The rental market has shot in recent years and with them the profitability that their owners obtain from them. Keeping this in mind, have you ever wondered how much must pay Inditex, Primark, Amazon or Apple for the rent of some of its offices or stores? Amancio Ortega, as the main homemade of these companies has that response: almost 1 billion per year.
Choose buildings without borrowing. In addition to the founder of Inditex, Amancio Ortega is the creator of one of the greatest real estate empires in Spain: Pontegadea. The basis of its fortune remains its participation of 59.29% in Inditex, which allows them to access Milmillonarios annual dividends that strategically reinvides in premium real estate distributed throughout the world. All this without borrowing with third parties.
However, instead of focusing your business on the sale of these properties to obtain surplus value, your goal is to make constant profitability through rentals. Since its buildings have been specifically selected for their strategic location in the main capitals of the world, the big firms are queuing to rent some of its premises.
Millionaire rentals. Thanks to this strategy, Pontegadea registered in 2024 income linked to real estate income of 977 million euros, according to data to which it has had access Digital economy. This figure represents a 20% increase with respect to the 657 million euros that Ortega’s real estate registered in its 2023 accounts.
This increase means that, for the first time, Pontegadea has exceeded the joint revenues from rents of its main rivals in Spain: Merlin Properties and Colonial. Something that was already expected to have happened for some years.
They always Buy with tenants. As published Expansionin addition to making a strategic selection of its buildings, Pontegadea has as a guideline buy buildings already occupied by solvent tenants. This has been demonstrated in all its operations, such as the Baldonnell Business Park Logistics Center in Dublin from which Amazon operates, the Amazon headquarters in Seattle, or the Venlo distribution center, from which it serves as the operations center of the DSV parcel company, one of the largest in the world.
In this way, the new properties that Pontegadea incorporates in its portfolio generates income from the first minute and ensures something very valuable for a landlord: an tenant who pays promptly.
Inditex also pays for rent: A Pontegadea. It is paradoxical, but some of the dividends that Pontegadea de Inditex receives are invested in premises that are then rented to the different brands of the group to install their stores or stores in them. That Pontegadea is the owner of the main premises of Inditex is a strategic advantage (in addition to a fine irony), since thus the textile can better deal with the variations in the Price of the real estate market and not shoot their operational costs.
According to what is published by the Economic Expansionin 2024, Inditex paid 46 million euros for real estate rental to Pontegadea. That figure represents 18% more than the previous year, when the figure reached 39 million.
In WorldOfSoftware | Amancio Ortega: the billionaire who lives as one more neighbor. Except for private jets and superyates
Image | Gtres, Flickr (José Román)
