Aviva Investors expands Spanish BTR portfolio

Aviva Investors has expanded its Spanish build-to-rent (BTR) portfolio by acquiring a residential development site in Paterna, Valencia. 

Los Molinos - Aviva Investors

This project will be managed by Propia, a dedicated real estate operating company (REOC) established in June through a partnership between Aviva Investors and Layetana Living, a leading Spanish residential developer.
Located in the Los Molinos district of Paterna, the development is planned to deliver 120 one and two-bedroom units across 11 stories. Designed with a strong focus on energy efficiency, the building aims for a BREEAM 'Excellent' rating and an 'AA' EPC rating. Residents will benefit from a range of amenities, including an on-site gym, co-working space, a swimming pool, and a children's play area.
This marks Aviva Investors' sixth investment in Spain's residential market under its Spanish BTR platform and its first in the Valencian region, following previous investments in Madrid, Barcelona, and Palma de Mallorca. Since its launch in 2022, the platform has funded the development of over 1,100 apartments, with a gross development value (GDV) exceeding €350 mln.
Propia, which will oversee the ongoing management of the new development, will be responsible for sourcing, developing, and operationally managing rental housing across several key Spanish residential markets.
James Wells, director at Propia, said: “This milestone in Valencia marks a significant step in our shared vision with Aviva Investors to redefine urban living across Spain. Through Propia, we are not only delivering high-quality, energy-efficient homes but also creating vibrant communities with services and amenities that reflect the evolving needs of modern renters. We are proud to bring our development expertise to this exciting new chapter, as we seek further projects in the Valencia region as part of our ongoing acquisition strategy across Spain.”
George Fraser-Harding, head of Pan-European Funds, Real Estate, at Aviva Investors, added: “We are very pleased to expand our BTR programme in Spain through this first investment in Valencia, which also adds geographic diversification to the portfolio. Valencia is a dynamic and vibrant city, with a rental market characterised by strong fundamentals, good levels of income growth and positive net yields. We think that makes it a really compelling place to invest and is a fitting location for our Spanish build-to-rent platform, which we believe can improve the quality of service provided to residents, drive long-term value and, ultimately, help to support better outcomes for our investors.”