Karlin Picks Up Retail Assets in Spain and Portugal

LONDON—Los Angeles-based Karlin Real Estate has acquired in an all cash transaction, a 247,000-sf portfolio of retail properties located in Spain and Portugal from Redevco, the family office behind Dutch retailer C&A.

The centerpiece of the portfolio is a four-story 68,800 sf retail building located on Rua de Santa Catarina 71-73 in Porto Portugal, according to Karlin Asset Management CEO David Cohen. The building is fully leased to C&A and French retailer FNAC.  

“We are fortunate that our first acquisition in Portugal is the premier retail building along the best retail street in Porto,” said Cohen. “It is an excellent example of the type of asset we are actively looking to acquire throughout Europe,” added Karlin Real Estate Managing Director Matthew Schwab.  “It fits perfectly into our plan to purchase well-located properties leased to strong credit worthy tenants,” he said.

Other assets in Redevco the portfolio include five Spanish retail properties -- two in Spain and three in the Canary Islands, all fully leased to affiliates of Dinosol Supermarkets, one of the largest supermarket groups in Spain.

The Redevco transaction represents Karlin's first acquisition outside the UK since entering the European real estate market in August 2013.  Karlin, a subsidiary of Los Angeles-based investment firm Karlin Asset Management, plans to invest up to $1 billion (€750M) in European commercial real estate assets, through both its debt and equity platforms.

To date, Karlin's European portfolio totals 2.2 million square feet of office industrial and retail assets, with an aggregate value of approximately $274 million.

The firm's U.S. portfolio comprises more than five million square feet of office, multifamily, retail and industrial assets and 300 acres of developable land.

Sakis Giannikos of Axxon Euroconsulting represented Karlin Real Estate in the transaction. JLL Spain represented Redevco.