Tag: town hall

Land Use In Espai Vila-Real May Be Modified

20 October 2017 – El Periódico Mediterráneo

“Clearly, times have changed”. With that phrase, José Benlloch, the mayor of Vila-real, acknowledged that the plots of land in Espai Vila-real may be reclassified (in terms of their use), now that the Government has decided that the intermodal station will not be constructed in Castellón.

One door closes, but others open, and the Town Hall wants to be prepared not to waste its opportunities. It is for that reason that Benlloch is planning to meet the owners of the land, spanning 1 million m2, which comprises this Comprehensive Action Plan (PAI), to find out “what options are being considered in terms of its ownership and to inform them about the current possibilities”.

The mayor seems willing to modify the uses of the land if necessary and to “change the terms of the program, provided there are expectations on the part of the owners”. The one option the municipal corporation has ruled out is the large shopping centre that the Popular Government’s team, led by Juan José Rubert, planned in 2007. That plan included, amongst other matters, the arrival of the Swedish multinational Ikea in the town.

Mediterranean Corridor

One of the options that is gaining strength at the moment is the conversion of these plots, located opposite Porcelanosa, into a logistics hub, linked to the construction of the third strand of the Mediterranean Corridor. Such infrastructure is being demanded not only by the Regional Government but also by most of Valencia’s businesses. “We are aware that if this goes ahead, users will need places for storing goods temporarily, and we think that these plots are perfect for that, given that they are located in the heart of a very industrial district, La Plana Baixa”, explained the mayor.

Even though this idea will be on the table at the meeting between the Town Hall and the landowners, Benlloch is convinced that this question may be “compatible” with other proposals linked to the installation of new industries and projects relating to services, as well as the business that may be negotiated over the next few months. That said, the mayor wants to begin the new phase that is been opened by drawing “a roadmap that is shared” with the owners.

Original story: El Periódico Mediterráneo (by Xavi Prera)

Translation: Carmel Drake

Torreblanca Golf Attracts Swedish, Belgian & Chinese Investors

18 October 2017 – El Periódico Mediterráneo

Swedish, Belgian and Chinese investment funds have all expressed an interest in developing the Doña Blanca Golf de Torreblanca project, whose foundations were initially approved again by the Town Hall (of Torreblanca) last Tuesday, during an extraordinary plenary session. The expectation is that the project will be awarded at the beginning of 2018 and may become a reality in 2022.

In fact, the government’s team says that even before launching the tender for the program, it already has half a dozen companies and investors on the table, who have registered their interest in the urban planning project. Three of them are backed by foreign capital.

In the opinion of the councillor responsible for Town Planning, Rosana Villanueva, that fact reflects the interest that the golf project has sparked. The plan is to maintain intact the characteristics of the initial program, created in 2005, and for the project to be put out for tender for around €58 million, which will represent a saving of €3.5 million with respect to the initial plan, which exceeded €61 million in total.

The PAI (‘Programa de Actuación Integral’ or Comprehensive Action Program) is considering extending the site by 1,910,254 m2, with 600,000 m2 allocated to the 18-hotel golf course and an urbanised area spanning 1,233,255 m2, with 4,410 homes, as well as hotels, tennis courts, a football pitch, shopping centres, 125,000 m2 of green space, a promenade and a coastal park measuring 80,000 m2. And the companies have expressed their interest in the complete development.

In fact, the PAI is one of the Town Hall’s priorities. That has been highlighted by the socialist mayor, Josefa Tena, since the beginning of her term and, now past the half-way point, she is continuing to back the golf course as a generator of employment and driver of tourism in the municipality. Its launch would represent one of the highest aspirations of the local government, “along the creation of employment”.

“Moreover, it would foster tourism and develop a coastal space with green, sustainable and controlled urbanism. Given its location and proximity to the airport “the seasonality of local tourism could be evened out; moreover, it will be the only beachfront golf course (in the country), which makes it a very attractive prospect indeed”, said the mayor.

The document to be presented to the plenary session will include an appendix with the foundations for the tender work for the construction firms, in order to speed up the process and ensure that the megaproject is given the green light as soon as possible.

Original story: El Periódico Mediterráneo (by Merche Martinavarro)

Translation: Carmel Drake

La Zagaleta’s Owners To Build Luxury Homes For Millennials

30 April 2017 – Expansión

Located in the municipality of Castellar, in Cádiz, alongside the exclusive urbanisations of Sotogrande and Valderrama, the latest estate in the area is awaiting approval from the Town Hall to become a modern and luxurious residential resort. The site will also include a first-rate golf course and a five-star hotel. The project in question is Valderrama 2, an estate with a surface area spanning 220 hectares, which was acquired by the company La Zagaleta Limited last year.

The firm, which is headquartered in London and which owns another luxury residential development, known as La Zagaleta, purchased the Valderrama group, the company that owns this plot, as well as a golf course of the same name, regarded as the best in Spain and one of the best in the world, in an operation worth €40 million (…) in December 2015 (…).

The new project from the owners of La Zagaleta, considered the most luxurious urbanisation in Europe and located in the Malagan municipality of Benahavís, will also be for millionaires, but with certain differences. “In La Zagaleta, there are two lines: one with homes worth between €5 million and €8 million and the other with homes worth more than €11 million, which is the line we are promoting. Valderrama 2 is a different concept, its homes are worth between €3 million and €5 million, which buyers can easily finance if they want”, said Ignacio Pérez, Director of Business Development at La Zagaleta.

An integrated resort

Similarly, the new development, which will have a maximum of 200 homes, with plots of between 2,000 m2 and 3,000 m2, will be targeting a different public to La Zagaleta. (…). “The idea is to build homes without fences, like in Los Angeles or Florida, where you can see without being seen, which will incorporate the latest developments to meet the demands of the millennials”, he added. The objective of La Zagaleta is to sell these homes in advance so that its clients can personalise them during their construction. (…).

La Zagaleta expects construction to begin within three years. (…).

In total, the group expects to invest €200 million of its own funds developing the urbanisation over a ten year period, although that figure could rise to more than €400 million. “We will get on with building the homes, at a rate of around 20 per year, for example. The logical thing is to finance them over the long term so that buyers can easily subrogate those loans and purchase the properties using minimal own funds”.

Original story: Expansión (by Rocío Ruiz)

Translation: Carmel Drake

Prologis To Invest €30M In New Logistics Centre In La Ribera

25 April 2017 – El Mundo

The period of lethargy in the logistics sector has come to an end. With a growing demand that far exceeds supply, the US-based multinational Prologis is planning new projects in the Community of Valencia. The company, which is headquartered in San Francisco, inaugurated the first phase of a centre on the Valencia Logistics Park (Parque Logístico de Valencia or PLV) last week and is now finalising the construction of another large project in Massalavés, in the Ribera Alta region. This warehouse will have a constructed surface area of 60,000 m2 on a plot measuring 90,000 m2, according to the Director General for Prologis Iberia, Gustavo Cardozo.

Unlike the property inaugurated in Riba-roja, which the logistics multinational has constructed at its own risk to offer it under lease, the park in Massalavés will be constructed jointly with an operator to whom the new venue will be delivered turnkey. Negotiations with the interested company are very advanced, although Cardozo managed to avoid revealing the identity of the company in question. The project will be carried out on a plot of land that Prologis acquired in 2005, but which has been undeveloped since the outbreak of the crisis.

The Director General of the company in Spain estimates that the investment relating to this project will amount to €30 million, although the impact of Prologis in the region will be higher. In addition to that figure, there is the amount that has been allocated to the construction of the two modular warehouses in Riba-roja (€20 million). This centre, whose first phase is already operational, will generate 170 direct jobs, according to the Councillor for Homes and Public Works, María José Salvador, who cut the ribbon at the inauguration ceremony. Also in attendance at the inauguration were the Director General of Prologis for the South of Europe, François Rispe, as well as the mayor of the town, Robert Raga. (…). According to Raga, the new tenants will move into a plot of land measuring 27,000 m2, which until now had been owned by the Town Hall.

Over the last two years, commercial operations have resumed with a bang on this logistics industrial estate, which the Generalitat developed back in the day. Under this legislature, around 130,000 m2 have been sold, compared with just 10,000 m2 during the previous one. These facilities, located next to the bypass, less than 25 km from the Port of Valencia and 10 km from the airport, are receiving interest from investors, according to the Director General of Prologis, who also thanked the Valencian Government for the powers it has granted to enable this first phase to be executed in just over a year from the date the plots were acquired. (…).

The Riba-roja operation is the first that the US company has undertaken at its own risk in Spain since 2009. Prologis purchased 70,000 m2 of land in July 2016 and by November, had begun construction of the first warehouse, which is divided into four 6,000 m2 modules so that it can be rented out to a single operator or to various. According to Cardozo, it does not look like marketing this space is going to be a problem, given the high level of demand for logistics facilities in this area.

Such is the case that construction is expected to start on the second phase within the next few months. The twin warehouse will also have a surface area of almost 24,000 m2.

Original story: El Mundo (by Francisco Álvarez)

Translation: Carmel Drake

Amazon To Open Logistics Centre In Martorelles

7 April 2017 – Press Release

Amazon’s commitment to Cataluña continues to grow. The e-commerce giant is going to open its new headquarters in Martorelles, specifically, in the Martorelles Logistic Park. Sources at the town hall assure that this new facility in Martorelles will result in the creation of 650 new jobs over the next three years. “Amazon plans to launch operations in the autumn with 200 people”, explained the mayor of Martorelles, Marc Candela.

Amazon will take over the four warehouses in the logistics park, which cover a surface area of 30,000 m2, equivalent to four football pitches. This is Amazon’s fourth investment in Cataluña after it confirmed the creation of a logistics macro-centre in El Prat in June; in September, it will inaugurate a warehouse in the centre of Barcelona from where it will ship products for delivery in less than one hour; and in October, it will build another logistics centre in Castellbisbal.

Warehouses A and B at the Martorelles Logistic Park, the logistics platform developed by the investor group Segro on the grounds of the former Domar-New Pol, on the Martorelles industrial estate, are about to begin operating. Currently, half of the facilities are ready and construction is beginning on the second phase of the logistics complex, warehouses C and D.

Original story: Press Release

Translation: Carmel Drake

Carmena Buys c/Alcalá, 45 In Madrid For €104M

21 December 2016 – Expansión

The Town Hall of Madrid says that it will save €23 million in rental payments between now and 2019 as a result of this purchase.

The Town Hall of Madrid wants to reverse the decapitalisation of municipal properties carried out during the years of the PP government and to that end, repurchased a building located on c/Alcalá, 45, yesterday, for €104 million. The iconic building currently houses the Municipal Councils of Economy and Finance and of Citizen Participation, as well as a Customer Services office for Taxpayers. The Town Hall has rented the property since 2004, when the then mayor, Alberto Ruiz-Gallardón, included it in an operation with the Ministry of Development to acquire the Palacio de Cibeles, which now houses the Town Hall’s headquarters.

Since then, the Town Hall has been paying an annual rent of €6,6785,000 for the property (equivalent to €18,422 per day), a price that, according to the current Town Hall, exceeds market rates.

The purchase of the property, which will be closed within the next few days, puts an end to an “armoured” contract, which if extended until 2019 would have involved a total disbursement of €91,354,120. In other words, the Town Hall would have spent almost as much in rent as it received when it sold the asset in 2004 (€97 million); and at the end of the period, the Town Hall would not have even owned the property.

As a result of this operation, the Town Hall will save itself rental payments for the next three years, amounting €20,031,514 in total. Moreover, according to sources at the Town Hall, the municipal government will receive tax revenues corresponding to the Tax on the Increase in Value of Urban Land, which will represent income of €3,188,215.

As a result of this operation, the Town Hall of Madrid’s budgeted rental expenditure will decrease from €27,354,000 in 2016 to €20,679,042 next year.

The Town Hall justifies its purchase not only in terms of the current rent saving, but also in terms of the future saving given that, once the current contract comes to an end, it would have had to move the 620 workers that currently work in c/Alcalá, 45 to another building.

According to the Directorate General of Heritage, the cost of moving all of the furniture would have amounted to €250,000 and the investment to renovate and adapt a building with similar characteristics would amount to between €7.8 million and €15.6 million. (…).

The Town Hall of Madrid currently has 32 lease contracts in force, which it has to pay on a monthly basis. The Town Hall hopes that with the elimination of rental payments and the transfer of public servants to other facilities, such as the future Legazpi Market, it will only have to pay €5,252,907 in rents by 2019. (…).

Original story: Expansión (by Roberto Bécares)

Translation: Carmel Drake

Grupo Insur Buys Plaza del Teatro Building From Sareb

23 November 2016 – Málaga Hoy

The Plaza del Teatro residential development, one of the most attractive of all the projects currently being undertaken in the historical centre of Málaga, has changed hands once again. Sareb took ownership of the property after the real estate asset was hit hard by the property crisis, and on Friday, the bad bank closed a sales agreement with the Andalucían property developer Grupo Insur (Inmobiliaria del Sur).

The estimated investment could amount to €15 million, including the sales price of the asset (the appraisal that the Town Planning Department performed just a few months ago amounted to €8.7 million) and the construction work, which is expected to amount to almost €6.5 million. The firm, through its subsidiary IDS Residencial S.L.U., will take over the development of the project directly, given that it has been granted a construction licence by the Town Planning Department.

According to sources at the property developer, Insur has complied with the procedures, as well as with the commitments agreed with the Town Hall. The façades of this property must be maintained and restored, but the interior will be renovated and turned into high-rise residential apartments, with retail space on the ground floor and underground parking. Specifically, the refurbished building will comprise 58 homes, 7 retail premises, 58 storerooms and 108 parking spaces.

Marketing of the properties will begin imminently, with construction work due to commence during the first half of 2017. Financial support is being provided by Banco Sabadell, which is offering favourable conditions for future purchasers of these homes. It is expected that this project will generate direct and indirect jobs for more than 140 people.

The planned construction work will involve an investment of €6,456,544.27, according to data provided by the Town Hall. And the project is expected to be completed within 36 months. (…).

Original story: Málaga Hoy (by S. Sánchez)

Translation: Carmel Drake

Atxa Buys Podavines Building In Donostia For €10M

10 November 2016 – Diario Vasco

The Podavines de Amara building in San Sebastián-Donostia was sold on Tuesday to a property developer who is going to convert the property into (unsubsidised) housing. The Department for Social Security organised an auction for the land…and just one bidder participated, Atxa, S.A., who will pay the starting price of €9,959,000. The proceeds will be paid to the Department for Social Security, which will use the funds to finance pensions payments, according to sources at the Government’s Sub-delegation in Guipúzcoa.

The Department for Social Security carried out the public auction of this property on Tuesday and the building was awarded to the company Atxa S.A., which, given that it was the only firm to submit a bid, logically offered the minimum tender price of €9,959,000. The State’s Central Administration will conduct checks over the next few day to ensure that the company does not have any debts with the Department for Social Security and will proceed to formalise the award of the property, according to sources at the Government’s Sub-delegation in Guipúzcoa.

This building, located at the intersection of Calle José María Salaberria, Paseo de Errondo and Avenida Carlos I, has been unoccupied for the last year and a half. Its previous tenant, the Department for Social Security, moved to new facilities in Riberas de Loiola at the beginning of February last year. The building is 43 years ago and the urban planning classification for the land is residential. The property comprises a ground floor plus four other above ground floors and three basement floors. Its total above ground surface area amounts to 9,534m2 (it has a useful constructed surface area of 8,351 m2, according to registry and cadastral data) and a further 1,560 m2 under ground. In reality, the building has three entrances (on Podavina 1 and 3 and on Avenida de Carlos I, 34-36-38) (…).

The company that has purchased the plot clearly considers that the land has significant potential to be used for unsubsidised housing. Diario Vasco has made contact with the company but its spokesperson was not able to specify timeframes or clarify whether the property will be demolished or renovated for the new residential project. (…).

Original story: Diario Vasco

Translation: Carmel Drake

Zaragoza’s New TorreVillage Outlet Will Create 1,000 Jobs

25 October 2016 – Expansión

The new TorreVillage outlet, which is being driven by the owners of Pikolin, will create 1,000 jobs over six years

TorreVillage, the outdoor shopping outlet that is due to be built in Zaragoza, has finally been given the green light after a year and a half of debate. The concerns of Zaragoza en Común (ZEC), the political party that now leads the Town Hall in the Aragonese capital, have been set at bay by an alternative proposal, which has been backed by votes from the opposition parties: PP, PSOE and Ciudadanos.

The project involves an investment of €60 million and the property developers expect to create more than 1,000 direct jobs during the first six years of activity. The initiative is being drive by Iberebro, the real estate company owned by the Solans family, which also owns Pikolin. The outlet will be constructed on a site that has, until now, housed the central headquarters of that company, which is moving to the Zaragoza Logistics Platform (Plaza).

The shopping outlet will comprise a fashion village, an international centre for business innovation, a restaurant and concert area, an area for large format retail stores and 2,000 free parking spaces. It will house approximately 90 stores from leading brands, offering discounts of between 30% and 70% and its goal is to complete with the villages already in operation in Madrid, Barcelona and Toulouse.

The goal is to attract visitors from Aragón, País Vasco, La Rioja, Navarra, Soria, Lérida and the south of France, as well as to capture some of the traffic travelling to the Pyrenees from Madrid and the Community of Valencia. In this way, it seeks to benefit from the geostrategic location of Zaragoza, by adopting a similar philosophy to the one followed by the developers of the Puerto Venecia shopping centre, also located in the Aragonese capital, which opened in 2012 and which is one of the largest shopping centres in Europe.

Original story: Expansión (by Marcos Español)

Translation: Carmel Drake

Irea: Hotel RevPAR rose by 12.7% In Madrid In 2015

14 July 2016 – Expansión

Tourism in Madrid is booming and recording some good results, both in terms of demand and the operating profit of hotels in a destination that was particularly affected by the crisis. In this way, the upwards trend in hotel profitability, which began in 2014, is expected to continue for the next few months. According to a report prepared by Irea, the city of Madrid, which recorded a 12.7% YoY increase in average revenue per available room (RevPAR) in 2015, to €59.70, may see room rates return to their pre-crisis levels within the next twelve months.

The profitability of the hotel market in the capital, which closed 2008 with a RevPAR of €66, suffered from a decrease of almost 30% since the start of the crisis, but has been gradually recovering over the last two years.

In this vein, RevPAR grew by 2.8% during the first five months of this year to amount to €62.40.

In terms of demand, although occupancy rates continue to rise, the cumulative growth during the five months to May was 2.3%, compared with more accelerated growth during 2015. The main reason for this moderation (in growth) is that the International EAU Meeting has not been held in Madrid this year, since it is a bi-annual event.

Looking ahead to the next few months, hotel operators estimate growth of around 10% in terms of overnight stays during the summer season compared with last year.

Investor interest

The recovery of the hotel market in Madrid since 2013 is appealing to investors, who expect the recovery to continue into the medium term. The entry of new international hotel chains, such as Four Seasons, W and Hilton, as well as initiatives being carried out by the Town Hall to regenerate and pedestrianize the city centre, will continue to boost the recovery of this destination, according to Irea.

As a result, Madrid, unlike Barcelona, is continuing to generate interest amongst international investors, as evidenced by operations such as the purchase of Hotel Villamagna by the Turkish conglomerate Dogus Group and the sale of Hotel Suecia.

The shortage of products in Barcelona – Madrid’s main competitor – and the moratorium in the Cataluñan capital mean that Madrid is the most active investment market at the moment and the preferred target for domestic and international funds and family offices.

During 2015, investment in the hotel market in Madrid amounted to €582 million, compared with €163 million in 2014.

Original story: Expansión (by R.Arroyo)

Translation: Carmel Drake