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2017 / iberian.propery // 67
ISSUE: TOP IBERIAN cities //dossier
25 years after hosting the Olympic Games of 1992,
the city of Barcelona maintains the mark that
raised interest worldwide and increased over the
years. That event turned Barcelona into one of the
principal tourist destinations in theworld. In 2016,
Spain receivedmore than 75 million visitors and
Barcelona was a key point of interest, attracting
the attention of developers and investors.
This interest also led to a great influx of students, a
phenomenon that has driven the offer of university
residences and residential assets for this target.
In the office sector, take-up in the first semester
of the year increased 29% compared with the
same period last year, with a vacancy rate of
8% and less than 2% in the centre. In the first
quarter alone, the investment volume reached
450 million euros, compared with 40 million
during the same period in 2016.
Furthermore, Barcelona is one of the principal
logistics destinations, with a vacancy rate under
3% in the first logistics ring. Accordingly, we note
the investments announced byAmazon (63.000
m²) and Mango (119.000 m²).
In the retail sector, investor interest stands
out both in the large shopping centres and in
the busiest sections of the main retail arteries,
concentrated around Paseo de Gracia, Plaza
Cataluña and Portaferrissa.
To sum up, Barcelona offers the ideal setting
for real estate investment in every segment,
a scenario that has benefitted from solid eco-
nomic prospects for the country and the sector.
Allbert Casajuana
Altamira Asset
Management
Regional Director
for Catalonia & the
Balearic Islands
3 questions for:
1. Would you recommend investing in
Barcelona today?What is the principal
reason?
Barcelona represents the second most
important focal point in Spain where
investors concentrate their attention. As
with Madrid, consolidation of the proper-
ty market foresees an increase in rents.
The price of assets, particularly offices,
remains below the European average.
2. Do you believe the market will con-
tinue to appreciate over the next 12
months? Will that appreciation occur
mainly through yield compression or
a rise in rents?
The market continues to appreciate and
yields are expected to keep contracting
throughout this year, albeit more lightly
in 2018. This is due to a lack of product,
as well as the expected rise in rents in
every segment.
3.What is themain investment barrier?
The principal barrier is a lack of product,
especially in the three types of assets in
highest demand, which are offices, prime
retail and logistics,where supply is scarce.
In the residential segment, the problem
is that prices have risen exponentially
in the past two years, returning to lev-
els comparable with 2006 – 2008 and
making investment more risky.
Finally, the situation of Barcelona’s hotel
market must be noted: monotony has
made supply limited and very expensive,
thereby diminishing transactions.
Thierry
Bougeard
Advisory BNP
Paribas Real
Estate Spain
Director General
«Barcelona offers the
ideal setting for real
estate investment in
every segment»