Spain's largest property company, Metrovacesa, reported net losses widened to EUR 880 mln in 2009 mostly due to hefty writedowns of the value of its assets. A year ago, the company reported a loss of EUR 738 mln.
Spain's largest property company, Metrovacesa, reported net losses widened to EUR 880 mln in 2009 mostly due to hefty writedowns of the value of its assets. A year ago, the company reported a loss of EUR 738 mln.
Metrovacesa saw the value of its assets drop as much as EUR 702 mln over the past year, double the loss reported in 2008 (EUR 336 mln). Revenue fell 50.8% year-on-year to EUR 698.5 mln at end-2009.
The company sold EUR 125 mln worth of property last year, including the Meridiana 238 business park in Barcelona and a development site in Valdebebas near Madrid. Metrovacesa said it is going forward with plans to develop a total of 10 projects in Spain, including four office buildings with 53,000 m2, two shopping centres with a total of 60,000 m2 and two hotels. In France, the company has one office building under development at present.
The company, which is in talks with banks to refinance its credit facilities, had total debt of nearly EUR 6 bn at end-December 2009.
Similarly, troubled property company Martinsa Fadesa said it has closed 2009 with a net loss of EUR 714 mln. The figure compares to a loss of EUR 2.47 bn reported in the same period in 2008. The company, which filed for administrators in the summer of 2008, saw turnover drop by 18% in 2009 to EUR 503 mln.
