Catella Residential Investment Management‘s Catella Wohnen Europa (CWE) fund has entered the Valencia market with the purchase of a residential rental property for €66 million.
The property consists of two buildings in the San Luis district to the south of Valencia.
The assets were acquired via the AIFM platform of Catella Real Estate AG (CREAG) and will be managed by Catella Asset Management Iberia S.L. (Catella AM Iberia), which already has a portfolio of 2,300 housing units in Spain.
The 40,047 sqm complex comprises 281 one-to-fourbedroom apartments, light and spacious terraces, 302 storage rooms, 308 parking spaces and 365 bicycles spaces. It also has spacious communal areas including two swimming pools (one for children and one for adults), paddle tennis courts, a large urban park, as well as other services.
The property is located in AQ Turianova, a new smart neighbourhood being developed by Spanish housing specialist AQ Acentor.
Eduardo Guardiola, Managing Partner of Catella AM Iberia, said: “This purchase is part of our strategy to invest in rental housing developments in tier-two and tier-three cities in Spain that have solid socio-economic and real estate fundamentals. More than half of our operational portfolio of rental residential properties is now located outside Madrid and Barcelona.”
AQ Turianova is a modern residential development in a prime location near La Fe Hospital incorporating a new infrastructure network including a three-kilometre cycle lane and improved transport connections with the rest of the city via the recently completed Malilla bridge and a new exit from the V30 motorway. The district will also comprise more than 65,000 sqm of green areas as well as nearly 40,000 sqm of space dedicated to educational, cultural, recreational, sports and leisure facilities.
Benjamin Rüther, Head of Fund Management, CRIM added: “Spain has robust credentials within a European context for boosting its share of rental housing. Faced with a serious shortage of affordable housing, the country is unable to meet demand, which is why we will continue to target new supply in smaller metropolitan areas that are proving attractive to new tenants.”
CMS Albiñana y Suárez de Lezo provided legal advice while Hogan Lovells acted as tax advisor and VMT & Associates as technical advisor. Colliers managed the sale process.
This is the second transaction signed between Catella and AQ Acentor following an agreement in 2019 on the sale of a 171-unit residential rental building located in Villaverde, Madrid.