Next Friday, 13 November, we will open the Cornellà Riera project for investment. This new debt investment opportunity involves providing a bridging loan for the initial phase of a residential development comprising 27 homes in Cornellà de Llobregat, Barcelona.
The loan amounts to €480,000, has a term of 12 months, with a possible six-month extension, and offers 12% annual simple interest. Repayment is expected to come from an additional drawdown under the bank financing already approved for the project, once two milestones have been achieved: obtaining the building permit and reaching 40% pre-sales.
- Investment opening: Friday, 13 November.
- Amount: €480,000.
- Term: 12 months + possible six-month extension.
- Interest: 12% per annum, simple interest.
- Total return over the standard term: 12%.
- Minimum return: six months’ interest, equivalent to 6%.
27 homes in Cornellà de Llobregat
Residencial Cornellà Riera involves the development of 27 homes intended as primary residences, together with 27 parking spaces and 27 storage units.
The development will comprise 13 two-bedroom homes, 11 three-bedroom homes and three four-bedroom homes, all with a terrace or private garden. The properties will be distributed between the ground floor and the fifth floor, with parking spaces and storage units on two basement levels.
The project is located in the established centre of Cornellà de Llobregat, within the Barcelona metropolitan area and next to another new-build residential development.
The location offers good transport connections to Barcelona and the surrounding area: it is less than one kilometre from the A-2 motorway access, approximately 8 kilometres from El Prat Airport and 13.6 kilometres from central Barcelona.
How does the bridging loan work?
Unlike a loan intended to finance the entire construction process, Cornellà Riera is structured as temporary financing to cover the development’s initial funding needs.
When the transaction is completed, the land will be acquired using a combination of equity and bank financing. The loan provided by Urbanitae investors, alongside another bridging loan contributed by the developer, will provide the development company with liquidity to cover the necessary expenses during this initial phase.
What makes this transaction distinctive is that the bank financing has already been approved from the outset. The development loan will be signed at the same time as the Urbanitae financing and provides for an initial drawdown to purchase the land, followed by an additional drawdown intended to repay the bridging finance.
This second drawdown is conditional upon two milestones commonly required in development finance: obtaining the building permit and achieving 40% pre-sales.
Urbanitae is therefore not providing financing ahead of the bank with the expectation of being replaced by funding that still needs to be negotiated. The bank financing has already been agreed from the beginning and expressly provides for the funds expected to repay investors’ loans, provided those two requirements are met.
An experienced developer in Cornellà
The developer has a track record of more than 500 homes delivered, and Cornellà Riera will be its eighth project financed through Urbanitae.
It also has recent experience in the municipality itself. Across two developments completed in Cornellà in recent years, it has sold 89 out of a total of 101 homes, representing approximately 88%.
That experience is particularly relevant to this transaction, as the two milestones determining investors’ exit — the building permit and pre-sales — are precisely areas in which the developer has already worked in Cornellà.
The project will also benefit from €2.3 million in equity contributed by the developer and other co-investors.
The developer is also participating in the loan
In addition to its equity contribution, the developer will provide the project with a €220,000 bridging loan.
This loan will have the same terms, ranking and maturity as the €480,000 contributed by Urbanitae investors and will be repaid proportionally alongside their loan.
Combined bridging finance therefore amounts to €700,000, while the equity committed to the transaction totals €2.3 million.
Investment terms
The Urbanitae loan has the following characteristics:
- Amount: up to €480,000.
- Interest: 12% per annum, simple interest.
- Term: 12 months.
- Extension: one additional six-month period.
- Principal and interest repayment: at maturity.
- Minimum return: six months’ interest, equivalent to 6%.
Early repayment may take place once the conditions for the additional drawdown under the bank loan have been met.
What security does the loan have?
In this case, Urbanitae investors do not benefit from a first-ranking mortgage, as the bank financing coexists with the bridging loan from the start of the transaction and takes priority.
Nevertheless, the structure includes several protective mechanisms:
- Bank development loan signed from the outset, with an additional drawdown intended to repay the bridging finance once the building permit has been obtained and 40% pre-sales achieved.
- Subordination of other shareholder loans and debts to the Urbanitae loan, except for the bank financing and the developer’s bridging loan, which ranks equally.
- Full liability of the borrowing company for its obligations, backed by all its present and future assets.
The key feature of the transaction is therefore that the intended source of repayment is identified and contractually agreed when investors enter the project, although access to those funds depends on meeting the two milestones set by the bank.
Why invest in Cornellà Riera?
We believe Cornellà Riera offers an interesting structure for a bridging finance investment: the term is limited, the bank financing intended to enable repayment has already been approved, and the milestones required to activate that drawdown — the building permit and pre-sales — are clearly defined.
Key highlights include:
- 12% annual simple interest.
- Total return of 12% over the standard term.
- Bank financing already approved, with an additional drawdown earmarked for repayment of the bridging loan.
- Exit linked to two specific milestones: building permit and 40% pre-sales.
- The developer contributes a €220,000 loan ranking equally with investors’ loans.
- €2.3 million in equity contributed by the developer and other co-investors.
- Developer with more than 500 homes delivered and direct experience in Cornellà.
- 89 out of 101 homes sold across its two recent developments in the municipality.
- Cornellà Riera’s expected average price is 2.7% below the comparable properties analysed.
Pricing benchmarked against the market
The market study carried out in October 2026 examines seven new-build developments in Cornellà.
The expected average price for Residencial Cornellà Riera is approximately €434,400 per home and €5,092/m², 2.7% below the average of the comparable developments analysed and 3.3% below that of a development located opposite the site.
This positioning may help facilitate the sales needed to achieve the 40% pre-sales required by the bank.
Estimated timetable
The loan’s standard term is 12 months, with a possible six-month extension.
The main expected milestones are:
- December 2026: loan granted, land acquired and development launched.
- Fourth quarter of 2027: expected building permit approval and pre-sales of 40% of the homes.
- December 2027: standard maturity and expected repayment through the additional bank financing drawdown.
- June 2028: final maturity if the six-month extension is used.
Have questions about the project?
Cornellà Riera will open for investment on Friday, 13 November.
You can find out more about the transaction in the Cornellà Riera webinar, held on Wednesday, 11 November.
You can also email us at contacto@urbanitae.com or call us on (+34) 911 23 25 22.
