Greystar acquires 455 apartment BTR asset in Madrid
Greystar, a specialist in the investment, development, and management of high-quality rental housing properties, has acquired a build to rent (BTR) residential asset in Madrid’s city centre, in the Arganzuela district.
ACCIONA, owner of the c24,795 buildable sq m plot and in charge of its development, plans to start construction in the second half of 2022. The 13-storey building has been designed by the L35 architecture studio and will comprise 455 one and two-bedroom apartments.
In addition to a privileged location in Madrid’s city centre, just a 15-minute walk from the Atocha Station or the Reina Sofía and Prado Museums and very close to the M-30, the asset will have a wide range of amenities and shared areas, including a large lobby/lounge, gym, co-working spaces, a theatre, leisure and dining areas for residents, a community terrace, a children’s play area, a swimming pool and 455 storage rooms and parking spaces.
Upon completion, it is intended that the asset will form part of the growing portfolio for Greystar’s new pan-European value-add strategy, which was announced in June 2021 with capital commitments of EUR725 million at first close. The strategy’s portfolio has already closed deals in Ireland, the United Kingdom and the Netherlands, and will continue to grow across Greystar’s seven European markets.
Juan Manuel Acosta, Managing Director – Spain, Greystar, says: “In our view the Madrid rental market is recovering rapidly after the pandemic and there is hardly any residential sites for new construction, which lays the groundwork for excellent fundamentals for this asset. This transaction not only reflects our growing interest in the burgeoning build to rent sector but extends our commitment to the Spanish market.”
Andrés Pan de Soraluce, CEO of ACCIONA Real Estate Division, says: “This agreement is an important step in ACCIONA’s strategic plan to generate value in real estate segments through differentiation and institutional alliances, in iconic and high potential locations. Following our standard across all Real Estate projects, we will develop the apartments to the highest levels of environmental sustainability, targeting the BREEAM label certification.”
Greystar has other build to rent projects in the Madrid greater area, and currently has a total of 2,500 rental units in Spain. On a global scale, Greystar has investment vehicles with approximately USD45.1 billion in assets under management.
Jones Day, PwC and Knight Frank advised Greystar in this transaction.