Global investment firm H.I.G. Realty has purchased a portfolio of three buildings in central Madrid, Spain, totaling 20,000 m2.
The portfolio is located in the residential area of Arturo Soria and consists of three commercial properties, two office buildings and one hotel. All have been approved to be converted into residential units.
The buildings will be renovated and transformed into a high-quality residential asset with 267 units for rent and sale and strong environmental credentials.
The asset will have a variety of amenities, including swimming pools, gym, food courts, cinema, terraces, and a rooftop with dining areas.
Riccardo Dallolio, managing director and head of H.I.G. Realty in Europe, commented: ‘We believe that the current residential market in Madrid benefits from strong fundamentals due to a lack of quality accommodation and high demand. This transaction demonstrates our ability to access sizeable assets in undersupplied markets with the potential of becoming a highly liquid, institutional product as the result of implementing our value-add initiatives.’
Esteban Caja Samboal, managing director at H.I.G. Realty in Europe, added: ‘We plan to deliver a high-quality scheme which caters to the demand from young professionals and families for new housing with luxury amenities, within an exceptionally located Madrid district. Given the strong market dynamics, we continue looking for opportunities in this sector, including converting obsolete office assets into state of the art residential properties.’
