The pandemic produced a negative effect in the corporate real estate market, a factor that has been translated for months in the vacancy of m2 by several companies that left their properties, especially in downtown Buenos Aires, and for the moment they will keep their employees between telework and hybrid strategies that combine the remote and face-to-face, but in other spaces designed from what was marked by Covid-19.
Among the novelties, the IRSA company, through an auction, it will be detached from one of its properties. Its about Maple Building, which is located in Suipacha 664, between Viamonte and Tucumán,
Today, the rent exceeds USD 15,300 (plus VAT and expenses) for an average plant of 1,550 m2. It has a basement, ground floor and 7 floors.
Some years ago it was recycled and equipped with modern comfort to enable those who occupy it to work with all services. Banks, finance companies, professional studios and public administration offices passed through the place.
How it will work
In total there are 11,000 m2 and to be auctioned, “those interested must register, then we send them the specifications and it has no base price. You can buy at least two floors or the entire building in block, “he told Infobae Domingo Speranza, CEO of Newmark Argentina, a company in charge of marketing.
Until December 15 there is time to receive bids, and the format to be used is that of a private bidding contest, an alternative that is not usual in our country, but which is common in Canada, the United States or other parts of Europe, for example.
“Those interested must register, then we send them the specifications and it has no base price. You can buy at least two floors or the entire building in block ”(Speranza)
The company will establish a reference price and then those interested should submit their proposals, which can be paid in pesos (or in dollars at the MEP market value).
Speranza clarified the following: “It is calculated that in block it comes out between USD 8 and 10 million. That is, two floors, they can walk in USD 2.5 or 2.8 million, which is the orientation and market value according to how this iconic property in downtown Buenos Aires is located ”. Those who are interested in accessing after registering, will sign a confidentiality agreement and will receive a document with conditions to bid.
The intention is that it can be summoned to potential buyers to carry out an improvement of the proposal around December 17, to fine-tune the details that define the new owner (if they acquire it en bloc) or the owners around the 20th, before the end of 2021. “Possession will be immediate,” Speranza said.
Those interested will be able to visit the building and observe the state, as indicated by the sector, when checking, this option forces potential buyers to compete transparently.
Speranza pointed out that the auction drew the attention of companies from different sectors, developers that would re-functionalize it as homes. “There are also interested parties for offices, a university and a medical center”.
With the exception of the 7th floor, of 405.71 m2, prepared with furniture for call center (pays rent for USD 4,057) and USD 735 for expenses, the rest of the floors pay more than USD 2,700 monthly expenses.
Among the aspects of the property, it is of a classic style, with wrought iron enclosures and glass. It has security and access control by TV, something that companies prioritize. The offices have a technical floor. With 3 elevators and 74 garages.
Bet on the sale of assets
IRSA, the company that leads Eduardo Elsztain, the main one in the country for its portfolio of corporate and commercial real estate, recently sold several assets, given the consequences of the new normal and with the aim of capitalizing itself with funds to be used in other real estate or businesses.
To the three commercialized floors of the Della Paolera building at 200, in the Catalinas area, which were acquired by a credit institution. A few days ago he made another auction of 50 garages located in the Prourban Tower, the famous “Rulero” located on Avenida del Libertador and 9 de Julio, near Retiro.
This company bet also responds to the drop in sales in shopping centers (of which he also owns Alto Palermo, DOT, among others) and the liberation of rental m2 by companies that abandoned their rental areas due to the pandemic effect.