Árima Real Estate progressed through 2022 with notable momentum in its core business of acquiring and developing high‑quality office properties. The company, a Socimi launched by the founders of another well known platform that later joined Colonial, reported a year marked by a record revenue dip yet a resilient operating performance, culminating in a net profit that reflected both earnings and asset revaluations. During the year, annual rents rose by about one fifth, reaching a 20% increase on prior levels, while the entity maintained its status as a publicly traded company with a net profit around 10.5 million euros after approximately 13 million euros of asset revaluations were recognized. These figures illustrate the mix of higher rental yields and favorable revaluations that contributed to the year’s bottom line. (Source: Árima Real Estate annual results presentation to the market regulator)
The company’s strategic focus remained clear: to curate a portfolio of prime office assets in top locations, supported by active value creation through selective acquisitions and targeted refurbishments. By the close of 2022, Árima Real Estate had assembled a portfolio valued at roughly 380 million euros, a figure that exceeded the end‑2021 total by about 11% and surpassed the amount invested at the outset of the year by around 30%. Management attributed the valuation uplift to improvements made to properties and to leases signed during the period, highlighting the link between physical upgrades, better tenant covenants, and stronger market rents. The publicly traded group also projected substantial value upside, estimating that the portfolio could gain as much as 210% in value once ongoing projects reach completion and stabilization. (Source: Árima Real Estate results presentation)
In 2022, the company completed its first major reinvestment cycle by finalizing renovations at two prominent buildings, Habana and María de Molina, which together added over 16,200 square meters of leasable space. This modernization contributed to a year that finished on a positive note, with occupancy gains and higher annualized rental income compared to fiscal year 2021. The year saw the annualized rent climb to 9.6 million euros, representing an increase of around 80% versus the prior period, and the occupancy trend supported stronger cash flow and valuation prospects. (Source: Árima Real Estate results presentation)
new investments
Under the leadership of Luis López de Herrera‑Oria, the company signaled a clear plan to pursue additional acquisitions in 2023. Management indicated that the team is actively analyzing new investment opportunities and that such activity could involve increased leverage to unlock further value creation. At the outset of 2023, Árima held liquidity of approximately 90 million euros, providing a robust liquidity runway while aiming to maintain conservative indebtedness at about 12.8% of asset value. This balance sheet stance aligns with a strategy focused on defensive risk management combined with high upside potential in carefully selected assets. (Source: Árima Real Estate statements)
In discussing the outlook, the CEO emphasized a strategy built on defensive diversification and strong financial health. The executive described the portfolio as one with formidable downside protection and significant upside potential, noting that assets under review total roughly 1 billion euros. The 2023 outlook was framed as a possible turning point for investments, with the company aiming to translate balance sheet strength into tangible growth for shareholders. (Source: Árima Real Estate statements)
As part of its capital strategy, Árima also initiated a program to repurchase shares, signaling confidence in the company’s value curve. The buyback was valued at 20 million euros, equivalent to around two million shares. Progress on the plan reached a meaningful milestone, with roughly a quarter of the program completed. In parallel, the management team increased its ownership stake, bringing its collective holding to about 7% of the equity. The steps taken reflect an emphasis on reinforcing investor alignment and signaling the durability of the firm’s value creation plan. (Source: Árima Real Estate results presentation)