Spanish SOCIMI Axiare Patrimonio has invested EUR 53.4 million to acquire an office building comprising 8,036 sqm and 99 underground parking spaces in the heart of Madrid’s financial district, and one of the areas most sought-after by top tier tenants. By signing this deal, in barely one and a half months, Axiare Patrimonio has invested EUR 138.4 million in the acquisition of three office properties, totalling 34,354 sqm and almost a thousand parking spaces.

Axiare Patrimonio acquired the whole property off-market, via four complex independent transactions, as the asset belonged to four different owners. The deal demonstrates that Axiare remains highly selective with its acquisitions.

Axiare Patrimonio’s CEO, Luis López de Herrera-Oria, confirmed “this deal once again demonstrates our capacity to operate off-market, acquiring an asset with excellent potential via a complex transaction. We remain deeply committed to our business plan, designed to generate value for our shareholders”.

This newly acquired asset is located on Calle Miguel Angel 23, in Madrid, in one of the city’s prime office areas, less than 100m from Paseo de la Castellana. Each of its seven regular shaped floors comprises approximately 1,050 sqm, has two outward-facing façades and two internal courtyards. The building also features a retail unit on the ground floor, which is highly visible from Paseo de la Castellana. The property is currently 94% let to various tenants.

Via its active asset management strategy, Axiare Patrimonio plans to undertake improvement works on the building in the medium term and thereby gain value uplift.

The company has acquired two other office buildings so far this year, for EUR 41.5 and EUR 43.5 million respectively, totalling 34,354 sqm and almost a thousand parking spaces.

Axiare Patrimonio’s property portfolio is currently valued at over EUR 1,400 million. 74% of the portfolio comprises office assets, of which almost half are in strategic locations in the CBDs of Madrid and Barcelona; 16% are logistics warehouses situated in key locations for goods distribution around Spain; and the remaining 10% are retail warehouses with high visitor footfalls.

In this deal, which was structured by Zaphir Asset Management, Axiare Patrimonio was advised on the legal side by EY and Cuatrecasas, on the technical side by Aguirre Newman, and on the commercial side by JLL and Cushman & Wakefield.

Source: SOCIMI