METRO PROPERTIES, the real estate company of METRO AG, sold a portfolio of six properties of MAKRO Spain as part of sale-and-lease-back transaction. The portfolio was acquired by LaSalle Investment Management on behalf of French public service pension scheme ERAFP for €73 million.
The transaction was closed in June 2019. An EBITDA income of ~ €25 million in the segment “METRO Wholesale Western Europe” is expected. Following the transaction, MAKRO Spain will remain the sole tenant of all six assets with a 15-year fixed lease term with extension options.
The six stand-alone properties are located in the major tourist areas of Bilbao, Zaragoza, Badalona, Valencia, Alicante and Palma De Mallorca respectively, with each asset the dominant wholesale store in its respective city. Strategically located within semi-urban locations in well-established tourist destinations, the six assets cater predominantly to professional customers from the hotel, restaurant and catering sectors. The portfolio’s catchment area attracts c.40 million overnight tourists per year, benefiting from the strength of Spain’s tourism industry. In addition, c.10.1 million permanent inhabitants live within a 30 to 45-minute drive of the portfolio, representing almost 22% of Spain's total population.