AXA Real Estate denied reports on Monday that it has been selected as the preferred buyer for a porftolio of commercial assets being sold by the Catalan government.
AXA Real Estate denied reports on Monday that it has been selected as the preferred buyer for a porftolio of commercial assets being sold by the Catalan government.
'Our team has indeed been looking at this opportunity but they have decided not to pursue the investment further,' an AXA spokesperson told PropertyEU on Monday.
Spanish press agency EFE reported this week that a property fund managed by AXA Real Estate was buying the entire portfolio in an operation worth some EUR 600 mln. Other bidders reportedly include Deutsche Bank's alternative fund management arm RREEF as well as Moor Park Capital Partners and the Livingstone brothers' London & Regional Properties.
The portfolio, which is being sold by the Catalan government in a bid to boost finances, includes two sub-packages with a total of 26 office buildings. The assets, all in Barcelona's city centre, are being sold through a sale-and-leaseback whereby the Catalan government is committing to occupy the assets for a minimum period of 25 years. Trophy assets include the Barcelona stock market building on Paseo de Gracia, as well as the Catalan Agriculture Ministry on Gran Via.
It is understood that the Catalan authorities are prepared to pay up to EUR 36 mln in annual rental fees, which brings the deal's maximum initial yield to 8%.
Aguirre Newman and law firm Deloitte have been mandated to sell one portfolio, valued at EUR 221 mln, while Jones Lang LaSalle and law firm Roca Junyent were picked for the remaining assets, the total value of which is put at EUR 228 mln.
