Catella Asset Management Iberia (CAMI) has acquired 171 social housing units in Madrid, Villaverde, for €27 mln on behalf of the Catella European Residential Fund (CER l)
The real estate management company Catella Asset Management Iberia has acquired 171 social housing rental units in the Central Park of Engineering, in the Villaverde district of Madrid, for €27 million on behalf of the German fund “Catella European Residential Fund (CER l)”.
The latest investment in Villaverde, the first for the CER I Fund in Spain, is a turnkey sale and purchase private sales agreement. The acquisition encompasses four new-built buildings with 171 apartments in one, two and three-bedroom formats, with the same number of parking spaces and storage rooms, common green areas and facilities such as a swimming pool and playground.
Catella AM Iberia has acted as asset manager of the first operation of the “Catella European Residential Fund I” in the Iberian Peninsula and will be from now on in charge of asset managing the property.
Catella AM also plans to complete the purchase of 191 rental homes of one, two, three bedrooms in Valdemoro, in Madrid metropolitan area, next to the Hospital Universitario Infanta Elena, in the first quarter of 2020. The manager is also in advanced negotiations with residential property owners and developers to acquire a further 600 homes, which would bring the Spanish portfolio up to a total of 1,600 rental units within six months.
Eduardo Guardiola, Director and Partner of Catella Asset Management Iberia, comments: “Catella is poised for a major expansion in its Spanish residential investment portfolio over the next six months, underpinned by the rental market’s solid fundamentals. Younger people in particular are finding it increasingly unaffordable to own their own properties and are generally more flexible and mobile in being prepared to move to different cities for work than the previous generation. We anticipate that this strong demand for rental homes will increasingly attract larger investors and managers and lead to greater consolidation and professionalism in the fragmented Spanish residential investment market.”
The proportion of Spanish households that rent their homes had risen to 22.9% in 2017 from 19.8% a decade before in 2008, but still lags far behind the EU average of 30.7%, according to EUROSTAT data.
The CER I Fund is managed by Berlin-based Catella Residential IM, which together with the Iberian business CAMI, is part of the Catella pan-European residential investment platform, the largest and most diversified cross-border investor in this property sector in Europe, with total assets under management of €3.4 billion across nine countries.
About Catella / Catella Asset Management Iberia/ CER I
Catella is a leading finance group in property and alternative investments. The company was founded in 1987, has 29 offices across 15 countries with approximately 550+ employees. Through a Pan-European platform with global reach, Catella offers local expertise and customised services in property and alternative investments, primarily aimed at professional investors. Operations is divided into three business areas: Corporate Finance, Property Investment Management and Equity, Hedge and Fixed Income Funds. Total income LTM was SEK 2.3 billion and assets under management was SEK 202 billion (Q2, 2019). Catella is listed on Nasdaq Stockholm in the Mid Cap segment.
In Spain, the Group is present through two different business areas: Catella Asset Management Iberia (Catella AM) and Catella Property. Catella AM is a company that manages investments and real estate assets in Spain and Portugal mainly on behalf of funds managed by the company itself, as well as for Spanish and foreign institutional investors. The company it is focused in the acquisition and development of real estate assets for residential and commercial use. https://www.catella.com/en/spain/asset-management
Catella European Residential (CER I) is a real state fund opened and directed firstly by German institutional Fund, like pension fund, foundations and fund of funds but also to large private investors. The Fund has a GAV of 1.3 bn EUR and is invested in 6 European countries.
For more information, please contact:
Abigail Diaz-Agero / Gerardo López