Banco Popular to sell €451 million worth of Spanish property

Banco Popular is preparing to sell €451 million euros of real estate assets in Spain as international investors return to the country’s property market.

The bank’s portfolio includes 1,753 homes in Madrid, Barcelona, Toledo and the Costa del Sol valued at $300 million , zoned land in 10 regions across Spain valued at €103.4 million and 13 hotels valued at €47.2 million, according to a document sent to investors by N+1, the Madrid-based investment bank advising the seller. 

Investment in Spanish property jumped to €17.8 billion last year from €4.9 billion euros in 2013, according to data compiled by Irea. 

Home prices in the country last year posted their first annual increase since 2007 as the property market recovers from the worst recession in the country’s democratic history. 

Banco Popular intends to sell the portfolio, known as “Project Elcano” in the first half and the sellers may provide financing to the potential buyer, according to the document. 

Representatives of Banco Popular, Spain’s sixth-largest bank, and N+1, declined to comment.

Source: The Times