IBA Capital Partners and Batipart Europe, together with a consortium of investors including the Socimi managed by IBA (Zambal Spain SOCIMI) and other investors as Covéa, have closed the acquisition of Prado, a major office complex located at Ramírez de Prado 5 in Madrid. The transaction ranks among the most significant office deals in Spain in recent years.
Strategically positioned in the Atocha–Méndez Álvaro corridor—one of Madrid’s fastest-growing office markets and seen as the natural extension of the traditional CBD—the asset spans nearly 60,000 square meters and has 601 parking spots. It hosts several high-profile tenants, including Amazon’s Spanish headquarters, which occupies 18,000 square meters, alongside offices for the Region and City Council of Madrid.
The acquisition was structured through the corporate purchase of a company previously owned by a fund managed by AXA IM Alts. In addition to Prado, the company’s portfolio - valued at approximately €300 million - includes another commercial asset, two logistics properties, and a plot of industrial land. This deal marks the culmination of the coordination, involving complex structuring, bank financing and alignment among stakeholders.
The second office property, with a surface area of 6,000 sqm, is located on Calle Ramírez de Arellano, also in Madrid. The logistics asset in operation is located in Barcelona and has more than 35,000 sqm. The portfolio is completed with an industrial site in the same city.
The partnership between IBA Capital Partners and Batipart Europe reflects a shared strategy: acquiring and managing prime office assets in order to serve the current strong and growing demand from national and international corporations for Madrid’s market. Both Managers share the view that the tenants are now looking for the best office premises in order to attract and retain talents, especially the youngest generation. This investment underscores their confidence in the value creation potential within Spain’s office market.
Advisors on the deal include: Uría Menéndez, Pérez Llorca, Rubio Laporta and EY on legal matters, JLL on technical due diligence and Deloitte for financial advice to the buyers.
In exclusive talks with Iberian Property, IBA Capital Partners shared that this transaction represents a turning point in the market. "International funds have been quite prudent over the office segment in the past two years, but we continue to be big believers on the office product, especially in consolidated areas within the M-30 of Madrid. We feel very happy with the outcome of this complex transaction and we consider that counting with such a large amount of financing from a single lender is also a big vote of confidence, reflecting that specialized financial institutions support this kind of investments, based on high quality assets in consolidated areas and with good tenants", Jesús Valderrama, Co-Founder / Co-Chairman at IBA Capital Partners. However, he alerts that "it is time to manage buildings more actively while adding value with services that differentiate you from the competition... it is no longer enough to buy, sit back and collect rents. Buildings are assets with a life, not just bricks, they should be thought to generate community, and with this in mind we are modernising our whole portfolio to the new demands of tenants".
As issued to BME Growth, IBA Capital Partners carried the transaction through its vehicle Zambal Spain SOCIMI, an acquisition that was carried out through the purchase of 50% of the shares of Westfaliano Europe, S.L., a company to which 100% of the shares were previously contributed. The total purchase price for 50% of the shareholding amounts to approx. 115.3 million, plus the assignment of intra-group loans amounting to 20.4 million, which were paid in one act. The transaction counted with CaixaBank as lender, which provided 150 million, with a 5-year bullet maturity and an interest rate of Euribor + 1.75%, subject to compliance with certain LTV (Loan to Value) and DSCR (Debt Service Corporate Ratio) ratios.
Also commenting on the acquisition, Thierry Julienne, Co-Founder / Co-Chairman at IBA Capital Partners, said: “This deal reflects our belief in the long-term value of office spaces located in established urban areas, backed by sustained demand from major occupiers. We are very pleased to enter into this partnership with Batipart Europe for the acquisition of Prado, one of the best office complex in Madrid.”
For its part, Raphaël Andrieu, CEO and Martin Fauchille, Deputy CEO of Batipart Europe in Spain added: “This transaction is an exceptional opportunity for Batipart Europe to strengthen its presence in a key market like Madrid. This investment is fully in line with our strategy, focused on best quality assets in strategic locations, as well as our objective to deploy capital in Spain and Southern Europe more broadly. We are delighted to join forces with IBA Capital Partners in managing Prado going forward.”
On the selling side, John O'Driscoll, Global Co-Head of Real Estate at AXA IM Alts, said: ‘This transaction is the result of effective coordination throughout a complex process, driven by both the size of the transaction and market developments. The sale is in line with AXA IM Alts‘ overall strategy of actively managing and divesting assets where value has already been realised, allowing for reinvestment in new opportunities with long-term growth potential’.
