| Madrid accounts for more than 40% of land investments made by AEDAS Homes So far in 2018, the developer has acquired assets worth €40 million in the Madrid region These acquisitions have further boosted the homebuilder's position in Spain's leading market, as more than 35% of the company's GDV is in Madrid November 2018.- AEDAS Homes, a leading developer in the real estate market for new-build homes, continues to make its mark by investing in one of the Spanish regions with the strongest levels of demand: the Community of Madrid. In the first half of 2018, the developer acquired assets worth €40 million in the Madrid region; this land accounts for 40% of its new land investments. In the Community of Madrid, AEDAS Homes has a special focus on northwest Madrid, which has the strongest demand and is where 85% of its investments have been made. El Cañaveral, a sought-after new development district in the east, accounts for the remaining 15%. With these investments, AEDAS Homes has consolidated its leading position in the Community of Madrid-the most attractive in terms of residential demand in Spain-, and particularly in the area to the west, home to four of the five municipalities with the highest per capita income in Spain: Pozuelo de Alarcón, Las Rozas, Majadahonda and Boadilla del Monte. The land purchased in the Madrid region will enable the developer to build approximately 710 homes in the Spanish housing market with the most traction in terms of the total number of transactions and price. The cost per unit for these investments is €56,000, which includes the cost to convert the portfolio from fully-permitted into ready-to-build. "Our investment efforts have always centered on Madrid. With 13% year-on-year growth, this market is the leader in terms of rising home prices. In 2017, it accounted for 15% of total residential demand in Spain, with approximately 81,000 units sold," noted Sergio Gálvez, the developer's Chief Strategy and Investment Officer. "The areas we have focused on have the strongest demand and their growth rates are clearly above those in the rest of the Community," he pointed out. This concentration of investment in land in Madrid over the course of 2018 has made it possible for AEDAS Homes to significantly increase its exposure in Spain's top residential market. Madrid now accounts for more than 35% of the company's GDV, given its focus on consolidating its position the region. Land Bank in Spain In the first half of 2018, AEDAS Homes closed 16 deals worth a total of €96.6 in the national market. These investments were made in three provinces where the company currently operates (Madrid, Seville and Valencia) and in two new ones (Granada and Valladolid). These investments in land on which more than 1,900 homes can be built mean that the developer's total land portfolio now exceeds 1.5 million square meters for the construction of over 14,500 homes. In August, the company took out a €150 million corporate term loan in order to continue expanding its land bank. According to Gálvez, this financing will enable the company to "make the most of the competitive advantage of our land bank to bring forward our land investment schedule and secure top-quality assets currently available on the market". Furthermore, as of September 30, the company had issued letters of intent for land on which to build an additional 1,010 units. Looking ahead, "We will continue investing in our traditional geographic footprint, further improving visibility on our business plan and maintaining the quality of our land bank," stated Gálvez. About AEDAS Homes The developer AEDAS Homes became a listed company in Madrid on October 20, 2017, with a market capitalization of over €1.5 billion. As an industry leader at the national level, the company aims to play an important role in the new cycle of the Spanish real estate sector, which must be marked by professionalism and an adherence to rigorous standards. AEDAS Homes has a fully-permitted residential land bank with more than 1.5 million square meters (the highest quality land bank in Spain, according to experts). This portfolio will allow the developer to build over 14,500 homes in Spain's key markets and their surrounding areas (both in terms of real estate and finance): the Centre (Madrid region), Catalonia, the East & Mallorca, Costa del Sol and Andalucía. For additional information: aedashomes.com/ AEDAS Homes corporate video: https://www.youtube.com/watch?v=y5QNVtpPfNo |
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