Torre Sevilla Shopping Centre to Open in September with 92% Occupancy Rate

20 July 2018 – Eje Prime

Torre Sevilla is getting ready to open with almost a full house. The complex in the city of Sevilla, which will open its doors in just two months time, has commercialised 92% of its space. In recent weeks, the managers of the complex have agreed the entry of several new operators.

In the field of fashion, H&M, Parfois and the jewellery chain Time Road are going to open stores in Torre Sevilla, following in the footsteps of other groups such as Primark, Mango, Women’s Secret, Springfield, Calzedonia and Foot Locker, amongst others.

The shopping centre has also announced the arrival of the supermarket chain Día, as well as several telecoms operators, including Movistar and Vodafone. The gastronomic offer is going to comprise companies such as Udon, Vips, La Tagliatella, Burger King and the bakery chain Granier.

The opening of the complex will complete the Torre Sevilla architectural project, in which CaixaBank has invested more than €320 million. In addition to a shopping centre, Torre Sevilla contains an office block, the Eurostars Torre Sevilla hotel, CaixaForum Sevilla and Magallanes Park.

Designed by the Argentinian architect César Pelli, the retail complex comprises two large buildings, which span a gross leasable area (GLA) of 26,700 m2 and a constructed surface area of 43,000 m2.

Original story: Eje Prime

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

Compagnie Secures Financing for Spain’s Largest New Shopping Centre

28 November 2017 – Expansión

Yesterday, the French group Compagnie de Phalsbourg managed to close financing, amounting to €157 million, for its first shopping centre in Spain: the Open Sky centre in Torrejón de Ardoz (Madrid), according to Expansión.

The establishment will have a gross leasable area of 85,000 m2, will house 100 stores, 3,500 parking spaces and a large garden area with a central lake.

To obtain the necessary resources for its project, Compagnie de Phalsbourg has resorted to non-bank financing through a competitive process. Sources close to the operation maintain that a single fund has subscribed 100% of the financing. According to the same sources, it is a fund based in the City of London, specialising in the real estate sector.

“This process is a boost for Spain because it shows that international investors, in this case, French and British players, see potential in Spain”, say financial sources. The crisis in Cataluña has not affected the process in this case, whose negotiations started long before the tension escalated in that regard.

The French group expects that Open Sky will be inaugurated by the end of next year. In fact, the first earth movement work has now begun and the land that Compagnie acquired for €110 million from the Town Hall of Torrejón in 2015 is being prepared (…).

The company has already signed agreements with around twenty fashion labels, accessories brands and service providers, including with many high-profile names such as Adidas, Reebok, Decimas, OVS, Okaidi, Merkal, Kiwoko, Orchestra, RKS, Celio, Encuentro Moda and Druni, amongst others. Moreover, the shopping centre will have 11 Cinesa cinema screens with capacity for 1,200 people and it has already signed agreements with restaurant groups such as the Vips group, with its five brands (Vips, Fridays, Ginos, Wagamama and Starbucks); the Zena group (Fosters and Cañas y Tapas) and the Restalia group (100 Montaditos and La Sureña).

Once Open Sky is fully operational, it is expected to generate approximately 1,000 new jobs in the region.

The Spanish investment boutique Alantra has served as the sole advisor to the operation for the French group. In addition, Alantra has advised the firm on three other projects in Spain. Meanwhile, Clifford Chance and Uría have been responsible for providing legal advice (…).

Original story: Expansión (by Andrés Stumpf)

Translation: Carmel Drake

Aguirre Newman Sells Portfolio Of Retail Premises For €40M

19 October 2016 – El Confidencial

Less than six months after putting its portfolio of retail premises up for sale, Aguirre Newman has reached an agreement to sell the jewel in the crown: the 14 assets that it owns in Madrid.

According to several sources familiar with the deal, the real estate consultancy has reached an agreement with a Madrilenian family office to close the sale for almost €40 million. With this move, the buyer will acquire a portfolio of assets located, above all, on the Spanish capital’s main high streets.

This lot forms part of the Zaphir real estate fund, which engaged Arcano to organise a formal sales process of 32 retail premises located in several provincial capitals, for a total amount of €80 million.

Nevertheless, during the negotiations and thanks to the attractive offer received for the Madrilenian assets on their own, Aguirre Newman has decided to sell these assets in one lot and to divest the other assets in smaller separate operations.

The portfolio of retail premises in Madrid has an average historical occupancy rate of almost 90% and enjoys a diversified profile of tenants, ranging from giants such as Zara Home, Vips, Trussardi, Cortefiel and Punt Roma to popular corner shops (typically run by Chinese families).

Madrid accounts for 56% of the rental income from this portfolio thanks to the fact that it contains high quality premises such as the store located at number 82 on the sought-after Calle Serrano, which is houses to a Trussardi shop.

Zaphir’s divestments

The sale of these retail premises forms part of Zaphir’s divestment process. The fund also reached an agreement with Neinver and Colony at the beginning of this year to sell them some logistics assets for €87 million.

The recovery in consumption has reawakened investors’ appetite for high street premises, as we saw in 2015, when they invested more than €1,200 million in retail premises, significantly exceeding the historical investment volume in the segment.

Original story: El Confidencial (by Ruth Ugalde)

Translation: Carmel Drake

Vips, Cepsa & Axa Give Impulse to RE Market

5/09/2014 – Expansion

Over the last months, real estate movements in Spains capital intensified, especially in the office segment, bringing another proof of recovery. In total, according to CBRE, year-to-date almost 200.000 square meters have been included in rental contracts.

Among the most noteworthy operations, there is the move of Vips which decided to get together all its offices in Madrid and locate them in front of the Cuatro Torres Business Area in a building at 278 Paseo de la Castellana street. Prior to the relocation, the firms team was divided between the Maria de Molina and Mirasierra areas. Vips rented around 6.000 square meters inside one of the properties in the Navalis complex belonging to Metrovacesa.

Before, the office complex housed Repsol which moved to its business campus in Mendez Alvaro at the beginning of 2013.

Another 2014 top operation was conducted by insurance company Axa which rented an over 23.000 square meter office building situated at 81 Avenida de America street from Torre Rioja. The 5-storey property offers jointly 480 parking spaces (380 underground and 100 above the ground level). This rental agreement has been proclaimed one of the three biggest in the past five years, CBRE says.

According to JLL, availability rate of offices for rent in Madrid posts 12.17%, about 1% less than in the first quarter of 2013.

Next significant move has been done by Alstom. The railway manufacturer signed a rental contract on a nearly 6.000 square meter office complex with Colonial. The property is located at 49 Martínez Villergas street and a part of it has been serving Iberia as headquarters since 2013.

In turn, last year Cepsa negotiated on rental conditions of its new offices, however the move-in took place this year. The oil company has rented a skyscraper designed by Norman Foster included in the Cuatro Torres towers from Bankia which will still occupy five floors of it. The iconic tower is presently up for sale.

When it comes to the city of Barcelona, the most notable is the move of Agbar that sold its tower and relocated to new offices on the Paseo de la Zona Franca street. The well-known bullet-shape tower overlooking Barcelona will be converted into a Hyatt hotel. It was acquired by Emin Capital for €150 million.

 

Original article: Expansión (by Rocío Ruiz)

Translation: AURA REE