StepStone Real Estate & Greykite invest €1.5b in Vitalia

StepStone Real Estate (SRE) and Greykite are partnering to recapitalize Vitalia, Spain's second-largest senior care provider, in a deal worth €1.5 bn. 

Vitalia

This involves acquiring a majority stake in Vitalia and committing over €500 mln for growth. Vitalia's previous owners and management will retain minority stakes, with Greykite managing the investment.
Vitalia is known for its "homes for living" model, offering resident-centered care, 24-hour medical support, and restraint-free environments. The company operates 75 facilities and plans to expand to approximately 15,000 beds across Spain, aiming to address a significant shortfall in care home capacity due to Spain's aging population.
This deal is the largest for StepStone Real Estate Partners V fund and highlights SRE's strategy of recapitalizing real estate platforms with existing management. It also expands SRE's presence in Spain and its healthcare real estate portfolio. For Greykite, Vitalia is the eighth investment for its new European Real Estate Fund I, aligning with its focus on "Living" sector investments.
The partnership aims to support Vitalia's expansion and continue providing high-quality care for its residents, marking a significant transaction in Spain's care home sector.
Josh Cleveland, co-founding partner and head of EMEA at StepStone Real Estate, said: “Deploying SREP V into opportunities like Vitalia demonstrates the strength of our strategy – recapitalizing and supporting essential real estate businesses when traditional avenues for liquidity are constrained. With strong demographic tailwinds and limited new supply, Spain is a compelling growth market where we are making a broader push across our platform. We are excited to partner with Greykite, Vivaly Investments BV, and Vitalia’s management to drive the company’s next phase of expansion.”
Michael Abel, Founder and CEO of Greykite, commented: “We are pleased to partner with StepStone on our eighth investment strategy in Greykite Real Estate Fund I, which continues our focus on the thematically supported living, industrial and digital sectors. Spain, considered one of the best-performing economies in Europe, is a key market for us, as we continue to optimize our portfolio construction. Vitalia represents a compelling opportunity to invest in a scaled, asset-backed platform with a strong market position, in a sector with very compelling medium and long-term demographic-led growth drivers. This investment will build on our long-standing relationship with StepStone and we are excited to collaborate on this exceptional and rare growth opportunity.”
Chema Cosculluela, CEO of Vitalia, added: “I am excited to continue leading the company, together with my existing management team, and to work closely with our new shareholders. Their support and vision will help us build on our strong foundation, accelerate our growth, and unlock new opportunities for our customers, employees, and partners.”