Spanish family office Twin Peaks Capital has teamed up with alternative investment management platform Azora to develop a 5,000sqm commercial building in eastern Madrid into a 55-unit residential scheme.
Doctor Esquerdo 136 is located on one of the Spanish capital’s main thoroughfares. The project will see the conversion of a commercial property “into much-needed housing, helping to address the growing demand for residential accommodation in Madrid”, the firms said in a joint statement.
Designed by architectural practice Cano y Escario and marketed by Colliers, the development will comprise 55 newly built homes, offering one-to-four-bedroom layouts, together with a comprehensive range of amenities, including a gym, cinema, coworking space and a rooftop swimming pool.
For Azora, the transaction represents the first divestment by its Southern Europe Opportunities III (SEO III) fund, a value-add vehicle launched in 2025 that focuses on value-add strategies across key sectors, including residential, hospitality and data centres, primarily in southern Europe.
Javier Rodríguez-Heredia, managing partner at Azora, said: “This first divestment by our SEO III fund demonstrates our ability to successfully execute value creation strategies within relatively short investment cycles.
“The transformation of an office building into a luxury residential development highlights the potential of active asset management and our ability to identify attractive opportunities in the real estate market,” Rodríguez-Heredia added.
At present, newly built homes remain in particularly short supply within Madrid’s M-30 ring road, the firms noted.
Jesús Moler, managing director at Twin Peaks Capital, said: “Doctor Esquerdo 136 reflects our approach to real estate development: identifying locations with outstanding potential and transforming them into projects that create lasting value for both the city and its future residents.
“We are particularly excited about this development because it combines an exceptional location with a highly compelling project, which will become one of the flagship developments in our Madrid portfolio,” he added.
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