- RCS to Invest $200 Million on Costa Del Sol in 2014
LOUISVILLE, Colorado, Aug. 20, 2014 /PRNewswire/ -- Real Capital Solutions (RCS), the Louisville, Colo.-based real estate investor and turnaround expert, has expanded into the international market, buying two condominium projects on Spain's Costa Del Sol in the town of Marbella, 35 miles from Gibraltar.
RCS Spain, a new division of RCS, recently acquired Cosmo Beach and Valley Heights at a total acquisition price of €14.95 million including rehabilitation costs. RCS Spain targets bank-owned, distressed residential assets and land along Spain's Costa del Sol that require the same level of intensive care that RCS employs domestically to add value to struggling or nonperforming assets.
Analysts predict that the Spanish resort real estate market has hit bottom. Marcel Arsenault, founder of RCS, has a proven track record in forecasting the market and deploying capital at the right time in real estate cycles. Arsenault has committed $200 million more to be spent on suitable projects similar to the 53-unit Cosmo Beach and 38-unit Valley Heights on the Mediterranean coast, west of Malaga.
"We have a proven model. We have an appetite. We're successful and we're now on the ground in Spain with extensive talent from architects, engineers, sales and marketing teams and solid, service-minded homeowners associations in place," said RCS managing partner Peter Wells. "We're among the 'first in,' with first-hand knowledge of working in a challenging business environment with all facets of regulatory requirements, entitlements, financing and launch of product. Our model is working."
Wells described Spain as very similar to Miami in terms of attraction to international investors.
"With investors from the UK, Scandinavia, central Europe, Kuwait and the Baltics, buyers are seeing potential in Spain much as South Americans did with Miami. Spain is seeing rapid recovery from a down cycle and there's over-growth right now," Wells explained. "The market is just now starting to go vertical."
In addition to the value available in Spain, investors are also looking for more stability than they might find in their home countries; RCS has the experience and ethics that guarantee a seamless buying experience and stability for the future.
Of RCS's current international holdings, Cosmo Beach has sold half of its 53 units; Valley Heights is slated for opening in mid-September with 38 units.
Jens Werner+1-970-845-8525 Jens@recommglobal.com