Astroc sells Landscape's assets for EUR 650 mln

Spanish real estate company Astroc Mediterraneo has announced the sale of several assets of its Landscape Promocions Immobiliaries property arm to General Electric RE Iberia for close to EUR 650 mln.

In a statement at the end of December, Astroc said the assets provide some 300,000 m² of lettable area and account for some 30-40% of the company. The assets were part of the portfolio of Landscape, the former real estate unit of Banco Sabadell, which has been acquired by Astroc for EUR 900 mln plus debt earlier in 2006.

Separately, Astroc said it has reached a preliminary agreement to sell two hotels, also controlled by Landscape, to peer Rayet group for EUR 97 mln. The hotels are located in Barcelona, Spanish newspaper Cinco Dias has reported.

Earlier in December, Amancio Ortega, chairman of Inditex, told the CNMV, Spanish national stock exchange, he acquired a 10% stake in Landscape through his financial vehicle Pontegadea de Inversiones. Ortega has also invested some EUR 200 mln in the acquisition of about 5% in Astroc last week, Cinco Dias said .

Following the transaction, Astroc, one of the largest property company in Spain, has a land portfolio of about eight million m². In 2006, its turnover was of the order of about EUR 1.75 bn.