Round Hill Capital’s European core/core-plus multifamily real estate fund has acquired a newly developed portfolio of two Spanish assets from Neinor Homes for approximately €30m.
The European Residential Income Fund II (ERIF II) has acquired the two residential-for-rent assets in southern Madrid, with a 98% occupancy rate guaranteed by Neinor Homes in the first year. Neinor Homes will also manage the properties located in Parla.
Michael Bickford, founder and CEO of Round Hill Capital, said: “The acquisition of this portfolio provides us with two high quality residential-for-rent assets which were only developed last year and are well located in southern Madrid. They produce day-one income for our investors through a near full occupancy rental guarantee from the seller for the first year.
“The assets’ high sustainability standards allow us to offer a good quality, modern living product to the growing and young population of Parla, while expanding our residential-for-rent portfolio in Spain, a market where we continue to see highly compelling opportunities.
“This is our second transaction of the year for ERIF II as we continue to deploy the dry powder on our balance sheet, pursuing opportunities both on and off the market at significant discounts to replacement costs.”
This acquisition increases ERIF II’s European living portfolio by 147 residential homes, bringing its total holdings to over 3,100 units across Denmark, Germany, Ireland, Spain, the Netherlands and Finland.
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