Tag: suspend

Santander Suspends The Sale Of Its Ciudad Financiera

29 November 2016 – Expansión

Santander has managed to suspend the sale of its headquarters in Madrid because it wants to exercise its right to buy the property, according to sources at the entity, something that it had not expressed any interest in doing so far during the current process.

This right is recorded in the contract that the bank signed in January 2008 with the consortium led by the British real estate investor Proinvest, with whom the sale of the Ciudad Financiera Santander was agreed, along the simultaneous rental of the property for a period of 40 years. “In the end, the future buyer is going to be our tenant and therefore, we have to consider that offer. Depending on the price, it may better for us to buy it from them given that we have the right to an option that has not been respected during the process”, said sources close to the bank.

As a result, Commercial Court number 9 in Madrid, has decided to suspend the purchase offer from the Kuwaiti fund ACG Equity Partners for Santander’s headquarters, worth €2,500 million.

Ruling

On the other hand, the Supreme Court has upheld a fine of €1 million imposed on Santander on 12 June 2015 by the Council of Ministers, as the universal successor of Banesto, for a “very serious” breach of the Law governing the prevention of money laundering and terrorist financing. (…).

Original story: Expansión

Translation: Carmel Drake

Socimis: Spain’s Political Uncertainty Is Starting To Affect Investors

29 May 2015 – El Economista

The sector is hoping that the fear will pass and the uncertainty will come to an end soon.

Just two weeks ago, the real estate sector claimed that the emergence of new political parties in Spain would not affect the volume of investment. However, that perception has changed following the recent elections.

The current political uncertainty is palpable and the players in the sector fear that investment in property is stalling. The main Spanish Socimis are already detecting reluctance from investors, based on the views they shared at a forum organised by Deloitte. Moreover, the CEO of Merlín, Ismael Clemente, warned yesterday that companies issuing bonds will do so in poorer conditions from now on.

The fears

According to sources consulted by this newspaper, the sector fears that funds “will suspend the plans they had for Spain until after the general election”, or that they will have a complete change of heart and choose to focus on other markets.

Nevertheless, there is another side to the coin and that is that the funds may play their cards so as to push down prices  in the face of so much “uncertainty”. That is the word that has been repeated time and again in the sector over the last few days, but everyone is hoping that the “fear will soon pass”.

Original story: El Economista (by Alba Brualla)

Translation: Carmel Drake