Mountpark to Invest €30M in a Macro-Warehouse for XPO in Toledo

23 October 2018 – Eje Prime

A new macro-operation is on the cards for Plataforma Central Iberum. The logistics developer Mountpark is going to invest €30 million in the development of this enclave to the south of Madrid in an asset measuring 44,000 m2 for XPO Logistics. In turn, the logistics operator has already agreed to rent the space to a large fashion chain, according to explanations provided to Eje Prime by the Director General of Mountpark for Spain and Portugal, John Derweduwe.

This warehouse is being promoted under the turnkey model and it is scheduled for completion and opening in June 2019. The latest-generation asset is going to be located 35 km from Madrid, in the municipality of Illescas, in Toledo. The real estate consultancy Estrada&Partners has been responsible for advising this operation.

The future tenant of the warehouse of Mountpark and XPO, is going to be the Swedish fashion retailer H&M, which will use the platform for its e-commerce logistics. The boom in e-commerce is also the reason why other overseas giants have also set up shop in Plataforma Central Iberum, which has converted the park and its surrounding area into the new prime axis of the real estate logistics market in the centre of the country.

Mountpark is entering a platform where Amazon, Airbus, Michelin and Toyota, amongst others, are already present. Located on a plot spanning more than 3.5 million m2, Plataforma Central Iberum is also the largest eco-industrial park in Spain.

The platform that it is building for XPO will not be the only one that Mountpark is promoting in this park. The company owns a second plot measuring 89,000 m2 in Illescas for which it is currently finalising a rental agreement with a high-profile domestic retailer.

“This project is just the start of an ambitious future for Mountpark in Spain” highlighted Derweduwe. The director, formerly the Vice-President and Administrator of Prologis Spain between 2002 and 2006, is “heavily committed to the south of Madrid”, where he plans to constitute a “significant” land bank to be able to respond to “the new logistics needs of the 21st century”, added the executive.

Specialising in the construction of so-called XXL assets (those spanning a surface area of more than 40,000 m2), Mountpark already owns a 99,000 m2 plot in Alcalá de Henares and is working on another land bank spanning several million square metres.

Changing trend in Madrid

Regarding the arrival of giants such as Amazon to Illescas, Derweduwe points to the “saturation” of the Corredor de Henares thoroughfare, which is leading to a “change of trend” in which the province of Toledo is gaining a lot of notoriety due to its proximity to Madrid and because “being located in Castilla-La Mancha also has benefits for tenants”, said the executive.

As well as the central area, Mountpark is also looking “seriously” at Cataluña and Valencia (…).

The parent company of the Iberian subsidiary led by Derweduwe is Mountpark Logistics, a joint venture between Usaa Realco-Europe Holdcom, the Dutch subsidiary of Usaa Real Estate, and Mountpark Finco Sarl (Mountpark). The joint venture promotes large logistics buildings all over Europe, but with the focus primarily on the United Kingdom, Western Europe and Central Europe. Mountpark has a portfolio comprising 16 assets with the potential to offer logistics facilities spanning more than 1.85 million m2 in the continental market.

Original story: Eje Prime (by Jabier Izquierdo)

Translation: Carmel Drake

Axiare Acquires Capgemini’s HQ In Madrid For €43.5M

1 February 2017 – Press Release

Axiare Patrimonio has closed two operations to further strengthen its business plan. On the one hand, it has completed the purchase of an office building and on the other hand, it has signed a financing agreement amounting to more than €34 million with Santander. It will reinvest the new funds into assets.

The Socimi led by Luis López de Herrera-Oria has formalised the acquisition of the Cedro Building in Madrid for €43.5 million. The property is a prime office block, with a gross leasable area (GLA) of 17,032m2 and 381 parking spaces and it is leased almost in its entirety to the consultancy firm Capgemini.

The operation will result in immediate revenues for Axiare Patrimonio, given that the asset has an occupancy rate of almost 90%. The property, constructed in the year 2000, is located on Calle Anabel Segura, in the Arroyo de la Vega area of the capital, where lots of large companies – such as ING, Toyota, Procter & Gamble, Indra, BP and Mercedes Benz – have their headquarters and next to an exclusive residential area. Moreover, this asset has direct access to the A-1 motorway and is well connected to the airport, the CBD and the main ring-roads in Madrid.

Luis López de Herrera-Oria, CEO at Axiare Patrimonio said (…) “The Cedro Building is a very institutional product thanks to its location, its main tenant and the quality of its construction. This operation involves the purchase of a strategic asset, which has great potential for capital appreciation”.

The valuation of Axiare Patrimonio’s asset portfolio currently stands at around €1,350 million. 74% of the Socimi’s assets are offices, of which almost half are strategically located in the CBDs of Madrid and Barcelona; 16% are logistics warehouses, located in key hubs for the distribution of goods throughout Spain; and the remaining 10% are retail parks, which receive large numbers of visitors.

For this acquisition, Axiare Patrimonio has been advised by EY on the legal, technical and commercial side. Meanwhile, the vendor has been advised by Garrigues on the legal side and by Aguirre Newman and JLL on the commercial side.

Moreover, the banks continue to maintain complete faith in Axiare Patrimonio. The new financing agreement that the Socimi has just signed with Santander is another example of this. Specifically, Axiare has signed two financing agreements with the financial institution, taking the total balance of funds that it has received from the banks since its debut on the stock market to €572 million.

The new loans with Santander have been signed with some very flexible conditions and at a very competitive interest rate, in line with the company’s financial strategy. The loans will result in a €34.2 million cash inflow for the company, which it will use to continue expanding and improving its existing portfolio.

Axiare Patrimonio’s CEO said: “The company’s financing structure is one of the most stable and competitive in the market” (…) “Since our debut on the stock market two and a half years ago, we have signed agreements with several banking institutions. Santander, ING and CaixaBank have been our largest lenders, which is proof of the confidence that they have in our portfolio and in our ability to manage the company.

For this operation, Axiare Patrimonio has received legal advice from Gómez-Acebo y Pombo, whilst Santander has been advised by Watson Farley & Williams.

Original story: Press Release

Translation: Carmel Drake