Inmobiliaria Colonial is considering moving its corporate headquarters from Madrid to Paris, ceo Mariano Miguel said on Thursday in an interview with the Financial Times. Miguel cited tougher borrowing conditions in Spain, particularly for real estate companies, as a reason for considering relocating to France. He also said the group wants to expand further in France. Colonial already earns 60% of its rental income in Paris through its 60% interest in Societe Fonciere Lyonnaise (SFL).
Inmobiliaria Colonial is considering moving its corporate headquarters from Madrid to Paris, ceo Mariano Miguel said on Thursday in an interview with the Financial Times. Miguel cited tougher borrowing conditions in Spain, particularly for real estate companies, as a reason for considering relocating to France. He also said the group wants to expand further in France. Colonial already earns 60% of its rental income in Paris through its 60% interest in Societe Fonciere Lyonnaise (SFL).
Miguel added that with the interest rate at 5.5% and rising, investment in Spain is no longer profitable as rental yields stand at between 4% and 4.5%. Colonial recently completed the purchase of the Spanish shopping centre developer Riofisa for EUR 2 bn.
