Tag: volume

CBRE: Hotel Investment in the Balearics Doubled in 2018 to c. €1bn

26 March 2019 – Preferente

According to data compiled by CBRE, 47 transactions were closed in the hotel market in the Balearic Islands in 2018, corresponding to a total investment volume of more than €967 million. That figure accounted for 20% of the capital invested in Spain during the year and 32 of the transactions were concentrated in Mallorca, followed by Ibiza with 11 operations and Menorca with just 4.

Most of the operations involved hotel portfolios although two individual asset sales stand out due to their high prices per room: Hospes Maricel & Spa (as part of the Hospes Portfolio) and Belmond La Residencia. Both are 5-star establishments.

Palma (de Mallorca) maintained its position as an attractive urban tourist destination, with the addition of seven new hotel establishments comprising 275 rooms during 2018 alone.

More than 10.3 million visitors travelled to the Balearic Islands during 2018, up by 2.3% YoY, breaking the record the fourth year in a row. Nevertheless, the number of overnight stays fell slightly to 59.3 million (down by 0.4% YoY). Meanwhile, the ADR of the hotels on the islands broke the €100 barrier to reach €104.10 in 2018, up by 5.5% compared to 2017. In addition, RevPAR rose by 3.5% YoY to €80.10.

Original story: Preferente (by R.P.)

Translation/Summary: Carmel Drake

Baraka Invests €60M in the Construction of 2 Skyscrapers in Torrevieja

21 January 2019 – Idealista

Trinitario Casanova is on a roll with Baraka. Baraka Properties, the group’s arm specialising property development, has invested €60 million in the construction of two skyscrapers in Torrevieja, which will house more than 130 homes and 250 tourist apartments, according to explanations provided by the company to Idealista News.

The project is going to materialise into two 26-storey towers. Whilst the first will be dedicated to housing in its entirety, the second will be dedicated to hotel use. “Right now, the approval of the project is in the evaluation phase, although our plans are to finalise this first phase during the first quarter of the year”, explain sources at the group, “and once the project has been approved, we will request the licence”.

The land on which the two towers are going to be built is located on Avenida Doctor Gregorio Marañon, on the seafront next to the Doña Sinforosa park. “It is 200 metre from the marina, and all of the homes from the first floor up will have views of the sea. The homes from the fifth floor up will have 360º views”, say sources at Baraka Properties.

According to the company, these will be the first towers in the city, and the tallest to date. The other enclave with towers of this calibre is Benidorm. “The trend for tourists in the area is to look for more unique properties, with higher quality finishes, where they can be offered services like in an American condominium, and this plot fulfils all of those characteristics, both due to its location, and its scale/volume”, they conclude.

In total, 32,000 m2 of space is going to be built in the two towers, and by way of reference, the price per m2 of the penthouse will amount to around €7,000/m2, making it one of the most expensive developments in the area (…).

Original story: Idealista (by Custodio Pareja & P. Martínez-Almeida)

Translation: Carmel Drake

Ministry Of Development: The Housing Market Moved €36,390M In H1

10 October 2017 – El Mundo

The private housing market in Spain moved €36,390 million during the first half of 2017, which represents an increase of 21% compared to the same period in 2016, when the figure amounted to €30,020 million, according to data published by the Ministry of Development.

In this way, the monetary value of transactions involving private homes in Spain is maintaining the upwards trend seen over the last three years. In 2016, the figure amounted to €60,837 million, which represented the highest level since 2010, but which was still well below that peak (€80,782 million).

The more than €36,000 million that was moved in the residential real estate sector during the first half of 2017 corresponds to 254,816 transactions involving private homes that were bought and sold between January and June, up by 18% in YoY terms. Specifically, second-hand homes moved €32,477.4 million (up by 22%), whilst the volume moved by new build sales was much lower, at €3,912.5 million (+15.2%).

Madrid was the autonomous region that recorded the highest volume of private home transactions between January and June, at €7,803 million. It was followed by Cataluña (€7,451.9 million), Andalucía (€5,849.1 million) and the Community of Valencia (€3,976.4 million). Next in the ranking came the Balearic Islands (€1,988 million), País Vasco (€1,845.7 million), the Canary Islands (€1,662.1 million), Castilla y León (€1,040 million), Galicia (€902.5 million), Castilla-La Mancha (€780 million), Murcia (€702.3 million) and Aragón (€680.2 million).

Meanwhile, the regions where the housing sector moved the least money during H1 2017 were Asturias (€435.9 million), Cantabria (€372.9 million), Navarra (€369.9 million), Extremadura (€266.5 million), La Rioja (€172.9 million) and Ceuta and Melilla (€89.6 million between the two).

Original story: El Mundo

Translation: Carmel Drake

Ministry of Development: Urban Land Prices Rose By 11.7% In Q2

25 September 2017 – Eje Prime

The average price of urban land is continuing to soar quarter after quarter. The average price rose by 11.7% in cities with more than 50,000 inhabitants during the second quarter of 2017, according to statistics from the Ministry of Development. This increase means that the price of such land now stands at €326.3, the highest level since Q3 2015 (€331.1).

At the national level, average urban land prices have risen by 1.8%, to €166.4. With respect to the first quarter, the QoQ variation was slightly negative, with a decrease of 0.7%.

The highest average prices were recorded in the provinces of Granada (€510/m2); Barcelona (€491.5/m2) and the Balearic Islands (€321.5/m2). The lowest prices were observed in the provinces of Albacete, Ourense and Tarragona (€60/m2, €117.6/m2 and €130.6/m2, respectively).

Meanwhile, the number of transactions undertaken during the second quarter of 2017 amounted to 5,998, up by 36.3% compared to Q1 2017, when they amounted to 4,401, and up by 35.2% compared to Q2 2016, when 4,435 plots were sold.

In total, the total surface area sold during the second quarter of 2017 amounted to 7.2 million m2, for a total value of €1,073.8 million. With respect to the second quarter of 2016, the YoY variations represent 28.6% more in terms of surface area sold and 43.0% less in terms of their value.

Original story: Eje Prime

Translation: Carmel Drake