#Budapest #Hungary #Indotek Group #NPL Properties #Spain Acquisition

Indotek Group Acquires Major Spanish NPL Property Portfolio

On September 18, 2025, Indotek Group, the Hungary-based European real estate investment and asset management firm, announced the acquisition of a substantial portfolio consisting of 524 residential and commercial properties across Spain. The acquisition represents a strategic move to enhance Indotek's presence in the Iberian market, as it extends beyond hotels and shopping centers to include diverse real estate assets.

This transaction, valued at approximately €43.5 million, encompasses over 90% residential properties, precisely 307 apartments and 89 houses, complemented by ancillary assets such as parking spaces and select commercial properties. The geographic distribution of the acquired assets includes significant portions located in Catalonia (40%), Community of Madrid (18%), Community of Valencia (15%), and Andalusia (11%). According to Florian Nowotny, CFO of Indotek Group, this acquisition is an essential step towards their strategic expansion in Western Europe, effectively building upon the existing portfolio in Spain.

The acquisition leveraged Indotek's longstanding expertise in managing non-performing loans (NPLs) and distressed assets, thereby reinforcing its commitment to value enhancement through rejuvenating underperforming properties. Daniel Jellinek, the CEO, emphasized the importance of this acquisition as a reflection of Indotek’s ability to execute complex NPL transactions with international partners, aligning with their approach to optimize the value of underperforming portfolios.

In partnership with Redwood, a local entity now acquired by BCM Global, Indotek engaged in a rigorous evaluation and pricing process for the portfolio. Furthermore, the group is actively exploring additional opportunities in Spain for NPLs and troubled assets. This expansion into the Spanish market aligns with their ongoing plans for new transactions in Portugal, Italy, and select Central European markets, aiming to capitalize on their established competencies in cross-border asset management.

Anna Vavrinecz, Director of NPL Investments at Indotek Group, remarked on the significance of this transaction as a pivotal moment in their international NPL strategy, referencing the extensive preparation period of 18 months leading to this high-stakes acquisition.

The Indotek Group stands as a prominent player in the Spanish real estate market, boasting a portfolio exceeding €230 million that spans hospitality, retail, and now residential and mixed-use properties. Some of their notable holdings include retail locations such as the Espacio León shopping center in Castilla y León—acquired from Blackstone in 2024—as well as properties like Vilamarina in Barcelona and the Pueblo Bonaire Factory Outlet in Valencia. Additionally, their hotel portfolio encompasses seven beachfront properties, totaling over 1,680 rooms.

The recent acquisition amplifies Indotek’s European investment strategy, which is focused on revitalizing underperforming assets, diversifying cash flows, and pursuing value creation opportunities across 12 countries where they operate. The transaction received advisory support from DLA Piper for legal counsel and KPMG Madrid for financial advice, with Alantra acting as the sell-side advisor along with Dentons London and Cuatrecasas Madrid providing legal support.

Overall, Indotek Group's acquisition marks a significant advancement in their broader strategic objectives while enhancing their foothold in Spain's competitive real estate sector. As they continue to diversify and innovate their investment strategies, the group sets a promising outlook for their future endeavors in European real estate markets.