Tristan in first deal for fifth core-plus vehicle

The London-based private equity real estate firm has made a €103 million Madrid business park the first purchase for its core-plus offering, Curzon Capital Partners 5 Long-Life. 

Tristan Capital Partners, the London-based private equity real estate firm, has acquired a Spanish business park for €103 million on behalf of its latest core-plus real estate fund.

The business park, which is located along the A-1 corridor, in Manoteras, north of Madrid, is comprised of four buildings that offer 380,200 square feet of Grade-A office accommodation and 995 parking spaces.

Tristan said the asset was acquired on behalf of its Curzon Capital Partners (CCP) 5 Long-Life fund from affiliate of Dallas-based private equity giant Lone Star.

Nikolay Velev, director of investments at Tristan, said: “The first investment for the CCP 5 fund is a milestone for Tristan in Spain. It allows the core-plus fund to enter the dynamic office market of Madrid, which has a significant supply-demand imbalance following six years of record low completions.”

The Tristan fund is partnering with Madrid-based real estate firm Zaphir Asset Management.

Fernando Ramirez de Haro, partner and managing director at Zaphir Asset Management, said: “We are already active in the market working to secure corporate occupiers for the vacancy in the park and are confident that the A-1 corridor offers a healthy rental growth opportunity as it’s one of the most consolidated non CBD office markets in Madrid.”

Tristan announced in March that it had raised around 80 percent of the capital towards its €800 million target for CCP 5. Tristan said it was targeting 10 percent-plus net returns via the fund, with an annual dividend of 3 to 5 percent from investments in offices, logistics, retail and residential sectors across western Europe.

Advising CCP 5 on the Madrid transaction were Aguirre Newman, JLL and Freshfields Bruckhaus Deringer. While CBRE, Knight Frank and URIA Menendez acted on behalf of Lone Star.