Spanish property firm Metrovacesa has reduced its development pipeline to just 12 projects from 19 at the beginning of the year as part of a programme to reduce its gearing. The company said it has halted development on three shopping centres located in the Spanish cities of Valdebebas-Madrid, Cieza-Murcia and Leon as well as on its Monteburgos office development in the Spanish capital.
Spanish property firm Metrovacesa has reduced its development pipeline to just 12 projects from 19 at the beginning of the year as part of a programme to reduce its gearing. The company said it has halted development on three shopping centres located in the Spanish cities of Valdebebas-Madrid, Cieza-Murcia and Leon as well as on its Monteburgos office development in the Spanish capital.
'Metrovacesa has taken a number of steps to reduce its indebtedness and enhance its solvency and liquidity position,' the company said. It estimates total investment for its development pipeline will be around EUR 201 mln until 2012. This figure does not include the group's flagship Walbrook Square project in London which, the company said, is pending final design details.
Metrovacesa has sold EUR 631 worth of assets during the first nine months of 2008. At end-November it also sold the HSBC building in London back to the bank for £838 mln. Following the deal, the group's debt amounts to EUR 5.9 bn.
