Sareb – a Reflection of Reality
So far this year, the good commercial activity results of Sareb (known as the bad bank) and its objective to create a SOCIMI Listed Real Estate Investment Company) before the end of 2017 — in order to promote part of their rental assets — are symptoms that point to a recovery of the Spanish real estate market.
The Asset Management Company (Sareb), which was created with the objective of selling real estate assets from the restructuring of the Spanish financial sector during the bank bailout in 2012, shows results that represent an increase of 92 percent of its sales activity compared to the same period in 2016.
The company sold 5,720 properties — 2,741 more than in the first four months of last year and sales of residential real estate increased by 74 percent.
Sareb, which is made up of 55 per cent of private capital (mainly Spanish banks) and 45 per cent of public capital (FROB), received 200,000 assets worth 50,781 million euros — 20 per cent of which are real estate.
Another sign that reflecting sector trends is Sareb’s intention to create a SOCIMI (which by law must be listed on the stock exchange within two years of its incorporation) to find shareholders interested in renting. At present, many developers and real estate investment vehicles are going public or are in the process.
PRESIDENT & CO-FOUNDER