Real Estate

Inversiones Inmobiliarias

We develop a real estate investment strategy focused on the acquisition, repositioning, and optimization of residential and mixed-use properties, with a significant emphasis on the tourism sector. Our goal is to generate sustainable income, increase property value, and improve operational performance through active management.

Tourism Real Estate and Alternative Assets: Maximizing Yield

Our real estate strategy is deployed in markets with high structural demand and limited supply, with a particular focus on Spain and the Latin American corridor. Profitability does not depend on a single model, but rather on our ability to arbitrage between different types of operations and asset classes, including residential and commercial properties.

Value Creation Strategies

  • Hybrid Use and Vacation Rentals: We maximize RevPAR in tourism assets located in areas with regulatory barriers, capturing yield premiums significantly higher than those of traditional rentals.
  • Traditional Rental Optimization: During less volatile market cycles or with specific assets, we secure recurring cash flows through long-term leases, prioritizing the resilience of cash yield.
  • Asset Flipping and Repositioning: We identify undervalued assets for purchase, renovation, and subsequent sale for capital appreciation, capturing the value created through physical and operational improvements to the property.
  • Diversification into Commercial Properties and Tertiary Assets: We do not limit the portfolio to residential properties; we select commercial properties in prime locations that offer stable leases and attractive yields.

Geographic and Currency Arbitrage

We operate under a bimodal thesis:

  • Spain: Capturing value in a market with a strong currency and legal certainty, focused on mature tourist destinations and major cities with a shortage of supply.
  • Latin America, Colombia, and the region: We take advantage of macroeconomic arbitrage. We structure investments with operating costs in local currency and income indexed to strong currencies (USD/EUR), protecting real returns against local inflation.

Financial Selection Criteria

  • Target IRR: 12%–18% based on a combination of rental income and capital gains upon sale.
  • Cash-on-Cash Return: 8%–12%, optimized through dynamic pricing or yield management.
  • Conservative LTV: 50%–65% to ensure the project’s viability under any interest rate scenario.
  • DSCR > 1.3x to ensure debt service coverage with operating cash flow.

Intelligent Portfolio Management

Each asset undergoes a constant "Highest and Best Use" analysis. This allows us to pivot between vacation rentals, residential rentals, or sales depending on market conditions, ensuring that capital is always allocated to the option that maximizes MOIC and preserves principal.