Värde Partners Wins Bid to Manage €800 Million Sareb Residential Development PortfolioApril 9, 2019
Värde strengthens real estate platform in Spain
MADRID – Värde Partners, a leading global alternative investment firm, today announced an agreement with The Management Company for Assets Arising from the Banking Sector Reorganisation, known as Sareb, to manage a portfolio of over €800 million residential development assets in Spain.
As part of the transaction, certain Värde funds will also acquire a 10% stake in the newly-formed Bank Asset Fund (FAB) that will hold the assets. The assets will be managed and developed by Aelca, a Spanish residential developer and asset management company owned by Värde.
“We are pleased to have been selected for this mandate by Sareb following a competitive evaluation process. We believe this underscores the remarkable quality of the Aelca platform and our team in Spain,” said Francisco Milone, Partner and Head of European Real Estate at Värde Partners. “We look forward to establishing a long-term partnership with Sareb and converting these assets into thousands of homes across Spain.”
In January 2019, Värde-owned Via Célere acquired the land bank assets of Aelca, making Via Célere one of the largest residential developers in Spain with a gross asset value of over €2.2 billion. Aelca continues to operate as an independent residential developer and manager.
Värde Partners established its office in Spain in 2014, now operating out of Madrid, and has invested $5.5 billion in real estate assets across Europe since 2006.
Värde Partners was advised by Clifford Chance and Alantra. Sareb was advised by Garrigues and Colliers International.
The Management Company for Assets Arising from the Banking Sector Reorganisation (Sareb) is a private institution created in November 2012, to help clean up the Spanish financial sector, and more specifically the institutions that received government funding. Sareb is committed to selling the properties and loans acquired prior to November 2027. A total of 32 private companies comprise the majority of Sareb’s shareholders including banks, insurance companies, real estate companies and one electricity company. The State owns 45.90%, via the FROB (Fund for Orderly Bank Restructuring).
About Värde Partners
Värde Partners is a $14 billion global alternative investment firm that employs a value-based approach to investing across a broad array of geographies, segments and asset types, including corporate and traded credit, real estate, mortgages, financial services, real assets and infrastructure. The firm sponsors and manages a family of private investment funds with a global investor base that includes foundations and endowments, pension plans, insurance companies, other institutional investors and private clients. Now in its third decade, Värde employs more than 300 people globally with regional headquarters in Minneapolis, London and Singapore.