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Acquisition of 850 unit Spanish residential portfolio for c.€170 million

Acquisition of 850 unit Spanish residential portfolio for c.€170 million

Press Release
20 December 2017

AXA Investment Managers - Real Assets completes acquisition of 850 unit Spanish residential portfolio for c.€170 million

AXA Investment Managers - Real Assets (“AXA IM - Real Assets”), a global leader in real asset investments and the leading(1) real estate portfolio and asset manager in Europe, announces that it has completed the acquisition of an 850 unit Spanish residential portfolio from Goldman Sachs and B Capital, for around €170 million, on behalf of clients.

The 65,000 sqm portfolio comprises 28 high quality residential buildings which are located primarily within or close to the city centres of Madrid and Barcelona, Spain’s two largest cities. 14 of the assets have been built since 2005 and have been maintained to an excellent standard while the majority of the remainder have been refurbished since 2002.

Although the portfolio is of excellent state of use and almost fully let, AXA IM - Real Assets is planning a number of asset management initiatives intended to create further value. These include specific actions in order to further enhance the overall quality of the portfolio.

Spanish residential letting market is showing very strong improvements of fundamentals. Further rental upside, driven by structural rental sector growth, such as increase of the demand and capital values, are expected for the coming years, especially in Madrid and Barcelona.

The acquisition forms part of AXA IM - Real Assets’ wider strategy on behalf of clients to invest into residential asset classes which it believes are supported by strong demographic drivers, and where it manages c.€9 billion(2) of assets spread across 10 countries. Over the last 12 months, AXA IM - Real Assets has invested on behalf of clients into residential assets globally including among others acquisitions of residential portfolios in Finland marking its entry into this market; an urban residential development in Dresden, Germany; as well as The Beacon at Waugh Chapel, a 298-unit multifamily property located between Washington DC and Baltimore in the USA.

Hermann Montenegro, Head of Asset Management & Transactions in Spain at AXA IM - Real Assets, commented: “The acquisition of this high quality portfolio of residential assets reflects our firm belief in the residential markets in Madrid and Barcelona, where rental growth is beginning to gain momentum, and more widely where both demographic drivers and supply demand drivers are highly supportive.”

– ENDS –

1 Source: INREV/ANREV Fund Manager Survey – May 2017 – in terms of assets under management
2 AXA IM - Real Assets data as at 30 September 2017 - unaudited

 

Press Contacts

AXA Investment Managers - Real Assets
Charline Coué, Media Relations Manager
Jocelyne Tamssom, Head of Communications
Tel +33 1 44 45 97 95
PressOfficeAXAIMRealAssets@axa-im.com

FTI Consulting Inc.
Richard Sunderland, Richard Gotla, Ellie Sweeney, Tom Gough
Tél: +44 20 3727 1000
AXAIMRealAssets@fticonsulting.com

Note to editors

AXA Investment Managers is an active, long-term, global, multi-asset investor focused on enabling more people to harness the power of investing to meeting their financial goals. By combining investment insight and innovation with robust risk monitoring, we have become one of the largest asset managers in Europe with ambitions to become the chosen investment partner of investors around the world. With approximately €732 billion(1) in assets under management as at end of September 2017, AXA IM employs over 2,450 people based in 29 offices around the world.

AXA Investment Managers - Real Assets has €74 billion in assets under management, including €56.5 billion in direct property & infrastructure and €14 billion in real asset finance as of end of September 2017(2). We offer a 360° approach to investing in real assets, which comprises opportunities in equity or debt, across different geographies and sectors, as well as via private or listed instruments. We are a global leader in real assets investment, the number one property portfolio and asset manager in Europe(3), and one of the largest worldwide. Our teams have been managing funds and mandates for over 30 years and comprise about 600 people in 15 offices that operate in 20 countries around the world, providing us with in-depth knowledge of countries, cities and sectors.

AXA Investment Managers is part of the AXA Group, a global leader in financial protection and wealth management.

Visit our websites: www.axa-im.com / https://realassets.axa-im.com

Follow us on Twitter @AXAIM / @AXAIMRealAssets to get our latest information

1 Source: AXA IM unaudited data
2 Source: AXA IM - Real Assets’ unaudited data
3 Source: INREV/ANREV Fund Manager Survey – May 2017 in terms of assets under management

 

This document is aimed solely at the media and is for information purposes only. The opinions expressed here are the views of the author and do not constitute investment advice. This is not a recommendation to purchase, sell or subscribe to financial instruments, an offer to sell investment funds or an offer of financial services. This press release is as dated. They do not necessarily represent the views of any company within the AXA Investment Managers Group and may be subject to change without notice. This does not constitute a Financial Promotion as defined by applicable laws and regulation and is for information purposes only.  No financial decisions should be made on the basis of the information provided. Information regarding the background and personnel of AXA IM - Real Assets is provided for information purposes only.

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