Spanish REIT Hispania, one of the top hospitality landlords in the country, has revealed that it has postponed the disposal of its office assets - valued at an estimated €500 mln - due to the political crisis in Catalonia.
'In view of the current circumstances of uncertainty in Catalonia, the company has decided to postpone the asset divestment process of the portfolio of offices until the first quarter of the year 2018,' Hispania announced.
According to media reports, insurer Swiss Life had been first in line to purchase the assets, after putting in a bid last March. The portfolio comprises 24 office blocks, five of which are understood to be located in Barcelona.
However, the recent activities of the Catalan Independence Movement and a climate of social unrest are understood to have generated fears of contagion in the real estate market.
Earlier this year, Hispania underlined its commitment to hospitality with the flotation of its €790 mln joint venture with hotelier Grupo Barceló on the Madrid Stock Exchange. The joint venture, Bay Hotels & Leisure, is also structured as a Socimi, the Spanish version of a real estate investment trust. The office divestment is part of the strategic shift.
With 39 hotels and a total of more than 11,200 keys, Hispania claims to be the largest hotel owner in Spain.
