LaSalle acquires retail park in Madrid on behalf of Encore+
MADRID (December 15, 2021) — LaSalle has acquired the retail and commercial park “Las Mercedes Retail Park” in the east of Madrid on behalf of its open pan-European fund Encore+ (“the Fund”).
Completed in 2015, the retail park comprises a total lettable area of just under 22,000m². The asset is fully let and anchored by the DIY retailer Bauhaus as well as the discount grocery store Aldi. In addition to already existing solar panels, further measures to increase energy efficiency and sustainability are planned over the long term.
The property is located in the Barajas district of Madrid, within a higher-than-average income catchment area of about 440,000 inhabitants. There are numerous shopping and leisure facilities in the immediate vicinity, including the highly frequented Plenilunio shopping centre. The neighbouring Mercedes Business Park is home to more than 12,000 employees of numerous international companies such as Coca-Cola, Vodafone, Fedex and DHL.
Las Mercedes Retail Park is also located close to the airport and the A-2, M-11 and M-21 motorways. The location is less than 30 minutes by car from the centre of Madrid and has excellent public transport connections.
David Ironside, Fund Manager for Encore+ at LaSalle Investment Management, says: “With Las Mercedes Retail Park, we have identified an exceptionally attractive opportunity to increase exposure of Encore+ to high-value, income-generating retail assets with a heterogeneous industry profile and potential for alternative uses. The transaction comes at an opportune moment when the vacancy rate in Madrid is historically low while the new development pipeline is limited. The location is compelling as an established urban retail and office submarket, providing a mix of strong-performing long-term tenants which will generate diversified cash flows and sustain strong returns for our investors.”
LaSalle was advised on this transaction by Simmons & Simmons (legal & tax), Hollis Global (technical & ESG) and RPE (commercial). The seller has been advised by Cuatrecasas (legal) and Cushman&Wakefield (commercial).
About LaSalle Investment Management
LaSalle Investment Management is one of the world's leading real estate investment managers. On a global basis, we manage approximately $73 billion of assets in private equity, debt and public real estate investments as of Q2 2021. The firm sponsors a complete range of investment vehicles including open- and closed-end funds, separate accounts and indirect investments. Our diverse client base includes public and private pension funds, insurance companies, governments, corporations, endowments and private individuals from across the globe. For more information please visit www.lasalle.com and LinkedIn.
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