We have read that in Tarragona, a province in Catalonia, a flat has been sold for 40000 bitcoins, because that’s what the owner wanted.
spain property market
Testa Residencial, the socimi in which Santander, BBVA and Merlin have stakes, will today approve its merger with Acciona’s property rentals business. The operation will create a new property ‘giant’, unheard of up to now in Spain, given that it will be the first company dedicated to the home letting business.
Almost 10 years after the big property bubble burst, Spain is once again showing how emotional it can get it with bricks and mortar in all its forms. And emotional is the word, because the ‘revival’ of the real estate sector – something which nobody was betting on three or four years ago – is so spectacular that not a day passes when there is not some sort of euphoric news emerging about it. Of course figures are figures and these are more than amazing. If we focus on the Socimis, the protagonists of the property market in this current phase, the truth is the numbers are really impressive.
Mari Pinardo | Banco Santander reached an agreement on Tuesday to sell US private equity firm Blackstone a majority 51% stake in 30 billion euros of soured property assets and loans it inherited when it bought ailing lender Banco Popular in June.
José Benito de Vega | Axiare has outperformed the other listed Socimis, as well as the IBEX-35 since it made its market debut in July 2014. The rise in the company’s NAV per share has reflected this upbeat trend, increasing over 30% in three years.
There are still opportunities in office buildings but investors need to be very selective. And it’s important to add value to the property, for example through refurbishment, according to Eduardo Fernández-Cuesta who worked for 25 years in CBRE.
Miguel Ángel Tramullas | The price of second-hand homes is recovering in Spain, in part driven by the interest of investors who are buying in the big cities to then rent the property out, as a viable option given the lack of alternative investments.
F.Barciela /F. G. Ljubetic | If the banks are still the protagonists in terms of granting mortgages to private individuals, another thing is new developments where their role is decreasing. Burned by what happened in the past, the banks are looking very closely, and selectively, at each new development proposal. This has meant that in the last few years alternative financing formulas have emerged which property developers are using to push ahead with their projects.
It’s not really surprising that Spain’s real estate market has become one of the most attractive in the world, given that property prices are still only slowly recovering from an almost 40 percent decline at the height of the crisis, and the country’s economy is now back on the path to growth.
The recovery in Spain’s property market is good news for the country’s banks as it will provide a boost for the economy as a whole, while helping reduce the “toxic” real estate assets on the lenders’ balance sheets, says the rating agency.