Cushman & Wakefield advised on the Joint Venture for intu and TH Real Estate in the purchase agreement of this major regional centre of more than 119,000 m²
The sale of 50% of Madrid Xanadú has been agreed. British group intu, which bought the asset earlier this year from Ivanhoe Cambridge, has sold 50% of the shopping centre to TH Real Estate, on behalf of its European Cities Fund . It is the second largest shopping centre in the Spanish capital, with a total SBA of 152,887 m², divided in 2 floors together with complementary retail warehousing and more than 10,500 parking spaces.
Cushman & Wakefield, global leader in real estate services, proposed and advised TH Real Estate as partner to intu in the creation of a Joint Venture. Initially Xanadú was bought by intu, although the aim was to look for a partner to join the project.
TH Real Estate and intu have agreed on a business plan for the next five years, aiming to improve and reposition the shopping centre. This is the last large prime shopping destination available in Madrid, as all other major centres of a similar size are not expected to be sold – being held in long term property companies. Cushman & Wakefield were involved with Xanadú since its development – exclusively leasing and managing the centre for Mills Corporation, before selling it to Ivanhoe.
Rupert Lea, Partner head of Retail CMG Spain for C&W commented: “Xanadú continues to hold a strong position in Madrid and has always been a retailer’s preferred destination. I believe the combination of creativity and specialism that intu and TH Real Estate offer will take this centre to a new level. This purchase is yet another transaction that we have been involved in that shows the level of investor demand for retail and shopping centres – both in capital cities as well as secondary towns. 2017 promises to be another good year for retail.”
Madrid Xanadú is strategically located in Arroyomolinos, about 20 minutes by car from the Spanish capital and benefits from an excellent road infrastructure. The centre boasts a range of prestigious tenants including fashion brands such as Primark, Zara, Hollister, Benetton, Mango or Forever21, as well as restaurant chains such as Muerde la Pasta, McDonalds, Burger King, Vips, KFC and other well known names such as Decathlon, JD Sports and Bricor. It also has Spain’s only snow dome, a major cinema, a bowling alley and an El Corte Ingles hypermarket and department store.
Some of the future openings that will enhance and further differentiate the leisure offer of the centre will be the first Aquarium in a shopping center in Spain (Sea Aquarium, with an area of more than 5,000m²) and the first Nickelodeon family leisure center for Madrid.