HISPANIA ACTIVOS INMOBILIARIOS, S

PRESS RELEASE
HISPANIA ANNOUNCES FOUR INVESTMENT TRANSACTIONS
FOR AN AGGREGATED AMOUNT OF 140 MILLION EURO
 Hispania continues investing in the resort and urban hotel market, reaching more than
9,000 keys
 Hispania also increases its investment in offices in Madrid and Barcelona, reaching a
Gross Leasable Area (GLA) of 128.000m2
Madrid, October 20th 2015.- Hispania, through a series of owned Group subsidiaries, has
announced the acquisition of the Holiday Inn hotel in Azca -in Madrid CBD-, four hotels to Dunas
Hotels & Resorts -in Gran Canaria- and two office buildings- in Madrid and Barcelona.
The aggregated price paid in these transactions has amounted to 125.6 million euro, fully
disbursed with Hispania’s own funds. In addition to this, additional funds have been committed
for repositioning and improvement of these assets, with an estimated budget of 14.4 million
euro as of today. This leads to a total estimated committed investment for these acquisitions of
140 million euro.
Hotel Holiday Inn in Azca – Madrid CBD
Hispania has acquired control of the Holiday Inn Madrid hotel, located next to the Paseo de la
Castellana and in front of the Bernabéu football stadium, right in Madrid central business district
(CBD).
This 4* hotel has 313 keys, as well as a series of restaurants, bars, summer swimming pool and
event rooms for up to 500 people and it is the only hotel within its category that can be found
in the business area of Azca.
The acquisition has been made by means of the acquisition of Leading Hospitality, S.L.
(“Leading”), a company currently under receivership, which is the owner of all of the common
areas and of 130 keys of the Holiday Inn hotel, as well as of other assets. Moreover, Hispania
has acquired -in a separate transaction- an additional lot of 39 keys from an institutional
investor. The investment made by Hispania in these two acquisitions has amounted to 25 million
euro. The rest of the rooms, which are owned by individuals, are subject, in their majority, to a
lease contract with Leading which will expire in 2037. Hispania’s final disbursement is
conditioned to the closing of the transaction, as well as to the amount of investment to be finally
dedicated to the repositioning of the asset.
This transaction is one more example of Hispania’s capacity to successfully execute complex
deals, by means of which Hispania gets access to unique assets, with a high potential for
additional value creation through repositioning.
With this deal, Hispania reinforces its presence in Madrid with the acquisition of a unique hotel
in a privileged area, which will be object of an important improvement and modernisation plan,
expected to get started in the square adjacent to the hotel itself.
Dunas Hotels & Resorts
Hispania has reached a binding agreement with the shareholders of Dunas Hotels & Resorts for
the acquisition of four hotels located in Maspalomas, to the south of the Gran Canaria island,
totalling 1,183 keys. The hotel Dunas Don Gregory (4* - 241 keys), the hotel Dunas Suites & Villas
(4* - 301 keys), the hotel Dunas Maspalomas (4* - 205 keys) and the Hotel Dunas Mirador (3* 436 keys).
The acquisition will be carried out by means of a series of agreements which include the
acquisition of the mortgage debt and the commitment of recapitalization of the company in
order to reverse the current under receivership situation of Dunas Hotels & Resorts. Hispania’s
total investment amounts to approximately 75 million euro and, additionally, a repositioning
investment plan has been designed, amounting to more than 9 million euro. This transaction is
subject to the approval of the Creditors’ Agreement.
Current shareholders of Dunas Hotels & Resorts will act as industrial partners of Hispania and
will operate the aforementioned hotels by means of a variable lease contract for an initial
duration of 10 years, extendable, which will include a minimum guaranteed rent.
The acquisition of these hotels complements Hispania’s resort portfolio in the Canary Islands,
reinforcing its presence in the island of Gran Canaria, where Hispania already owns the Barceló
Margaritas hotel.
Offices in Príncipe de Vergara-Auditorio and Plaza Les Glòries
Hispania goes ahead with its investment plan in the office sector by increasing its portfolio with
an office asset in Madrid an another one in Barcelona, with a total disbursement of25.6 million
euro, plus an investment plan of around 5.4 million euro.
Both buildings total a GLA of 8,125 square metre and they reinforce Hispania’s presence in the
two key investment areas where it already had significant weight.
The Madrid office building is located in Príncipe de Vergara, next to the National Auditory of
Music, enjoying excellent visibility. The acquisition of this asset allows Hispania to increase its
presence within the capital’s central business district (CBD) in the Príncipe de Vergara area, one
of the areas with the highest market revaluation potential in offices, where Hispania already has
two more office buildings. The assset’s current occupancy stands at 82%.
The acquisition of the asset in Barcelona completes the complex of the Glòries buildings, owned
by Hispania, of which it is an integrated part. The building is 100% leased with a long term
contract. With this acquisition, the 22,000 square metre complex owned by Hispania is 98.6%
leased.
Knight Frank and CBRE have advised Hispania in the Madrid and Barcelona acquisition,
respectively.
“We have significantly reinforced our resort hotel strategy with the acquisition of singular assets
in Gran Canarias an at an urban level with a unique asset right in Madrid CDB, as well as with
our presence in strategic areas of the Madrid and Barcelona office markets”, said Concha Osácar.
“These deals continue proving our execution capacity in off market deals and in those with a high
degree of complexity, facilitating the exit of companies under receivership situation, reinforcing
their viability and allowing us to access singular real estate assets at very competitive prices”.
Hotel Dunas Don Gregory
Hotel Dunas Suites & Villas
Hotel Dunas Maspalomas
Hotel Dunas Mirador
Hotel Holiday Inn Madrid
Office building - Príncipe de Vergara - Auditorio
Consejo Oleícola
Internacional
Aegon
Ppe de Vergara Auditorio
Uría
Menéndez
Knight Frank
Auditorio Nacional de
Música
Office builing in Plaza Les Glòries
Gran Vía,
866-872
Ciutat de
Granada, 178
Av. Diagonal,
220-240
FOR FURTHER INFORMATION:
Hispania’s Press Room:
Noemí Sánchez: noemi@irazustacomunicacion.com
Nacho Miquel: nacho.miquel@irazustacomunicación.com
+34 91 563 41 79
Hispania’s Head of Investor Relations:
Ana Roldán: anaroldan@azora.es
+34 91 310 6370
Pilar Vico de Haro: pilarvicodeharo@azora.es
+34 91 310 6370
About Hispania
Hispania became listed on the Spanish Stock Exchange on the 14th of March of 2014 and as of today it has raised €861 million. Hispania’s
current portfolio includes 128,000sqm in offices, 684 dwellings and 9,031 hotel rooms.
Hispania’s goal is to capture investment opportunities in the Spanish Real Estate markets and creating a portfolio of high quality assets
in the residential, hotel and offices sectors.
Hispania is part of the EPRA Index, Ibex Small Cap Index, GPR Index and Euronext IEIF REIT Europe Index.
In accordance with best corporate governance international practices, Hispania´s Board of Directors, chaired by Rafael Miranda, has a
majority of independent Board Members.
Hispania is externally managed by Azora Gestión S.G.I.I.C., S.A., which has granted it total exclusivity for all of its investment deal flow in
Spain, except for student housing.
About Azora
Grupo Azora (hereinafter “Azora”) is a leading Spanish independent asset manager, founded in 2004 and with over €2,500 million of
assets under management. Azora manages Hispania through its subsidiary Azora Gestión S.G.I.I.C., S.A., a regulated asset management
company under the supervision of the Spanish Stock Exchange regulator (CNMV).
Azora’s platform is one of the largest in Spain, with a team close to 300 professionals with extensive experience across the Real Estate
value chain, including deal origination, structuring and investment, new developments and repositioning, asset and property
management as well as disposal of individual assets or portfolios. Azora is specialized in four assets classes: residential (Azora manages
the biggest portfolio under rent in Spain, with 12,391 dwellings), student housing (also managing the biggest portfolio in the country,
with 8,530 beds) and the biggest hotel portfolio under rent in Spain, with 10,513 rooms.