Spanish retail hot for private equity investors

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Data from Preqin, the alternative assets information specialist, has shown that private equity investments in Spanish real estate favoured retail last year, representing 36% of all private equity real estate (PERE) transactions and including four of the top five deals in the country.

 

77 PERE sales were completed in Spain in 2017, worth an aggregate €3.3 bn.

The largest deal of the year involved TH Real Estate’s acquisition of a 50% stake in Madrid Xanadú shopping centre from Intu Properties for €264.4 mln. Meanwhile, the largest portfolio deal in Spain in 2017 involved PointPark Properties’ acquisition of 11 logistics assets from Gore Spain Holdings, an asset manager wholly owned by GreenOak Real Estate.

The portfolio comprises assets in strategic logistics locations across Spain, including Madrid, Zaragoza, Toledo and Guadalajara, as well as coastal cities such as Valencia and Biscay.

Outside of Madrid, Nueva Condomina in Murcia was acquired by Paris-based Klépierre for €233 mln from BNP Paribas REIM Germany, making it the third largest transaction of 2017 in Spain.

The other two key deals were the acquisition by Hines and Universal Investment of the Baraka Group’s retail portfolio in Madrid, worth €190 mln, as well as Blackstone’s purchase of project Buffalo from BBVA for €170 mln.