We are back with a new debt transaction alongside a manager well known to Urbanitae investors. Project Paseo de los Olivos consists of financing the acquisition of three commercial premises and their transformation into 66 storage units and two apartments in Madrid and Móstoles.
The transaction is promoted by a company linked to Grupanxon. This will be the developer’s 20th project on Urbanitae, a track record that includes transactions such as Madrid Sur, Torres del Mediterráneo, Puerta del Ángel, La Chopera, Palos de la Frontera and Ondarreta, among others.
- 📅 Investment opening: Tuesday, June 23, at 12:00 noon (UTC+2)
- 🎙 Webinar: there will be no specific webinar for this project, as it is a new transaction with a recurring developer on Urbanitae.
Three Developments in Madrid and Móstoles
The project consists of three independent developments:
The first, Torres de Lucero, is located at Paseo de los Olivos 90, in the Puerta del Ángel neighbourhood of Madrid. The premises will be transformed into 33 storage units, 9 of which have already been reserved. The developer has signed an earnest money agreement with the sellers and works may begin once the financing has been signed, as the licence is processed through a responsible declaration.
The second development, Joaquín Turina, is located in the Buenavista neighbourhood, in the Carabanchel district, southwest of Madrid. The premises will also be transformed into 33 storage units, 7 of which have already been reserved. As in Torres de Lucero, works may begin once financing has been obtained, as the licence is processed through a responsible declaration.
The third development is located at calle Salcillo 7, in Móstoles. In this case, the project consists of transforming commercial premises into two apartments. Unlike the other two assets, these premises have already been acquired by the developer and part of the loan will be used to carry out the works.
A Project Focused on Storage Units and Compact Housing
The investment thesis is based on a business line in which Grupanxon has been active for years: the transformation of commercial premises into products with demand in consolidated urban environments, such as storage units, parking spaces and housing.
In this case, investors’ exit will take place through the sale of the resulting storage units and apartments. It will not be necessary to sell all the storage units in order to repay the loan.
The Móstoles project has favourable urban planning feasibility. Meanwhile, the Torres de Lucero and Joaquín Turina projects have had their responsible declarations submitted to the corresponding ECU.
The works are expected to last around 13 to 15 months, within a total loan term of 18 months, with a possible extension of an additional 6 months.
20th Project with Grupanxon
The developer behind this opportunity is a company linked to Grupanxon, a business holding company with more than 20 years of experience across different areas, including real estate development.
The group has its own construction company and, in 2017, launched a business line specialising in the development of parking spaces, storage units and homes, identifying a clear opportunity in the centres of large cities, where there is a shortage of this type of solution.
Urbanitae has collaborated with Grupanxon on 19 previous occasions, and this will be its 20th transaction on the platform. In addition, 14 projects have already been successfully repaid to investors, improving the return on investment in all of them.
Total Return of 16.5% Over 18 Months
The transaction is structured as debt, through a fixed-rate loan, with the following main characteristics:
- Amount: €725,000
- Interest rate: 11% simple annual interest
- Total return: 16.5%
- Term: 18 months
- Possible extension: an additional 6 months
- Interest payment: at maturity
- Early repayment: permitted at any time, with a minimum return equivalent to 18 months of interest
The loan funds will be used to finance the acquisition of two of the commercial premises and the development of the 66 storage units and two apartments included in the project.
Loan Guarantees
The loan includes a guarantee package made up of:
- Promise of a first-ranking mortgage over the property located at Paseo de los Olivos 90, Madrid, where 33 storage units will be developed.
- Promise of a first-ranking mortgage over the property located at calle Joaquín Turina 34, Madrid, where 33 storage units will be developed.
- Promise of a first-ranking mortgage over the property located at calle Salcillo 7, Móstoles, where two apartments will be developed.
- Pledge over the shares of the developer SPV.
Exit Strategy
The loan is expected to be repaid through the sale of the storage units and apartments developed across the three assets.
The developer already has reservations for part of the storage units: 9 units reserved in Torres de Lucero and 7 units reserved in Joaquín Turina. In addition, it will not be necessary to sell all the storage units in order to repay the loan, which provides flexibility to the exit strategy.
There is also the possibility of renting the apartments for a period of time, if convenient within the business plan.
Why Invest in Paseo de los Olivos
These are some of the project’s main strengths:
- Developer known to Urbanitae, with extensive experience and 20 transactions on the platform.
- 14 projects successfully repaid by Grupanxon on Urbanitae.
- Fixed return of 11% simple annual interest.
- Promise of a first-ranking mortgage over the three properties included in the project.
- Responsible declaration submitted for the Torres de Lucero and Joaquín Turina projects, allowing works to begin without waiting for an ordinary licence.
- Reservations already formalised for part of the storage units.
- Product with demand in consolidated urban environments, especially due to the shortage of storage units in dense neighbourhoods of Madrid.
Estimated Timeline
The loan term is 18 months, with a possible 6-month extension.
The main expected milestones are:
- Second quarter of 2026: granting of the loan by Urbanitae, acquisition of the properties and start of the project.
- Fourth quarter of 2027: completion of the works and repayment of the loan.
As with any real estate investment, timelines may vary depending on the actual progress of the works, commercialisation and administrative procedures.
A New Transaction with Grupanxon
Project Paseo de los Olivos offers the opportunity to participate in a debt transaction with a recurring manager on Urbanitae, focused on transforming commercial premises into storage units and apartments in consolidated locations in Madrid and Móstoles.
The combination of the developer’s experience, real guarantees, a product with demand and reservations already formalised reinforces the appeal of this new investment opportunity.
The investment opening will take place on Tuesday, June 23, at 12:00 noon (UTC+2).
Do You Have Questions About the Project?
In this case, there will be no specific webinar, as it is a new transaction with a recurring developer on Urbanitae.
You can write to us at contacto@urbanitae.com or call us on (+34) 911 23 25 22.
