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Ashurst advises Lighthouse Properties PLC and Resilient REIT Limited on the acquisition of the shopping centre 'Salera' in Castellón

By Joaquín Macías, Ricardo García-Borregón and Tannia Rodríguez

31 January 2024

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    The South African listed real estate companies Lighthouse Properties p.l.c. and Resilient REIT Limited have completed the acquisition of Castellón shopping centre "Salera", from DWS, for a total purchase price of 171 million euros through an asset deal. Opened in 2005, Salera has a GLA of 68,752 sq. m. (including a 13 693 sq. m. Alcampo Hypermarket, which is separately owned) and has 146 stores that house well-known fashion brands, sports brands, cinemas, bowling alley and its wide range of restaurants. With an annual footfall of 9 million visitors and Salera reports an occupancy rate of 99.7%.

    The deal was secured through a private sale and purchase agreement on 21 December 2023 and completed on 31 January 2024, following all relevant transfer. As a result, both investors, through a joint venture, have taken control over the shopping centre.

    This transaction marks a milestone in the Spanish market, which has seen a significant drop in the sale and purchase of shopping centres, since Covid. Justin Muller (CEO of Lighthouse Properties p.l.c.) stated: “This transaction confirms Lighthouse’s commitment to the Spanish retail property market, and the group’s intention to grow its quality portfolio.”

    Global law firm Ashurst advised the buyers Lighthouse Properties p.l.c. and Resilient REIT Limited. The Ashurst Madrid team was led by real estate partner Joaquín Macías and tax partner Ricardo García-Borregón, assisted by corporate transactions counsel Tannia Rodriguez. They were supported by the real estate (Félix Tirado, Carmen García, Pedro Montero and María Conejero; associates and junior associates, respectively); tax (Ignacio González del Yerro, associate); and corporate teams (Cristina López Canosa and Lucía Ramírez, associate and junior associate, respectively).

    Jorge García-Pellicer from Spanish law firm Garrigues advised the seller DWS.

    Commenting further on this transaction Joaquín Macías from Ashurst, said "We are delighted to continue to support our long-standing client Lighthouse, on this strategically important acquisition for the Spanish market. We look forward to supporting our client with its continued growth in Spain".

    For the purchase of Salera, Lighthouse and Resilient have also been advised by CBRE, through a multidisciplinary team that has provided comprehensive and strategic advice regarding the due diligence (commercial, technical, environmental, financial and ESG).

    Paul Santos Robson, Senior Director of Retail in Iberia at CBRE, “the purchase of Salera marks a change of cycle in investment in shopping centers, particularly for those that show strong performance and attract very competitive financing. We are forecasting the first quarter with more than €500 million of investment in this asset class”.

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