Spanish hotel chain NH has launched a takeover bid for 67% of Sotogrande, manger of nautical and golf club in Costa del Sol.
Hot on the heels of the real estate group Bami’s bid for Inmobiliaria Zabálburu, the latest move has brought the Spanish property sector to boiling point.
According to Bloomberg, with economic growth at almost 4% coupled with historically low interest rates, the Spanish market is attracting the attentions of its larger European neighbours. However, Spanish groups are small and the recent spate of activity is a result of their attempts to become stronger, allowing them to compete more effectively with larger players in the European market.
Vallehermoso, the leading group in the Spanish real estate sector, has a market capitalisation of €1.2bn (Pts200bn), but it is still too small to enter the Bloomberg Europe Real Estate Index.
Expansion, 11 October 1999, page 21
