Axiare Patrimonio becomes the first Spanish real estate firm to receive a loan from the European Investment Bank

Axiare Patrimonio becomes the first Spanish real estate firm to receive a loan from the European Investment Bank

Axiare receives EUR 16 million for its active management in protecting the environment
  • Axiare Patrimonio has signed a EUR16 million financing agreement with the European Investment Bank (EIB), as part of the Juncker Plan
  • Important milestone as the first Spanish real estate firm to receive financing from EIB
  • The Socimi will invest the money in improving the energy efficiency and overall quality of its buildings in order to make them more sustainable
Madrid, 21 December 2017. Axiare Patrimonio has achieved a new milestone, becoming the first Spanish real estate firm to receive financing from the European Investment Bank. The Socimi, led by Luis López de Herrera-Oria, has signed a EUR 16 million loan agreement with the EIB to increase the number of energy-efficient buildings in the Spanish market. This agreement is backed by the European Fund for Strategic Investments (EFSI), which forms the core of the Investment Plan for Europe, commonly referred to as the Juncker Plan. The EIB has granted Axiare this loan to promote sustainability. Following refurbishment works, the HVAC systems and lighting in its buildings will comply with energy standards that will allow consumption to be optimised, promote the use of renewable energy and reduce the buildings’ CO2 emissions. This year, Axiare Patrimonio has secured financing deals totalling EUR 175.7 million. Since its listing in July 2014, the Socimi has obtained almost EUR 700 million in bank financing, clearly demonstrating the confidence that it instils in the market, thanks to its management model, its strict compliance with its business plan and its capacity to generate value for its shareholders. The Company will receive EUR 16 million to invest in improving the energy efficiency and sustainability of several of the properties in its portfolio. Sustainability and protecting the environment via efficient buildings lie at the very heart of Axiare Patrimonio’s business plan. The company has also set itself the ambitious goal of certifying its entire portfolio by the end of 2018. The European Investment Bank (EIB) is the European Union’s long-term financing institution, whose shareholders are its member states. The EIB provides feasible investment projects with long-term financing in order to help meet EU policy objectives. The Investment Plan for Europe, commonly referred to as the Juncker Plan, is a key priority for the European Commission. It is focused on driving investment to create jobs and drive growth via a more intelligent use of new and available financial resources, removing investment barriers and providing visibility and technical assistance to investment projects. Luis López de Herrera-Oria, CEO of Axiare Patrimonio, confirmed: “Axiare Patrimonio has achieved a new milestone by signing this loan agreement. In doing so, we are the first Spanish real estate firm to receive financing from the EIB”. López de Herrera-Oria added: “The EIB has recognised that Axiare Patrimonio’s management model is always focused on generating added value in its properties and returns for its shareholders”. Axiare Patrimonio’s portfolio has a market value of circa EUR 1,710 million. In line with the business plan announced at its listing, offices account for 74% of its portfolio, logistics warehouses 18%, with the remaining 8% being other properties, primarily retail warehouses. Axiare Patrimonio was advised on the legal side by Gómez-Acebo y Pombo.
Axiare Patrimonio sells Fernando el Santo for €30 million

Axiare Patrimonio sells Fernando el Santo for €30 million

  • Axiare Patrimonio has sold the prime property located in the centre of Madrid at Calle Fernando El Santo 15, to a national investor for €30 million
  • This is the Socimi’s first divestment. The property, acquired in September 2014 for €16.5 million, has been sold for €30 million, equating to a value uplift of 82% in three years
  • The Socimi’s active management strategy has allowed it to increase the property’s rental level by 43%
Foto: Axiare Patrimonio
Madrid, 20 December 2017. Axiare Patrimonio completes its first sale in its three-year history, obtaining close to double its 2014 acquisition price. After holding the property in its portfolio for three years, as per the legal requirement for Socimis, the company headed up by Luis López de Herrera-Oria has sold the period property located in Madrid at Calle Fernando El Santo 15 to a national investor for €30 million. The sales price equates to an 82% increase on the acquisition price and is 5% above the last valuation carried out in June 2017. This prime property, which
houses the headquarters of the Republic of Argentina’s Embassy and Consulate, is located in Madrid’s CBD and next to the current Republic of Argentina’s Ambassador’s Residence.
The Company’s active management strategy has allowed it to increase the property’s rental levels by 43% and the occupancy up to 100%. The Fernando El Santo 15 property retains its original period façade and comprises six floors, with a total area of 3,254 sqm. The property features 42 underground parking spaces, a rarity in this area. The CEO of Axiare Patrimonio, Luis López de Herrera-Oria, confirmed: “Our company’s first divestment is an unquestionable success for Axiare Patrimonio, whilst the sales price achieved is yet another sign that the market clearly values our active management strategy. When we purchased this property in the heart of Madrid it had very low rents. We renegotiated the lease with an existing tenant at higher rents and signed leases with two new tenants, also at higher rents”. López de Herrera-Oria added: “We identified an excellent purchase opportunity in 2014 and have sold at a time when there is a lack of product in the CBD and a great deal of demand. This is a faultless transaction via which we have created value for the Company and its shareholders”. A portfolio valued at more than €1,700 million So far this year, Axiare Patrimonio has let its three most recently repositioned offices at rents 21.4% above initial estimates and 7% above the market rent estimated by the valuers. Following this divestment, Axiare Patrimonio has a rental property portfolio valued at €1,710 million. 74% of its assets are office buildings – the majority of which are located in the CBDs of Madrid and Barcelona – 18% are logistics assets located on Spain’s main distribution corridors and the remaining 8% are primarily retail warehouses located in areas with high footfall. The Socimi was advised on the sale by CBRE and EY was the legal advisor.
About Axiare Patrimonio:
Axiare Patrimonio is a Spanish company that has been listed on the Madrid Stock Exchange as a SOCIMI (Sociedad Anónima Cotizada de Inversión Inmobiliaria), since July 9, 2014. Its primary activity is the identification of investment opportunities in the Spanish real estate market and the creation of a prime property portfolio with strong potential value uplift that provides an attractive yield for its shareholders. The company’s value creation strategy is based on the active management of its portfolio, carried out by an expert team solely dedicated to this task – in order to maximise its quality, occupancy and value and transform the properties in to the leading schemes in their catchment area. Axiare Patrimonio’s investment activity is focused on the acquisition of Grade A office buildings – or that have the potential to be – in the CBD and the most sought-after business districts in Madrid and Barcelona; logistics platforms on the main distribution highways and retail schemes in established areas in Spain. Axiare Patrimonio forms part of EPRA (European Public Real Estate Association) and is the first rental property portfolio company on the stock exchange to be regulated by RICS in Spain. As well as defining and setting out the highest international professional standards, RICS aims to lead the way in terms of identifying solutions to the main challenges faced by the sector through professional expertise.Para más información  
Axiare Patrimonio: 2017’s most sustainable office properties

Axiare Patrimonio: 2017’s most sustainable office properties

  • Axiare Patrimonio obtains a LEED® CS Platinum certification, ranking this year’s no.1 in Spain and no.3 in the world in terms of LEED point score.
  • Axiare achieves the best environmental certification: LEED® CS Platinum, following the full-scale refurbishment of its office building JILT14, in Madrid.
  • JILT14 becomes one of Spain’s Top 2 most sustainable office buildings and ranks first in Spain and third in the world in terms of the certifications awarded in 2017.
  • The JILT14 building is Spain’s most energy efficient LEED® CS Platinum certified property.
  • Following the refurbishment, JILT14 is already 74.5% occupied, with the company expecting to hit 100% occupancy by the end of the year. The occupancy rate across Axiare Patrimonio’s entire portfolio, currently stands at 93.4%.
Madrid, December 12, 2017. Axiare Patrimonio, the first Socimi to be regulated by RICS in Spain, continues working to raise the value of its property portfolio. The company headed up by Luis López de Herrera-Oria has once again excelled, obtaining another LEED® CS Platinum certification for its rental property portfolio, thanks to the company’s exacting asset management and quality standards, which were key in the full-scale refurbishment of the JILT14 building, located at Calle Juan Ignacio Luca de Tena 14. The JILT14 refurbishment works started in 2016 and in less than a year, Axiare Patrimonio has successfully managed to reposition the property. After being acquired vacant, the building is currently 74% occupied, and the company is currently engaged in negotiations that would take its occupancy up to 100%, in the coming weeks. The LEED® CS Platinum classification is the highest sustainable building certification awarded by the US Green Building Council, an international authority in the real estate sector. Axiare Patrimonio already obtained a LEED® CS Platinum certification in its portfolio last July, at its DRC84 office building, located in Madrid’s Salamanca neighbourhood. Both office buildings rank first and second in terms of the LEED® certifications awarded in 2017. The JILT14 office building obtained 92 points (out of 110) in the LEED® CS Platinum certification, placing it in the number one spot in terms of the buildings certified in 2017 by LEED in Spain, and third in the world ranking, although first if only buildings managed by a Socimi are taken into consideration JILT14, which is located opposite the new headquarters owned by Banco Santander, is also Spain’s most energy efficient LEED® CS Platinum building. The achievement of the highest score in this matter is thanks to several measures implemented, such as: its three new low-transmission glass façades added as part of the architectural redesign and which allow ample natural light into the property, a VRV air-conditioning system with state-of-the-art heat recovery, and the installation of a smart LED perimeter light regulating system on all the building’s floors. The value-add strategy that Axiare Patrimonio implements across its property portfolio is founded on a strong commitment to investment and management, which thereby allows it to reposition its properties in record time and raise its rents, even above market average. By doing this, it is able to offer substantial returns to its shareholders, as well as greater operational efficiency and better workspaces for its tenants. The occupancy rate of Axiare Patrimonio’s property portfolio currently stands at 93.4% and the shareholders that bought into the Socimi when it was first listed have benefited from a value uplift of over 80% in the share price in less than three and a half years. Luis López de Herrera-Oria, CEO of Axiare Patrimonio, stated: “We are extremely pleased to have reached this new milestone, one that pays testament to both Axiare Patrimonio’s commitment to environmental sustainability and our management team’s exacting standards of quality. The sound planning of the construction work completed at JILT14 and the successful result achieved, have allowed us to reposition and let the building in record time, creating value uplift for our shareholders”. The project’s property manager, Pablo de Castro, highlighted that: “At JILT14, we had a very good starting block: a property with great potential, located opposite a new-build corporate headquarters, with 1,800 sqm open-plan floors that needed to be completely modernised and updated. Right from the very start of the building work, we were fully aware of the sustainability component; from the management of construction work waste through to the irrigation and perimeter lighting systems. This was a comprehensive and challenging project that required careful planning in terms of both investment and time-scales”. HoMuProject provided the LEED® and technical consultancy for the full-scale redesign of the JILT14 building. The refurbishment project was completed by Tetris: JLL’s Design and Construction arm. The LEED® certification for Luca de Tena 14 was awarded for the Core & Shell, a specific category often encompassing buildings that have been refurbished, and whose interiors are occupied by tenants.  
Axiare Patrimonio acquires an office property in Madrid for EUR 29.7 million

Axiare Patrimonio acquires an office property in Madrid for EUR 29.7 million

  • Axiare Patrimonio completes the purchase of an office property under construction for EUR 29.7 million. This prime office property in Madrid will comprise 8,652 lettable sqm, as well as 261 parking spaces.
  • With this purchase, the Socimi bolsters its position in the A2 area, one of the city’s most established office areas, strategically located between Madrid’s Barajas airport and the CBD.
  • Axiare continues to create a sustainable portfolio. The building will boast LEED Gold certification, awarded by the US Green Building Council.
Madrid, 22 November 2017. Axiare Patrimonio acquires another property in line with its strategic business plan, and brings the total value of its property portfolio close to EUR 1,750 million. The Socimi led by Luis López de Herrera-Oria has acquired an office property at Calle Josefa Valcárcel, 40 bis in Madrid, which is currently under construction, for EUR 29.7 million. With this purchase, Axiare Patrimonio bolsters its position in the A2 and M30 area, one of the city’s most established office areas, located just 9km from Madrid’s Barajas airport and 8km from its CBD. The property is also just a short distance from other properties owned by Axiare Patrimonio, such as Josefa Valcárcel and Juan Ignacio Luca de Tena, which will allow the company to create important synergies. The Socimi, the only one regulated by RICS in Spain, has signed an agreement to acquire the said property, that is currently being constructed by Metrovacesa. The building, which is due for completion in Q4 2018, will comprise a gross lettable area (GLA) of 8,652 sqm, arranged over seven floors, with each floor comprising 1,376 sqm, and able to be divided into as many as four modules. The property will also feature 261 parking spaces distributed over two basement floors. Axiare I+D+i, a subsidiary of Axiare Patrimonio, aimed at applying technological innovation to its properties, will examine the new building, to assess the possibilities of equipping it with state-of-the-art technology especially designed for the real estate sector. These innovations will provide future tenants with a property that is more user-friendly, more practical and more efficient in terms of everyday needs. Axiare Patrimonio´s active asset management strategy allows it to offer value add properties in the sector which in turn allows it to raise rental levels. Last week, Axiare Patrimonio unveiled VIRTO, the world’s first cognitive office building with artificial voice-controlled intelligence. The property, located in the Arroyo de la Vega area (Madrid), boasts a virtual assistant that is capable of learning via natural language with the building’s occupiers and incorporates interactive voice and movement control technology, based on the zero interface concept. The building will also be certified LEED Gold, one of the most prestigious certifications in the real estate sector, awarded by the US Green Building Council. Luis López de Herrera-Oria, CEO of Axiare Patrimonio, confirmed: “With this acquisition, Axiare Patrimonio reinforces its presence in the A2 and M30 area of Madrid”. He went on to add: “Our company acquires properties based on their quality, location and potential value uplift amongst other criteria, always aiming to ensure a high-quality rental property portfolio that is able to generate attractive returns for our shareholders”. The Socimi was advised by EY Abogados on the legal side and BNP Paribas Real Estate on the commercial side. So far this year, Axiare Patrimonio has invested EUR 245 million in the acquisition seven properties in Madrid and Barcelona. These investments, in line with the company’s strategy, have high value uplift potential that will result in attractive returns for shareholders. The company is also in advanced negotiations on properties valued at circa EUR 170 million. Axiare Patrimonio’s portfolio has a market value of circa EUR 1,740 million. In line with the business plan announced at its listing in July 2014, offices account for 74% of its portfolio, logistics warehouses 18%, and the remaining 8% other properties, mainly prime retail warehouses.   About Axiare Patrimonio: Axiare Patrimonio is a Spanish company that has been listed on the Madrid Stock Exchange as a SOCIMI (Sociedad Anónima Cotizada de Inversión Inmobiliaria), since July 9, 2014. Its primary activity is the identification of investment opportunities in the Spanish real estate market and the creation of a prime property portfolio with strong potential value uplift that provides an attractive yield for its shareholders. The company’s value creation strategy is based on the active management of its portfolio, carried out by an expert team solely dedicated to this task – in order to maximise its quality, occupancy and value and transform the properties in to the leading schemes in their catchment area. Axiare Patrimonio’s investment activity is focused on the acquisition of Grade A office buildings – or that have the potential to be – in the CBD and the most sought after business districts in Madrid and Barcelona; logistics platforms on the main distribution highways and retail schemes in established areas in Spain. Axiare Patrimonio forms part of EPRA (European Public Real Estate Association) and is the first rental property portfolio company on the stock exchange to be regulated by RICS in Spain. As well as defining and setting out the highest international professional standards, RICS aims to lead the way in terms of identifying solutions to the main challenges faced by the sector through professional expertise. About RICS: RICS is a global professional body. It promotes and enforces the highest professional qualifications and standards in the development and management of land, real estate, construction and infrastructure. Our name promises the consistent delivery of standards – bringing confidence to the markets we serve. The work of our professionals creates a safer world: we are proud of our profession’s reputation and we guard it fiercely.   T +351 91 370 51 19 – E ricsespana@rics.org – www.rics.org      
Axiare Patrimonio ends H1 2017 with a profit of EUR 114 million, 36% up y-o-y

Axiare Patrimonio ends H1 2017 with a profit of EUR 114 million, 36% up y-o-y

The Socimi’s annual rental income reached EUR 28.4 million, an increase of 42.7% against the previous year
  • The EPRA NAV reached EUR 15.3, 11.4 per cent more than six months ago and 61.9 per cent more than at its initial listing on the Stock Exchange in July 2014
  • The RICS-accredited Socimi, has let in record time, the five properties that have been repositioned since 2016, with a strong focus on technology and sustainability
  • Axiare Patrimonio is the real estate company that has let the most office space in Madrid in Q2 2017 (24,253 sqm), yet again beating its own record for number of sqm signed
  • While maintaining its investment strategy, the Socimi has acquired office and logistics assets for a total of EUR 215 million
  Madrid, 27 July 2017. Axiare Patrimonio continues to implement its strategic investment plan, further bolstered by its excellent financial results. The Socimi reported a net consolidated profit of EUR 114 million in H1 2017, 36.1% above the EUR 83.8 million in H1 2016. The Socimi has again increased its EPRA NAV, which stands at EUR 15.3, 11.4% higher than 6 months ago in December 2016 and 61.9% higher than at its initial listing on the Stock Exchange in July 2014. Axiare Patrimonio has let the five properties that it started to reposition in 2016 in record time: Avenida de la Vega, Manuel de Falla, Ramírez de Arellano, Don Ramón de la Cruz and Juan Ignacio Luca de Tena 14. This makes Axiare Patrimonio the leading Socimi in the amount of square metres of office space let in Madrid in Q2 2017, based on objective data provided by both CBRE and Savills. During the second quarter of the year, Axiare Patrimonio signed 24,253 sqm, once again beating its own record for the number of sqm signed, and achieving 7.1% higher rents than those estimated by the valuers in December 2016. The Socimi has also let 77,180 sqm of logistics assets in the first six months of the year, which, coupled with the office space let, equates to 105,918 sqm let across the two sectors. In terms of rental renegotiations, the Company extended lease agreements for a total of 68,572 sqm in H1 2017. Occupancy in Axiare Patrimonio’s investment properties at 30 June 2017 stood at 92.3%, 520 basis points higher than compared to December 2016 (like-for-like). Based on the above, the Company’s property portfolio has increased in value to EUR 1,710 million (representing a 9.1% like-for-like increase in the past six months and a 33.3% increase on acquisition price), according to the valuation certificate issued by CBRE Valuation Advisory, and carried out to RICS (Royal Institution of Chartered Surveyors) standards. RICS, the world’s leading professional body for qualifications and standards in the real estate and construction sector, has recently regulated Axiare Patrimonio, making it the first real estate company in Spain to receive this recognition. Axiare Patrimonio’s CEO, Luis López de Herrera-Oria, confirmed: “The rental market is beginning to pick up speed, and we are witnessing levels of demand and rental growth unseen since the end of the economic crisis. The lack of grade A space in the market is causing rents to rise and Axiare Patrimonio is well positioned to capture a large part of this demand.” Axiare Patrimonio is currently working on the refurbishment of four office buildings (totalling 49,202 sqm) in Madrid and Barcelona, and two logistics projects (totalling 76,816 sqm), all of which are located in strategic locations. Axiare Patrimonio’s management team continues to work towards its existing business plan, which comprises acquiring high quality properties, with strong potential value uplift, providing new added value to its property rental portfolio, and thereby generating value for its shareholders. 81% of the funds raised in the 8 March share capital increase have now been invested in the acquisition of three new assets up to June. So far this year, Axiare Patrimonio has acquired six office and logistics properties in Madrid and Barcelona, all of which are located in strategic locations, for a total of EUR 215 million. The Company also has EUR 100 million in advanced phases of negotiation, in order to continue to acquire assets in line with its investment strategy, increase its portfolio and generate value. Sustainability & Technological Innovation at Axiare Patrimonio 20% of the assets in Axiare Patrimonio’s portfolio now benefit from LEED or BREEAM certification, including one LEED CS Platinum property, Don Ramón de la Cruz 84 (Madrid). The Company expect to have 65% of the portfolio certified by the end of this financial year, and that by the end of 2018 the whole portfolio will be green. In terms of technological advances, Axiare Patrimonio’s mobile app is fully up and running in its De la Vega Business Park (Alcobendas, Madrid), and its latest development “VIRTO” – a new virtual assistant aimed at transforming buildings into new smart office buildings, with spaces virtually connected via state-of-the-art technology such as machine learning and zero interface – expected to be launched before the end of the year.    
Axiare Patrimonio achieves its first LEED CS Platinum certification

Axiare Patrimonio achieves its first LEED CS Platinum certification

Only five office buildings in Spain hold this environmental certification
  • Axiare Patrimonio has achieved LEED CS Platinum certification for its office property located on Calle Don Ramón de la Cruz, 84 in Madrid, making it one of the most sustainable office buildings in Spain
  • The Socimi has been awarded the first LEED CS Platinum certification in its portfolio, after fully refurbishing the property. The meticulously planned works lasted just 8 months and the total investment was a constrained €465 per sqm
  • The Socimi aims to achieve environmental certification for more than 60% of its properties by the end of this year, and 100% by 2018
Madrid, 25 July 2017. Axiare Patrimonio, the Socimi led by Luis López de Herrera-Oria, continues to work towards generating excellent returns for its shareholders. The first Socimi to become RICS accredited achieved its first LEED CS Platinum certification for an office building: the property located on Calle Ramón de la Cruz, 84 (DRC84), placing it among the top ten new or refurbished office buildings in Spain in terms of sustainability. The LEED certification for Don Ramón de la Cruz 84 falls under the Core & Shell category, for properties that have been refurbished and which are tenant-occupied. Only five buildings in Spain fall into this sub-category. This is the first Platinum certification in the Company’s portfolio, thereby continuing its environmental certification plan as part of its value creation strategy. The Company aims to certify more than 60% of its properties by year end and its entire portfolio by 2018. Axiare Patrimonio began the full refurbishment works on DRC84 in 2016, with a clear focus on sustainability: architectural design, facilities, contaminated waste management and recycling of construction materials during the refurbishment and the final fit-out of the building. The works were completed in a record timeframe of 8 months, and with a limited investment of EUR 4.35 million – or €465 per sqm – at least 40% less than other similar renovation projects in Spain with the LEED CS Platinum certification, where works on average took between three and seven years. Axiare Patrimonio’s CEO, Luis López de Herrera-Oria, confirmed: “This achievement is a fine example of our active management strategy. Here at Axiare Patrimonio, we consider this to be a sound success story. In less than a year, with a sensible investment and careful planning, we have managed to increase the value of a prime office property in the heart of Madrid, which will generate significant returns for our shareholders”. Stuart McDonald, Real Estate Director for Axiare Patrimonio, pointed out: “The DRC84 building with its LEED CS Platinum certification is a significant contribution towards the company’s corporate social responsibility.” The Socimi has also made a commitment to purchase 100% green energy for this property. All of the energy consumed by DRC84 comes from renewable sources, and it is hoped that this will help to combat the greenhouse effect, whilst also creating a cleaner environment. For the refurbishment project at DRC84, Axiare Patrimonio was assisted by the technical consultancy firm Homu Project and Aguirre Newman’s architecture and construction divisions.