The 50-50 joint venture will invest in a portfolio of real estate development and value add projects in Madrid, led by Grosvenor Europe’s Madrid-based team.
The deal marks the beginning of a refreshed strategy for Grosvenor Europe, which was previously known as Grosvenor Fund Management until 1 July 2016.
While the property company will continue to manage its existing fund vehicles, Grosvenor will also invest its own capital alongside partners in a selection of high performing cities on the continent: Paris, Madrid, Milan and Stockholm. The business will also maintain its focus on Lyon and Liverpool, given its existing dominance and experience in these locations.
As part of its new strategy, Grosvenor will target value add opportunities, where it can use its skilled local teams to drive returns above market levels. These opportunities will be city-centre based and, whilst retail continues to be at the heart of strategy, the company will be looking to adopt a holistic approach to real estate. As such most assets will be mixed use and include elements of leisure, residential and offices.
James Raynor, Chief Executive Officer, Grosvenor Europe, said:
“We anticipate that, in the mid and long term, values will recover strongly in Madrid and the historic nature of property in the city centre will allow us to look for both restructuring opportunities and long term growth capture, so it’s an exciting position to be in. Grosvenor has been active in Spain for ten years and so we are well placed to find strong redevelopment and value add opportunities. We are looking forward to further developing our expertise and exposure to the local market alongside this existing partner of Grosvenor.”
For more information contact:
Rebecca Dwyer, Press Office
020 7312 6101
Notes to Editors
Grosvenor Europe invests, develops, operates and manages real estate assets and funds, with a focus on six European cities: Paris, Lyon, Stockholm, Madrid, Milan and Liverpool.
Building on our recognised skills and the wider Grosvenor Group’s 300 years of experience in real estate, we adopt a long-term, value-add approach to investment, development and management.
We work closely with like-minded partners and aim to create value for our partners, shareholders and the local communities in which we work by creating compelling investment strategies that are expertly implemented by our local teams.
Previously known as Grosvenor Fund Management, as at 31 December 2015 Grosvenor Europe managed £3.5bn / €4bn of assets, including a portfolio of historical buildings in the heart of Lyon’s city centre in France, Liverpool ONE in the UK and Skärholmen Centrum shopping centre in Stockholm. For more information visit the website www.grosvenor.com.