Invesco Real Estate has acquired a recently built Private Rented Sector (PRS) asset with 160 units located in southern Madrid, in the municipality of Valdemoro.
The acquisition, the first one made on behalf of this mandate, by a large German institutional investor, underscores Invesco Real Estate’s ability to secure new institutional mandates and the attraction of the European PRS market.
For this client, Invesco Real Estate is aiming to close three more residential deals by the end of the year, with underlying assets spread across four different European countries. Overall, the underlying objective is to create a diversified pan-European residential portfolio - excluding Germany but including the UK – in European cities with strong demographics, delivering sustainable distributions and a total return.
Built in 2023 the asset in Valdemoro has a GLA of c. 10,200m2 over eight stories. The building is 99% let and offers facilities such as a swimming pool, co-working, padel court, playground, gym, and car washing. Certifications and ratings include EPC A, BREEAM Good, and FITWEL (2 stars**).
The asset is managed by Nuva Living.
Steffen Pilopp, Managing Director, Co-Head of Separate Mandate Accounts, Invesco Real Estate, said: “European residential remains a clear investment opportunity, and cities in Spain such as Madrid are at the top of the market in terms of an imbalance between supply and demand. The imbalance is leading to strong rental growth, particularly for prime, well-located assets such as this new building in Valdemoro. Invesco Real Estate has a strong pipeline of PRS deals in Europe, and we expect to announce further transactions as we build out mandates for our institutional clients. In particular, we are seeing clear demand from existing and new institutional clients, and we’re delighted to have secured this new relationship with a major German investor.”
Image source - Pexels.
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