<< Back to Main Valencia Press ReleasesValencia Football Club intent on Profiting from Valencia's Booming Property Market
Added: (Sat Dec 09 2006)
In Spain it is quite commonplace to hear the refrain that there is money in
bricks (ladrillos) however it is not so commonplace to hear the same said about
reinforced concrete. That said, one need only look at a Premier Club such as
Real Madrid to see that there is gold if not platinum to be found in the stadia
of clubs situated in city centre locations in particular. Real Madrid with
the help of the Madrid Town Hall saved itself from almost certain bankruptcy
under the Presidency of Florentino Perez by rezoning the club's training ground
in 2002. The subsequent sale of which netted the club an incredible €400 million
thereby rescuing the mighty Madrid from its precarious financial situation.
At present, Madrid's neighbour Athletico de Madrid is attempting to sell its
stadium the "Vicente Calderon" for a mouth watering €350 million much to the
fury of its sizable grouping of diehard fans. As club football increasingly
becomes more of an international business with all the financial constraints,
rigour and transparency that this demands, clubs are increasingly looking to
their property assets as a means of both strengthening their financial position
as well as clearing outstanding debts.
Valencia Football Club in this regard is no exception.With the property boom
in Valencia continuing unabated, the club is moving from its beloved Mestalla to
the city's outskirts. Property prices in the city have rocketed by 230% over
the past 6 years. The average price per square metre in January 2001 was €758
whereas at present it is in the region of €2,500 per sqm in the city. Prices
per sqm in the area where the club presently is (Aragon) are in the region
of €3,700 with new developments in the region of €5,000 per sqm.
The area around Mestalla is one of the city's best areas with a mixture of
offices and residential property. It has its own Metro stop which is a mere
5 minutes (2 stops) away from the city's main shopping street called Colon
St. The America's Cup Marina and the City's City of the Sciences are a mere
5 minute drive away as is the city's beach at Malvarosa.
At present we are sourcing good quality second-hand apartments for clients,
the majority of whom are letting these apartments under the Spanish
Government's Guaranteed Rental Scheme.
Here you have
a link to one of these apartments that we have presently for long term rent:
http://www.kyero.com/property/375515
Good quality second-hand apartments can still be gotten close to the stadium
from €210,000 upwards.
Construction of Valencia's new stadium begins next March with completion expected
by late 2009. The club intends to apply to stage the final of the
2010 Champions League in the new stadium. The present stadium will be replaced
by 7 blocks of apartments, offices and shops with the pitch being preserved
as a park. Construction should begin in late 2010. This
development should give all property in its immediate vicinity a good push
pricewise making the Buy To Rent argument all the more compelling.
