million loan with two Spanish banking entities. With that loan, the real estate company may accelerate the purchase of assets (worth €44 million) forecast in its business plan before the end of the year.

According to Juan Díaz de Bustamante, the CEO of Silicius, these acquisitions will primarily be retail premises, out of town stores and office buildings leased over the long-term. “The strategic locations for us are the main cities in Spain and the provincial capitals, with a special focus on the north of the country”.

The company is not going to limit its acquisitions to Spain and will analyse opportunities in Europe’s major capital cities as well. Specifically, the company is currently looking at the possibility of closing an acquisition in Portugal.

The new phase for Silicius will be divided into two, according to sources at the Socimi. “Firstly, the Socimi will incorporate family groups and real estate firms into the project through the contribution of rental assets by the respective groups to diversify their investment and risk with the aim of finding liquidity and management efficiency”. In this sense, Silicius expects to be able to finance its plans with a capital increase, through contributions, ranging between €25 million and €50 million.

In the second part of the new phase, the Socimi will incorporate a contributing equity partner to its share capital. The group has set itself the objective of listing on the stock market in 2018 with a value of around €250 million. Once listed, the company’s aim is to incorporate institutional shareholders to achieve the minimum target of €400 million, the amount that the group considers necessary for the Socimi’s shares to be considered liquid.

Currently, the firm holds in its portfolio a hotel in Conil (Cádiz), two office buildings in Madrid and four retail assets with tenants such as Cortefiel on Paseo de la Castellana and another leased to Vips on Calle Velázquez.

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake

Trajano Iberia Buys 4 Logistics Warehouses For €42.9M

5 December 2016 – Heraldo

The Socimi Trajano Iberia, which is listed on the Alternative Investment Market (MAB) and which is managed by the real estate investment division of Deutsche Asset Management, has purchased four logistics warehouses in Zaragoza for €42.9 million, according to reports from sources at the company on Friday.

The assets are located in the Campus Plaza 3.84 industrial estate in Zaragoza, the city’s main logistics centre. The location is “strategic” given that it is at the centre of Spain’s main logistics thoroughfares (between Madrid-Barcelona and Euskadi-Valencia), according to the sources.

The assets, which are leased in their entirety to 6 tenants, have a combined surface area of 72,484 m2 and 68 loading bays.

The average life of the contracts (until the first maturity date) exceeds 6.5 years. The longest lease is not due to expire for more than 10 years.

After completing this purchase, Trajano Iberia has now invested €181 million in total. It has a combined managed surface area of 117,000 m2 and an average purchase yield of 6.7%.

The company’s current product mix comprises: offices (31%), shopping centres (34%), logistics assets (22%) and high street stores (13%).

In October, the company completed a €47 million capital increase in order to undertake additional investments amounting to between €95 million and €100 million.

The Trajano Iberia Socimi was created in June 2015, with the aim of investing in a mixed portfolio of diverse properties in Spain and Portugal, primarily for rental.

Since its constitution, the company has raised funds amounting to €142 million and has carried out the procedures necessary to enable it to be listed on the MAB, which is a necessary requirement for it to be allowed to operate as a Socimi, say the sources.

Original story: Heraldo

Translation: Carmel Drake

Princeton Acquires c/Mazarredo 7, Next To Google Campus

9 March 2016 – Noticias CBRE

The British family office Princeton has closed the acquisition of the building on Calle Mazarredo 7, in Madrid, in a deal advised by CBRE, the world leading real estate consultancy and services company. The property, situated in a strategic location next to the headquarters of the Google Campus, has a surface area of 4,000 m2 spread across 5 floors.

It is a unique, listed building next to the Manzanares River, located in the new technological area of Madrid that has become fashionable thanks to the arrival of the Google Campus. The building will be leased to companies who want to be located in the area of influence around the technology giant’s headquarters.

Princeton is the investment vehicle of the Lee family, the former owners of the company Imry Property Holdings, which was listed on the London Stock Exchange for more than 25 years. Since the sale of the company, the Lee family has undertaken significant investments in Europe, the UK and the USA, often in partnership with major institutional investors. In April 2015, it acquired a building measuring 10,600 m2 on Calle Fomento, 2, in the Plaza de Santo Domingo, close to Gran Vía, which shows this investor’s commitment to the Spanish market. Following that operation, its purchase of the building on Calle Mazarredo, 7, next to the Google Campus in Madrid, constitutes Princeton’s second acquisition in Spain.

In this way, we are beginning to see the impact of the Google Campus on the area. The headquarters of the technology firm opened its doors last June in the Madrilenian district of Arganzuela, with the aim of becoming a meeting point for entrepreneurs and creatives, and in response to the growing demand in the city for shared work spaces. According to Paloma Relinque, the National Director for Capital Market Foreign Investments at CBRE, “the arrival of the Google Campus is generating an environment of entrepreneurship and a technological meeting point that is impacting the whole area. Demand is very high and it is unlikely that the Campus will be sufficiently large to satisfy it, which means there will be entrepreneurs looking for co-working spaces in the surrounding area”.

Original story: Noticias CBRE

Translation: Carmel Drake