Spanish REIT Lar España Real Estate has made its biggest purchase so far with the acquisition of half of the Megapark Barakaldo outlet and retail park in the Vizcaya region of Spain for €170 mln.
Spanish REIT Lar España Real Estate has made its biggest purchase so far with the acquisition of half of the Megapark Barakaldo outlet and retail park in the Vizcaya region of Spain for €170 mln.
Megapark Barakaldo was acquired before the summer by US private equity firm Oaktree Capital Management as part of the purchase of a smaller Project Gaudi non-performing loan portfolio from German bad bank FMS Wertmanagement. It was immediately put back on the market.
The asset, which was only half-developed at the time, traded for over €200 mln in January 2006. The remaining 64,000 m2 was developed at a later stage.
'We have successfully managed to complete our target of investing all of the funds raised from the share capital increase ahead of schedule and prior to the end of the year, optimising these resources in record time,' commented President José Luis del Valle.
The company is buying 64,000 m2 of the 128,000 m2 Barakaldo park - the largest retail park in the Basque region and the fourth largest in Spain. It is fully let with tenants including El Corte Inglés, Decathlon, Conforama, Media Markt, Maison du Monde and Toys R Us.
Lar España, which raised €400 mln FROM its IPO in March last year, recently raised €135 mln in a new capital increase. In January the firm also issued a €140 mln bond - the first by a Spanish REIT. To date the company has bought assets worth €852 mln.