The Spanish capital not only remains one of the main investment magnets in Iberia, as it has been surpassing itself quarter after quarter. During the first quarter, Madrid attracted more than 1.46 billion euro, the largest investment volume registered in the last 12 months.
Real estate investment during the first quarter was 24% higher than during the previous quarter and 23% higher yoy, revealed Madrid’s Report compiled by Iberian Property.
The same document further informs that this number represents around 34% of all real estate investment in Portugal and Spain during the same period, thus remaining the city in Iberia that receives more investment. This share is even higher than the one estimated for the city during the last 4 quarters – 28%.
This number can be explained by the 5 largest investments registered in the city since all were above 100 million euro and represent more than half of all real estate investment during this period. The largest was the purchase of Hotel Edition Madrid by Archer Hotel Capital for 220 million euro from KKh Property Investors. The second-largest was the acquisition of ING Headquarters, located at Helios Park, by Inmark for 190 million euro.
Nevertheless, the effects of the pandemic were felt in Madrid during the last three months. According to the preliminary data from Iberian Property, investment dropped around 79%.
The numbers registered last year showed that the office segment remains the most in-demand in the Spanish capital – representing more than 50% of all investment. Next came the alternative segments which attracted more than one-quarter of all real estate investment in the capital, followed by, with similar percentages (around 10%) the retail and hotel segments. During this period, logistics only attracted 4% of the investment.
During the last 12 months, asset managers and investment funds were the most active (representing 34% of all investment), followed by private equities (20%), insurance companies and pension funds (16%), REITs (16%) and, lastly, by other types of qualified investors, such as developers and family offices, among others.
All the information is available at the Report from Iberian Property which can be downloaded HERE.
For more information on how to subscribe to the Iberian Property Data service, click HERE.
Disclaimer: This information is based on public data gathered within the platform Iberian Property Data. All estimates were calculated based on registered public information and data from the main consultants within the market. It should be noted that the results presented here may be updated if new information is issued.