Tag: total surface area

C&W: Logistics Leasing in Madrid Rose by 19% in H1 2018

5 July 2018 – Mis Naves

According to data compiled by Cushman & Wakefield, during the first half of the year, companies leased 446,000 m2 of logistics space in the Community of Madrid, which represents an increase of 19% with respect to the same period in 2017.

The upward trend that was observed during 2017 in terms of logistics leasing in Madrid has been maintained so far in 2018 and has even intensified over the last few months, according to data compiled by Cushman & Wakefield. The levels of demand for logistics space in the Spanish capital are continuing to exceed all market forecasts.

Companies leased a total surface area of 446,000 m2 in the Community of Madrid during H1 2018, which represents an increase of 19% with respect to the same period in 2017. This data is particularly significant if we take into account that during the whole of last year, logistics leasing reached historical highs of 871,000 m2. Of the total for the half year, 51% of the surface area corresponded to the second quarter, given that 227,000 m2 of space was leased between April and June.

In this period, 21 contracts were formalised in total, and operations exceeding 10,000 m2 amounted to more than 157,000 m2, which accounted for 70% of the space leased during the last three months. The trend in terms of average rents continued to increase slightly and the availability rate is continuing to fall, in an environment in which construction activity is becoming increasingly intense.

In this context, characterised by a scarcity of available warehouses, the most important operation during the second quarter, spanning 33,000 m2, involved a turnkey operation. In addition, land purchases continued, which will lead to future announcements of new logistics warehouse developments over the next few quarters, according to Cushman & Wakefield.

Original story: Mis Naves

Translation: Carmel Drake

BMO Debuts its New RE Vehicle in Spain with €1bn to Invest

15 May 2018 – Eje Prime

BMO Real Estate Partners is backing Spain with its new real estate investment vehicle. The international fund has just launched Best Value Europe II (BVE II), which will specialise in the high-street retail market. One of the company’s first purchases has been a prime asset in Madrid, which it bought together with another commercial premise in Verona (Italy): for the two properties, BMO paid €39 million.

Nevertheless, BMO’s new vehicle has the financing to spend a lot more. The fund’s initial plan involves creating a portfolio of assets worth €500 million, a figure that it plans to double to €1 billion over the medium-term, according to Business Inmo.

After its initial purchases in Madrid and Verona, the fund has also just closed its third acquisition in Lisbon. BMO has paid €15.2 million for that asset, which is located on Avenida da Liberdade, the main commercial thoroughfare in the Portuguese capital. The property, which has been completely renovated, is designated for mixed use as offices and retail space, and has a total surface area of 2,104 m2.

The path that BVE II will follow will be similar to that of the first vehicle that BMO launched for this market and which focused on finding high street premises on the most prime streets of the main European capitals. The predecessor of this new company has now invested more than 90% of its funds; it owns a portfolio containing 12 assets worth more than €700 million.

Original story: Eje Prime

Translation: Carmel Drake