Sareb today announced the launch of Árqura Homes, to manage and develop part of its residential property portfolio, comprising assets with a total value of EUR811 million. By 2027, it plans to invest a total of EUR2,238 million to develop 17,095 new homes across the whole of Spain.
This investment vehicle will operate as a Bank Asset Fund (FAB), a type of financial instrument specifically designed for Sareb and operated as a joint venture. Sareb currently has a 100% stake in Árqura Homes, although some of the funds managed by Värde Partners are set to acquire a 10% share, once they receive approval from the European Commission’s Directorate-General for Competition.
Of the total asset value transferred, 41% relates to developments under construction, 29% to land in the planning process, 27% to serviced development land and 3% to developments currently on hold. The assets will be managed by Aelca, one of the top developers in the real estate sector, which is owned by funds managed by Värde Partners, a global alternative investment firm.
Árqura will develop 17,095 new homes across 15 regions of Spain, with Andalusia, Catalonia and the Region of Madrid set to account for a combined total of 58% of the new properties.
The launch of the FAB forms part of Sareb’s strategy to maximise the value of part of its residential property portfolio. The company’s CEO, Jaime Echegoyen, highlighted that Árqura Homes is a “will be instrumental in boosting the company’s property portfolio, helping to meet the property demand that continues to exist not only in the main cities of Spain, but also in their wider metropolitan areas.
After transferring the management of these assets to Árqura, Sareb still controls a land portfolio valued at over EUR3,750 million and a series of residential developments – under construction or completed by the company – comprising a total of 2,800 homes.
Forecast investment by province until 2027 (€ million)
Forecast homes by province until 2027 (Units)