Greystar Real Estate Partners has forward purchased a substantial flexible accommodation portfolio of 2,500 units in Madrid, Spain, for a managed discretionary fund from King Street Real Estate, a leading global alternative investment firm that partnered with Greystar and Momentum REIM in 2019 to acquire three sites to be used for flexible accommodation.
The highly innovative concept will comprise three buildings located in the north and south of the Madrid metropolitan area in Rivas, San Sebastián de los Reyes and Valdebebas. They will operate under a new brand that will be unveiled at a later date, and guests will benefit from purpose-designed rooms and superior amenities including a gym, co-working space, pool, outdoor space and a dedicated concierge service. The buildings, which are currently under construction, are targeting a BREEAM rating of “Very Good.”
Juan Acosta, Managing Director - Spain, Greystar, said: “The Madrid market is characterised by a significant under supply of all types of rental accommodation, including flexible and attainable solutions. The acquisition provides us with a portfolio of significant scale in this highly attractive city that will be purpose-designed and built for guests requiring a place to stay away from home.”
Paul Brennan, Managing Director and Head of European Real Estate, King Street, said: “The sale of this portfolio underscores King Street’s ability to successfully execute on our strategy of delivering BREEAM “Very Good” rated alternative living assets in Spain, where we still see a significant opportunity to grow given the under provision of purpose-built institutional product in the market.”