DWS invests €60M in Ensanche de Vallecas, selling 235 build-to-rent homes to Catella, part of a larger Madrid development initiative.

In a significant transaction within the Spanish real estate market, DWS has divested a build-to-rent (BTR) asset comprising 235 residential units in the Ensanche de Vallecas district of Madrid to the CER III Catella fund for an approximate sum of sixty million euros. This sale marks a pivotal moment in DWS’s strategic commitment to the BTR sector, which the firm has been actively cultivating since 2021, with plans to develop over a thousand BTR homes across the Ensanche de Vallecas and the El Rosón industrial estate in Getafe.

The Nuve Ensanche Vallecas development, characterized by its impressive occupancy rate of 99%, is strategically positioned just fifteen minutes from Madrid’s city center, accessible via the N-III highway, and is well-served by metro and bus stations. This location is not merely a geographical advantage; it is nestled within one of the capital’s burgeoning urban expansion zones, where the demand for rental housing is robust and ever-increasing. The vicinity boasts a plethora of amenities, including health and educational institutions, cultural and sports facilities, as well as the La Gavia shopping complex and the expansive Gavia Park, which spans 36 hectares.

The residential complex features a diverse array of units, ranging from one to three bedrooms, complemented by extensive communal facilities designed to enhance the living experience. Residents can enjoy a swimming pool, verdant green spaces, a children’s play area, a gym, smart locker services, car-sharing options, bike racks, and even a coworking space—truly a modern urban oasis.

In a commendable nod to sustainability, the development adheres to eco-friendly principles and has achieved the Breeam Very Good certification. It incorporates an innovative aerothermal heating and air conditioning system, state-of-the-art home automation technology, photovoltaic solar installations, electric vehicle charging stations, and thoughtfully designed gardens featuring low-water-consumption plants.

DWS’s decision to engage in this transaction was bolstered by the expertise of advisors from JLL, Garrigues, and PwC, while Catella was supported by CMS and Deloitte. This sale not only underscores DWS’s strategic pivot towards the BTR segment but also reflects a broader trend in the real estate market aimed at providing sustainable and high-quality rental housing options for diverse population segments.