Deckard Posted July 2, 2009 Share Posted July 2, 2009 (edited) http://www.bloomberg.com/apps/news?pid=206...id=afqHrJyn7y_s July 2 (Bloomberg) -- Grosvenor Group Ltd., the real-estate company of Britain’s third-wealthiest man, said commercial- property prices in Spain need to fall by as much as 40 percent before it will consider investing there again. Grosvenor, owned by the Duke of Westminster’s family trust, became a net seller of Spanish real estate when the market peaked three years ago. Offices, malls and warehouses lost 6.8 percent of their value in 2008, according to Investment Property Databank Ltd., as lending restrictions and rising corporate debt levels damped demand. U.K. prices declined 26 percent. “The market will come back but, depending on area and property type, prices will need to adjust by as much as 40 percent before then,†Rafael Aviles, the Grosvenor director in charge of the company’s Spanish business, said in an interview in Madrid yesterday. Aviles, 53, expects a recovery to begin next year at the earliest. Grosvenor, based in London, still has about 480 million euros ($677 million) invested in Spanish office buildings and malls, according to its Web site. The company began hoarding cash three years ago, to allow it to take advantage of an anticipated collapse in Spanish property values. It has 523 million pounds available for global acquisitions this year. ‘Realistic Prices’ “The Spanish banks that took on real estate in exchange for canceling debt and have been sitting on the assets will recognize they have to sell them at realistic prices,†Aviles said. Banco Santander SA, Spain’s biggest bank, and its Banco Espanol de Credito SA unit have 3.8 billion euros of properties on their books after gaining assets from debt-laden developers. Banco Bilbao Vizcaya Argentaria SA, the Spanish lender that took on 490 million euros of real estate in the first quarter, expects that figure to rise to 1 billion euros by the end of the year. Ahorro Corporacion Financiera SA, the investment group owned by 42 Spanish savings banks, is managing 3 billion euros of properties owned by its parent company. Edited July 2, 2009 by VoteWithYourFeet Quote Link to comment Share on other sites More sharing options...
co2_is-not_man_made Posted July 2, 2009 Share Posted July 2, 2009 I think this fall is quite likely, most of the property market over there is driven by Brits, most of the deposits come from mewing and coupled with the weak pound and forced sellers 40% may be optomistic ! Quote Link to comment Share on other sites More sharing options...
yellerkat Posted July 2, 2009 Share Posted July 2, 2009 I think this fall is quite likely, most of the property market over there is driven by Brits, most of the deposits come from mewing and coupled with the weak pound and forced sellers 40% may be optomistic ! What on earth makes you think that? In Madrid? Barcelona? Valencia? Seville? Quote Link to comment Share on other sites More sharing options...
R K Posted July 2, 2009 Share Posted July 2, 2009 What happened to the word commercial and where did the word another come from? Not like you VWYF. Quote Link to comment Share on other sites More sharing options...
Laura Posted July 2, 2009 Share Posted July 2, 2009 Grosvenor, owned by the Duke of Westminster’s family trust, became a net seller of Spanish real estate when the market peaked three years ago. Buy at the bottom, sell at the top, & 'the family' don't give a sh!t who suffers. How much is their set-aside cheque these days? - assuming such still exists; why would it not for high-level scroungers? Quote Link to comment Share on other sites More sharing options...
Deckard Posted July 2, 2009 Author Share Posted July 2, 2009 (edited) What happened to the word commercial and where did the word another come from?Not like you VWYF. I just copied & pasted the article title as it is on the Bloomberg website, check the link I agree it's misleading, I'll update the thread title accordingly. Edit: title updated Edited July 2, 2009 by VoteWithYourFeet Quote Link to comment Share on other sites More sharing options...
NSB Posted July 2, 2009 Share Posted July 2, 2009 Buy at the bottom, sell at the top, & 'the family' don't give a sh!t who suffers.How much is their set-aside cheque these days? - assuming such still exists; why would it not for high-level scroungers? Then you assume wrongly .... again . http://www.defra.gov.uk/farm/singlepay/evo.../setaside09.htm Quote Link to comment Share on other sites More sharing options...
Trampa501 Posted July 2, 2009 Share Posted July 2, 2009 (edited) Unemployment falls in Spain for second month running! Unemployment in spain falls by 55,000 Most of those are hangers-on of Ronaldo and Kaka though ! Edited July 2, 2009 by Trampa501 Quote Link to comment Share on other sites More sharing options...
Laura Posted July 2, 2009 Share Posted July 2, 2009 Then you assume wrongly .... again .http://www.defra.gov.uk/farm/singlepay/evo.../setaside09.htm Thxs. BTW:- You have a list of the other times? Quote Link to comment Share on other sites More sharing options...
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