Dutch based pan-European retail property investor VastNed Retail acquires two Madrid prime high street shops for 10 million, boosting its Spanish portfolio to over 500 million.
The acquired properties are located at 23 and 25 Calle de Fuencarral, a very strong shopping street connected with Gran Via, one of the most prime retail locations in Madrid. Number 23, comprising in total 256 m², is let to the Italian fashion retailer Replay. The other shop totals 120 m² and is presently vacant. Based on a fully let situation these properties will generate an annual rental income of 0.5 million. Taking tax effects into account the net initial yield amounts to 5.0%. Hans Pars, chief investment officer of VastNed Retail: "We are happy to be able to further strengthen our Spanish high street shop portfolio. The acquired shops are like our properties in Calle de Serrano and Calle Carmen in Madrid, located in a very strong retail area with rental upside potential."
Source: VastNed Retail