Neinor has committed to enter the build-to-rent market over the next two years, with the aim of diversifying its activity and reducing the risk of residential development. Nevertheless, its CEO, Borja García- Egotxeaga, indicated at the presentation of the firm’s results, that Neinor Rental (the name of the group’s new division), “is not a strategic change, but rather a new line that adds value without comprising the business plan or the dividend. We are a property developer, but we move in favour of the market trends and one of those is rental”, said the CEO.
The first phase of this new line of business will bring 611 homes onto the rental market in four locations: Málaga (113), Valencia (214) and another 284 in the Madrilenian towns of San Sebastián de los Reyes and Parla. They will all be ready in 2021 and 2022.
In a second phase, which is currently being designed, another 1,200 homes will be added to the portfolio. The long-term objective, over five years, is to reach 5,000 units.