What views do you have on the Spanish property market? And in particular, what do you think about Blackstone’s growing presence in Spain?
As Arcano Partners has been bullish on Spanish Real Estate since 2013, we have been investing in Spain’s residential sector, mainly in Madrid and Barcelona but also in second tier locations including Ibiza and Mallorca.
Our views continue to be positive despite acknowledging the significant price rises in the last years. However, Madrid and Barcelona are among the cheapest cities in the world occupying the 134th and 58th position, respectively, in the ranking. In addition, overpriced houses become an issue of concern only if the banking system is fragile and household debt is high, which is not the case in Spain, where the situation is the opposite.
Regarding Blackstone´s growing presence in Spain, which in our views had a great timing entering the market in 2013, we guess it is based on the confidence the company has in the Spanish macroeconomic environment and in the country´s impressive economic recovery as well as on the specific opportunities Blackstone has found at very attractive prices on an absolute and relative basis.
Name: Ion Zulueta
Title: Head of Manager Selection
Company: Arcano Partners
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