ASG fund sells future DECATHLON store on prime central Madrid shopping street to AEW’s Europe city retail fund for €50 million
10th August 2017
Jersey (UK), August 10th, 2017 – A fund established by ActivumSG Capital Management (ASG), the specialist in turnaround investments in European real estate, has sold a store leased by sporting goods retailer Decathlon on one of central Madrid’s top shopping streets to AEW’s Europe City Retail Fund for €50 million.
ASG’s Fund III acquired the Mercado de Fuencarral, a 2,400 sm retail center in a prominent location on the southern stretch of Calle de Fuencarral in 2014. The fund and operating partner Talus Real Estate converted the unit so that a single occupier could use it as a flagship store, securing Decathlon as a tenant in July.
Saul Goldstein, Founder and Managing Partner of ASG, said: “Retail units offering more than 1,000 sm of space are a rarity on Fuencarral, so we were able to take an under-utilized property and reposition it. Along the way, we secured Decathlon to lease the revamped property at a rent that surpassed our projections and are now exiting this prime, stabilized institutional-quality asset to realize the gains for our investors.”
Calle de Fuencarral is a pedestrianized street off Madrid’s Gran Via and offers mainly mass-market fashion and accessories in an area that attracts one of the highest levels of footfall in the city. The are several subway stations within a 5-minute walk of the property.
ASG Iberia Advisors, CBRE and Uría Menendez advised the fund on the disposal.