Widely welcomed by investors, the subscription period of IBERÓ I fund is still in progress. The expectations generated by the assets declaration scheme established by the Argentine government in the last weeks led to a great deal of enquiries and requests of information about the characteristics of the fund. IBERÓ I is a private fund allowing to invest in commercial real estate assets, Class A and B, located in the most important urban centers of Spain. Spain has started to draw the attention of large real estate investors. On the one hand, there are signs of macroeconomic recovery, but, in addition to this, the real estate market is also showing very encouraging signs.
The Spanish economy is getting back on track, with 3.2% GDP growth in 2015, a percentage higher than the rest of Europe. And, after a seven-year decline, the average price of homes went up 2.4% annually during 2015. The same year, it showed a historic record of operations with more than 12 billion euros in the housing market, exceeding the 9 billion euros in 2007, the highest in its history. This shows that 6 years of scarce activity is being left behind.
Information about the fund
The goal of this fund is to achieve a minimum 9% annual return for the investor, with annual 4% coupons advance payments, through a real estate assets portfolio including assets with potential to add value in the mid-term.
The fund assets will be exclusively invested in commercial property (stores and offices), class A and B, located in Madrid and capital cities of provinces. Property under pre-construction process is excluded”. The main business activity will involve the purchase (at prices lower than the market value), use (by making repairing work, if necessary, and renting them if vacant) and sale of real estate assets. Thus, income from rentals will be received during the use of the asset and upon their sale a revaluation benefit will be obtained.
This fund is oriented to a prudent investor with 36-month investment horizon and the initial amount of the fund will be 5,000,000 EUROS with a minimum investment amount of 200,000 EUROS.
This project is developed with the participation of Soldati Propiedades as trader, INMSA as Manager and FDI asset management company in charge of the administration process.
The fund in the press:
La Nación: “The moment to invest in Spain”
Apertura.com: “How to buy commercial property in Spain”