Spain: Investment hotspot
March 15, 2017
Spain is set to become even more of an investment hotspot in 2017. Carlton Group Spain has recently closed four major investment sale transactions in Madrid, Costa del Sol region, Barcelona, and Marbella. We specialize in arranging capital for large, often time sensitive complicated transactions and will orchestrate a highly professional sale process to generate the best possible debt and equity terms in the world for you. Carlton Spain is currently raising over €350 million of debt for different Spanish recapitalizations and developments.
Please find some examples of transactions recently closed by Carlton Group in Spain:
- COSTA DEL SOL MIXED-USE– Carlton Group Spain acted as the exclusive financial and real estate advisor to Neinor Homes (Lone Star) in the sale of their 600,000 sf, 430-unit hotel and tourist apartment complex in Costa Del Sol’s city of Estepona. The transaction was completed in record time considering the complexity of the asset. Moreover, the owner had a high basis in this asset which necessitated Carlton to facilitate premium pricing for this asset.
- CLASS A MULTI-FAMILY APARTMENTS IN MARBELLA– Carlton Group Spain, as the exclusive advisor to a large Spanish developer, sold a portfolio of apartments within a luxury development in the resort area of Marbella, as well as arranging the very favorable acquisition financing which included two years I/O.
- BARCELONA OFFICE BUILDING SALE – Carlton Group Spain was the exclusive advisor on the sale of a large, prominent office building in the Barcelona CBD to a major Italian-Swiss core fund. Carlton exclusively represented one of the largest and most distinguished family offices in Spain on the sale of this prestigious asset. The 131,000 sf office asset was sold for a very beneficial cap rate for the owner. Moreover, Carlton was able to achieve this superb execution because aside from accessing an off-the-radar out-of-country buyer, Carlton also lined up seven year, interest only, non-recourse first mortgage at an amazingly low 1.40% margin spread which facilitated the transaction and its returns.
- MADRID OFFICE BUILDING SALE – Carlton Group Spain was the exclusive advisor on the sale of a prominent office building (140,000 sf office asset) in the Madrid CBD to an institutional Mexican investor on its first real estate transaction in Spain. Carlton acted as exclusive real estate and financial advisor of one of the most reputed office developers in Madrid on the sale of this core office asset. Moreover, Carlton on top of accessing an off-the-radar out-of-country buyer, lined up non-recourse first mortgage at attractive terms which facilitated the transaction and its returns.
Spain: Investment hotspot
ONE of the world’s biggest accountancy firms has revealed that Spain is set to become even more of an investment hotspot in 2017. Ernst and Young, now known as EY, found that Madrid is a favourite among investors looking to relocate from the UK following the Brexit vote.
Spain’s capital city ranked as the fifth most attractive in all of Europe, while Barcelona secured 10th spot. Only London, Paris, Frankfurt and Berlin fared better than Madrid in the survey of top executives.
Many real estate experts across Europe are eagerly waiting to see where the money will go if, as expected, a great deal of it leaves London. The most likely scenario is that it will spread across different countries but with one key base, almost certainly in Germany.
That still puts cities like Barcelona and Madrid in pole position to see even more real estate investment come their way. The twin pillars of Spain’s booming economy have seen billions of euros ploughed into serious property projects in recent years.
Commercial spaces and hotels are the main agents of change and the trend looks certain to continue once the impact of Brexit is felt.
It also bodes very well for Spain’s quickly evolving residential property market.
The country needs more homes quickly. With the commercial real estate sector looking so promising the construction industry has swung into full gear and 2017 is looking like a year of terrific growth on all fronts.