Spanish real estate group Habitat is to dispose of EUR 545 mln worth of properties by the end of 2008 as part of an agreement reached with its creditor banks. Last year, the company borrowed EUR 1.74 bn to fund the takeover of its peer Ferrovial. Habitat said it has already sold EUR 150 mln of property this year and it hopes to sell another EUR 295 mln by the end of 2007.
Spanish real estate group Habitat is to dispose of EUR 545 mln worth of properties by the end of 2008 as part of an agreement reached with its creditor banks. Last year, the company borrowed EUR 1.74 bn to fund the takeover of its peer Ferrovial. Habitat said it has already sold EUR 150 mln of property this year and it hopes to sell another EUR 295 mln by the end of 2007.
The property company, which is headed by Bruno Figueras, said that its board has approved a capital increase of EUR 225 mln. Following the capital increase, Spanish infrastructure group Ferrovial will own a 20% stake in the real estate company. Habitat committed to sell an undefined stake to Ferrovial in end-2006, when it bought Ferrovial's real estate business for EUR 2.2 bn, including EUR 600 mln of debt.
Figueras added that the firm is looking to expand abroad and he suggested the company may look at investments in Eastern Europe, where it is already active in Hungary, and China.