Foreign capital made up 68% of the investment in Spanish real estate in 2018

This article was written and published in Spanish and has been translated into English via Google Translate. Click here to read the original article.

The Spanish real estate investment market continues to attract foreign capital. International participation in 2018 represented 68% of the 10,800 million euros transacted in tertiary real estate assets, the highest percentage in the last five years since the beginning of the market recovery in 2014 and which represents an increase of 12 percentage points in the last three years.

According to the data of Savills Aguirre Newman, the volume of direct investment in cross border operations reached 7,300 million euros, 23% higher than the figure registered in 2017, when it reached 5,950 million, without taking into account the participation of the socimis, registered as a domestic investor, despite the fact that most of their capital is foreign, nor corporate operations.

By origin of capital, investors from Europe and the United States account for almost 57% of total national and international investment. Among Europeans, those from the United Kingdom, Germany and France represent 73% of the total of Europe.

In terms of segments, 'retail' attracted a greater volume of investment, 3,432 million euros, of which 68% is international, in line with previous years. The investment in commercial premises' high street, with 1,150 million euros, was more than twice the figure recorded in 2017, according to the consultancy.

Logistics was the segment with the highest increase, with 61% more than last year, registering a new record with 1,300 million euros, thanks to operations such as the purchase of the Colver portfolio by Blackstone at the end of the year. The interest in logistics assets by international investors is clearly reflected in the 87% participation recorded by foreign investors.

In offices, highlights the upturn compared to last year, 19% more than in 2017, with 2,800 million euros, where Madrid represents 69% of the total and Barcelona 26%, thanks to operations such as purchase by Tristan from a Colonial portfolio and the progress of the Barcelona market in the second half of the year.

This article was written and published in Spanish and has been translated into English via Google Translate. Click here to read the original article.

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