Europa Capital has signed an option to acquire a 15th-century palace in the centre of Palma, Mallorca, from a private individual. The company intends to restore the palace and reconfigure the internal space to create 14 unique high-quality homes. This planned c. €22m investment by Europa Fund V builds on Europa Capital’s track record of residential redevelopment in Spain where it has completed or is currently transforming ten properties into 150 prime apartments and 17 houses for sale to domestic and international private individuals. The palace also features a 650m² communal garden and will benefit from a high-quality refurbishment, complemented by resident parking and modern amenities. Bonavista Developments will be responsible for the works.
While the oldest part of the palace dates back to the 15th century, the main historical core was constructed in the 16th century, with further extensions being undertaken in the 17th and 18th centuries. Significant restoration works were carried out in the late 1800s and early 1900s involving the central stairwell, the first floor and the facades, most of which were delivered in the neo-gothic style.
The palace is located in the centre of Palma Old Town, opposite the Plaza Mayor, and within minutes of restaurants, shops and cultural hotspots such as the Modern Art Museum and the “Teatre Principal de Palma”. The palace also boasts convenient public transport links and is located within a 20-minute drive from Palma de Mallorca Airport.
Jason Oram, Partner at Europa Capital, commented: “The acquisition of this 15th century palace provides us with a very rare and exciting opportunity to take a highly attractive, and well-located building of historic importance and breathe new life into it with a much needed and thorough restoration, as well as a reconfiguration into new unique houses. Larger than both Nice and Bilbao, and often now dubbed ‘Little Barcelona’, Palma is undergoing its own transformation and offers great future potential that we believe will lead to significant demand for the residential space we intend to deliver at this project. The restoration of this palace also reflects our strategy of targeting prime residential assets within structurally supported and improving international cities, not least in Spain where we have a strong track record. This opportunity is also in line with our strategy of working with an experienced partner to deliver a high-quality residential product in attractive locations.”