Budapest-based real estate investor and asset manager Indotek Group announced it has acquired a Spanish portfolio of 524 residential and commercial properties worth €43.5 million. The deal was structured as a transaction involving both non-performing loans (NPL) and real estate assets.
The acquisition marks a milestone in Indotek's Iberian expansion, building on the company's more than ten years of experience in managing non-performing loans and underperforming assets. The package consists of more than 90% residential properties - 307 apartments and 89 houses - along with parking spaces, service buildings and commercial properties.
"This acquisition is an important step in our Western European expansion and complements our existing Spanish portfolio well," said Florian Nowotny, CFO of Indotek Group. "Our experienced team has once again executed a complex transaction with international partners, creating an opportunity to apply our proven value creation strategy to underperforming portfolios."
The properties are located in Catalonia (40%), the Community of Madrid (18%), the Valencian Community (15%), and Andalusia (11%). 41% of the acquired portfolio is considered highly liquid, indicating significant repositioning and value enhancement potential. Indotek is working with local partner Redwood, recently acquired by BCM Global, on portfolio evaluation, pricing and clearing.
"This deal is a milestone in implementing our international NPL strategy. After an 18-month preparation process, we entered the Spanish NPL market with a transaction of significant size and complexity," said Anna Vavrinecz, Director of NPL Investments at Indotek Group. The company has been active in the Spanish real estate market for years with investments worth more than €230 million spanning hospitality, retail, and now residential and mixed-use properties.
Indotek Group was advised by DLA Piper as the legal advisor and KPMG Madrid as the financial advisor for the transaction. Alantra, Dentons London and Cuatrecasas Madrid acted as legal advisors on the seller's side.
