German property group Patrizia has forward purchased a Build to Rent turnkey development in Badalona and Esplugues de Llobregat, in the greater Barcelona area, for €52 mln, on behalf of its institutional clients.
Once construction is completed by end of 2023, it will provide 128 residential units. Upon completion, the buildings will span 7,305 m2 (Esplugues) and 7,170 m2 (Badalona).
This acquisition comes shortly after the purchase of a Build to Rent turnkey development in Alcobendas (Madrid), as part of Patrizia’s expansion in the Spanish residential sector, with assets spanning more than 60,000 m2 and now valued at over €250 mln. In total, it has assets under management (AUM) of around €1.45 bn in Iberia.
Eduardo de Roda, Patrizia's country manager for Iberia, commented: 'We are convinced that residential, especially multifamily housing, will continue to deliver cash-flow stability and diversification benefits if underwritten properly, helping our clients to generate their required returns to meet pay-out obligations. And with this latest investment, not only are we following our conviction but we are helping to build vibrant communities where residents will have enhanced quality of life thanks to easy access to the centre of Barcelona and to nearby beauty spots such as beaches and green spaces.'
The Esplugues de Llobregat building will be located in the Finestrelles neighbourhood, and will comprise 69 units and amenities such as a swimming pool and its own green spaces.
The Badalona building will be located on Avenida d’Eduard Maristany, which borders onto the city’s beach and its marina and will comprise 59 units, and, in addition to a swimming pool and green spaces, it will also have a commercial area of 650 m2 on its ground floor.