Hotel was the asset class that attracted the most investment in the Madrid market in 2021, namely attracting 35% of the total amount traded until the end of August, approximately 350 million euros in 5 operations. Archer Hotel Capital's acquisition of Hotel Madrid Edition from KKH Capital, for 205 million euros, was the most important operation in the Spanish hotel sector.
The year was also marked by high interest in industrial and logistics product, which accounted for 24% of total investment in Spain, and 22% in the capital with a volume captured of 216 million euros, thanks to 6 operations. In the national panorama, the second quarter of 2021 achieved the second-best historical record for that half-year, only behind 2017, and the total investment volume in this sector is expected to reach over 2.000 million in 2021, which would be a historic volume.
Appearing in third place, with 8 concluded operations, the office sector captured approximately 185 million euros (19% of the total investment in Madrid).
Although the teleworking trend has taken hold with the pandemic and seems to be here to stay in some extent, the physical office will remain an essential space for collaborative productivity, promoting company values and culture, and talent retention.
Offices will not necessarily have to reduce their area; rather, the space will be distributed differently. Proof of this statement is that in the period analysed 3 out of the 8 transactions in the city had office areas (building area) above 10.000 square meters.