How much are the Three Xemeneies from Paral·lel? The question has a crumb and has been the cause of dispute in recent months between the City Council of Barcelona and the majority owner of the iconic complex of the Poble sec, Conren Tramway. After negotiating for a decade on the redevelopment of disused buildings, the government of the mayoress Ada Colau and the promoter who plans to install Offices In one of the properties they have reached an agreement to distribute the profit generated by the operation. The key has been to set the price of the land at 1,750 euros per square meter. The agreed amount to unravel a major reform exceeds the average cost of land in 22@an area that concentrated more than 60% of the investment in offices in the city in 2022. The average valuation in the technological district stands at 1,270 euros.
It deserves a detailed explanation where the importance of the estimation lies. It is not about whether it is expensive or cheap for a hypothetical sale, since Conren Tramway does not think of getting rid of the asset, but renting it out as offices. What is relevant about the cost is that it determines the counterparties that the owner has to assume so that the consistory creates equipment and affordable housing, as well as rehabilitate the Tres Xemeneies park. For simplicity: the higher the price of land, the higher the compensation that the consistory demands from Conren Tramway in exchange for allowing him to market the tower buildingthe tallest.
Pay before collecting
When the space is reclassified to open up to offices of all types of companies, the plot is revalued from 13 million to 35.5 million of euros. Half -11.2 million- are given in compensation to the city. The payment is not conditioned on the success of the real estate operation: long before there are companies that move to Paral·lel, Conren Tramway will have to pay the counterparts in different phases throughout 2024, when it is intuited that the procedures will have been completed and the works could begin to adapt the old factory site. Logically, until the works are finished, tenants will not be able to settle in the new spaces and charge them rent.
A chasm in valuations
Until recently, he measured a chasm between the appraisals on one side of the negotiating table and the other. While the municipal executive calculated that it should amount to some 2,000 euros per square meter -some sources say that it went up to 2,600 euros-, Conren Tramway urged that, at most, the price be equal to the €1,270 average of 22@ or lower. The property considered it illogical that it would be more expensive to establish itself in Paral·lel -which has not been considered a pole of attraction for offices- than in the most appetizing area for companies that settle in Barcelona.
In the end, both sides have given in to reach a compromise. midpoint to unlock the requalification, which will begin to be processed this month. The agreed amount is “very superior & rdquor; to that of the technological district, define municipal sources. They add that the amount is “coherent & rdquor; with a “first class location & rdquor; -“a short distance from the port and Plaza Espanya& rdquor;, they highlight- and it is “in the line of operations in areas of a similar level& rdquor;.
The same sources argue that the commitment is based on a premise that the city council has maintained since the beginning of the talks so that the contribution by the promoter will increase from 10% that the law sets to 50%. “That is to say, five times more than the legal requirement& rdquor ;, they emphasize local government. He defends that the “distribution in equal parts of the surplus value of the land & rdquor; grants “financial capacity & rdquor; to the consistory to provide Poble Sec “with new facilities and better green areas, as well as a reasonable profit to the property”.
An entire office building
Months ago, Conren Tramway judged the compensation that the council was demanding excessive. Despite the fact that its top managers staged the entente with Colau last week, the firm has not hidden that they remain “very significant differences & rdquor; with the town hall. In any case, the company has highlighted the consensus reached, which allows it to build offices for companies in a building of about 20,300 square meters.
Looking ahead to next year, the property must give up an annex building of 2,500 square meters so that the city council can move the Barcelona Emergency Operations Coordination Center (Cecor) and assume 2.7 million euros to rehabilitate the Parc de las Tres Xemeneies. In turn, it will pay 2.2 million corresponding to 10% of the urban use and a additional payment of four millionintended to enable centers to house public services and affordable flats in the neighborhood.
The pull of the zone
In any case, can a price above the one that is customary in 22@ be a drag to attract clients for the Tres Xemeneies offices? Sources from the real estate sector confirm that, certainly, the price is higher than usual in the district most visited by companies that settle in Barcelona. However, they emphasize that in 22@ there have been premium operations that are around 2,000 euros per square meter and even above that amount. In any case, they conclude that the price should not be an impediment to attract companies towards Poble Sec.
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“The 22@ has more land and more possibilities of having more offer, so it is normal for the price to be higher in Paral·lel, because the offer is lower, but it is not exorbitant”, calibrates the director of the department of offices of the real estate consultancy Forcadell, Manel de Bes. He adds that “although it is not where the focus is most placed, Paral·lel can have a good capacity for attraction, because it is close to the center, the port and the World Trade Center”.
The director of studies at Pisos.com, Ferran Font, believes that “it would not be fair & rdquor; evaluate the urban reform by the appraisal of the square meter. “It is difficult to quantify, but there is value in giving new uses to these facilities, which generate Job positions and impact on the immediate environment, because they are revitalizing economic activity. Price is a primary factor, but the city wins from the operation as a whole,” he appreciates.
More expensive rents than in the tech district?
remains to be known at what price will the future offices of the Tres Xemeneies be leased. Ferran Font (Pisos.com) believes that the agreement to value the land above cost in 22@ may mean that rents are also higher. In any case, he warns that the amounts in the technological district are very different. “In 22 @ there are cases in which the price per square meter of sale has been above 3,000 euros & rdquor ;, he affirms.
Manel De Bes (Forcadell) points out that the rent will be marked by “the market and the potential ‘target’ of the product& rdquor;. “It will be in line with 22@ or, in any case, a little above it, but we must see the evolution of office rentals until the project comes into operation,” says De Bes. He intuits that the location next to Paral·lel It may be of interest to companies with foreign staff, especially technology companies with a “casual” profile.. “Although they seek to go to 22@, there is a tendency to want to be in the center, because the worker values it. Poble Sec is an alternative area, with a lot of nightlife, services, restaurants, leisure and nightclubs, and the Tres Xemeneies have a very powerful historical context & rdquor ;, he concludes.