Greystar Real Estate Partners, a global leader in the investment, development, and management of high-quality rental housing 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 GP, 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 deal comprises 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.
Juan Acosta, Greystar Spain managing director, stated: “The Madrid market is characterised by a significant undersupply 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 at King Street, added: “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.”
The Jones Day team was led by Private Equity partner Laura Pembridge (London) and Real Estate partner Victor Casarrubios (Madrid), and includes associate Rob Harris (Private Equity – London), Georgia Bridgen (M&A– London), Tax partner Blaise Marin-Curtoud (London), Daisy Deller (Tax – London), M&A counsel Beatriz Piriz (Madrid), RE associate Luis Perez Casas (Madrid), RE counsel Ángel Magdaleno Vázquez (Madrid), and Menno Geusens (M&A – Amsterdam).
