New Opportunity in Madrid: Property on Pablo Ortiz Street
Last Updated on 16 October 2025 by Equipo Urbanitae
We present a new opportunity within Direct Investments (DI): a property on Pablo Ortiz Street, in the Usera district (Madrid). This is a direct investment in a second-hand residential asset, with high appreciation potential and two possible profitability strategies: keep the property for rental income or sell it after a few years, taking advantage of the purchase discount and the value added by renovations.
The property has 61 m² of built area and is located on a first floor with exterior orientation and no elevator. Currently, it has 2 bedrooms and 1 bathroom, although the renovation project includes the creation of a third bedroom, which will increase its appeal for both families and tenants seeking spacious, functional homes.
The comprehensive renovation will include improvements to floors, painting, furniture and kitchen appliances, plumbing, exterior carpentry, and windows, aiming to create a modern, bright, and efficient living space.
The property stands out for its abundant natural light and unobstructed views, as well as its excellent location within the neighborhood, in a quiet residential area with good connections to the rest of the city.
IRR Higher than 16%
This opportunity allows for two investment approaches:
Long-term traditional rental, generating stable passive income with an estimated net yield of 5.5%.
Rental followed by resale, taking advantage of appreciation from the purchase discount and renovation. In leveraged scenarios with a seven-year sale, an IRR above 16% and a capital gain of over €100,000 is projected, well above the district average.
The total estimated investment starts from €238,926, including purchase price, taxes, fees, commissions, and renovation costs.
A Transforming Environment
The property is located at Plaza de las Tizas, currently undergoing a full renovation by the Madrid City Council, expected to be completed by the end of 2025. This project will completely modernize the area, upgrading pedestrian spaces and green zones, resulting in a significant increase in property value.
The asset is located in Usera, south of Madrid, an area that has established itself as one of the highest growth potential zones in the metropolitan area. Its strategic location — only 15 minutes from the city center — and excellent connectivity via metro (lines 3, 6, and 11), buses, and direct access to the M-30 and A-42 boost demand from both buyers and tenants.
Over the past twelve months, sale prices in Usera have risen by 21.8%, and rental rates by 8.9%, reflecting a dynamic market with high absorption and very limited supply.
Additionally, the district has a diverse and expanding socioeconomic base, including young professionals, families, and workers with stable incomes. The presence of local services, shops, and green areas enhances its appeal as an emerging residential area.
Why Invest in Pablo Ortiz?
Key highlights of this property:
- Growing area: annual increase of 21.8% in sale prices.
- Growing rental market (+8.9%) with limited supply.
- Urban renovation of Plaza de las Tizas, increasing the value of the surroundings.
- Close to central Madrid (15 minutes) with excellent transport connections.
- Estimated yield of 5.5% and IRR above 16% in leveraged scenarios.
An Exclusive Opportunity for Urbanitae Investors
This property represents a direct investment opportunity with immediate availability, combining competitive pricing, appreciation potential, attractive returns, and security.
It is designed for investors seeking to diversify their portfolio with solid residential assets, with professional support throughout the process and the backing of Urbanitae.
Discover this and other opportunities in the Urbanitae Direct Investments section, and access a different way to invest in real estate: direct ownership, comprehensive management, and sustainable returns in high-potential growth areas.