Peter Wells, RCS Managing Partner, with Taylor Cox, Partner at RCS Spain, in Marbella. J-L
The Costa del Sol continues to attract big investors and real estate companies that consider the region for their expansion plans. It is not, however, a game played exclusively between the euro and the pound; American dollars have started to make their impact too.
Real Capital Solutions (RCS) is one of the leading American private capital investment companies specialising in property and the re-capitalisation of investment portfolios of developments that are ‘in difficulty’.
Based in Colorado, this extremely successful business is now moving in on Marbella as it begins its expansion into Europe.
The plans for the company, now on Malaga soil, are to invest an estimated 200 million euros into property development in the area within the next four years. The firm has already paid out 15 million euros in the purchase of two housing developments that were in the hands of Spanish banks. The new division of the company, RCS Spain, has acquired Cosmo Beach (between San Pedro and Estepona) and Valley Heights (on the outskirts of Benahavís). This area is better known to investors as the ‘Golden Triangle” (Marbella - Estepona - Benahavís).
Taylor Cox, Partner at RCS, reveals how 14.95 million euros will be invested into both projects (consisting of around 100 properties), which includes the maintenance costs and the down payments.
In the case of Cosmo Beach, the house prices are pitched between 186,000 and 380,000 euros. Situated next to the beach, these apartments are designed as second homes for buyers.Some of the apartments have already been sold to Spanish and European citizens.
The properties at Valley Heights are set to be up for sale from mid-September and have been developed with a wealthier market in mind. The high quality of these apartments is reflected in the price that ranges between 269,000 and 464,000 euros.
The investor has drawn interesting parallels between Marbella and Miami. “They are very similar destinations, with regards to climate and tourism. But to go one step further, Miami was the first city to recover from the economic crisis in the USA, and Marbella is also currently under going the same process in Spain and is becoming very attractive to investors,” said Peter Wells, RCS Managing Partner.
“With investors from UK, Scandinavia, central Europe, Kuwait and the Baltic countries, buyers are seeing great potential in Spain, just like the South Americans in Miami,” he adds.
The partners in the company, which was established thirty years ago by Marcel Arsenault, advocate a business philosophy that goes far beyond the schemes that have been put into practice on the Costa del Sol in recent decades.
“We have not gone into this business to make a fast buck. To prove this, the company has future plans to reach a 400 million-euro investment in the next ten years,” announced Taylor Cox.
In the last thirty years RCS has acquired over 1.5 billion dollars in real estate assets in the USA and is considered to be one of the biggest and most active commercial property developers in Colorado.