Kennedy Wilson Europe Real Estate has completed the acquisition of a property earmarked for retail conversion on Madrid's Plaza Puerta del Sol.
Kennedy Wilson Europe Real Estate has completed the acquisition of a property earmarked for retail conversion on Madrid's Plaza Puerta del Sol.
KWE funded the €30 mln purchase of Puerta del Sol 9 from its own cash resources. This is the second deal KWE has completed under a framework agreement with Spanish property firm Renta Corporacion.
The 2,300 m2 unit is spread over six stories and requires significant refurbishment. KWE said it will submit a planning application by end-2015 to convert the property from residential to retail space. The conversiuon work is expected to cost €10 mln.
Plaza Puerta del Sol is a landmark location in the heart of Madrid’s city centre which recently benefitted from the opening of one of Apple’s largest flagship stores in Europe.
Mary Ricks, president and CEO of Kennedy Wilson Europe, commented: 'The acquisition of Puerta del Sol adds Madrid’s renowned touristic destination, the equivalent of Piccadilly Circus in London, to our portfolio. The redevelopment and repositioning will allow us to deliver a global retailer to the Plaza, transforming the existing neglected accommodation into a highly sought after institutional product.'
