Amancio Ortega buys Chicago’s West Loop apartment tower for $213 million

Amancio Ortega’s real estate investment in the United States has been expanded this Tuesday with the acquisition of an apartment tower in Chicago for 232 million dollars (213 million euros). The so-called West Loop tower has 492 residences spread over 45 floors, according to The Real Deal, which specifies that it is the tallest building in Chicago, located west of the Kennedy Expressway. The operation was carried out through Pontegadea —the group that manages the equity investments of the founder of Inditex— which closed the agreement on August 4 with the US fund Ares Management and F&F Realty to acquire the property.

The price paid for the West Loop tower represents, according to the local press, the largest outlay made to acquire a building in the city since before the outbreak of the pandemic in 2020. The United States has attracted most of the investments made by the founder of Inditex. In October 2022, Ortega closed the purchase of a luxury apartment skyscraper in New York for which he paid around 487 million dollars (505 million euros). At the end of last year he acquired the Kiara Tower, a skyscraper with 461 luxury apartments in Seattle, for 324 million dollars (about 305 million euros).

To these assets are added other logistics assets in the US, such as the purchase in July of a Walmart automated warehouse in California for 109 million dollars (98.9 million euros). The purchase of this logistics center came a year after the founder of Zara made his first foray into this sector, with the acquisition of a FedEx platform in Wisconsin in August 2022 for 35 million dollars (32.1 million euros ). From that moment on, its investment in the field of logistics multiplied and in September 2022 it had closed the block purchase of seven distribution centers for a total of 905 million dollars (just over 830 million euros), according to information collected by EL PAÍS.

Pontegadea recorded a record profit of 2,092 million euros in 2022 (30% more than in 2021) and the estimated value of its real estate assets totaled 18,156 million euros. Office buildings, commercial buildings, luxury residences and logistics platforms make up the group’s range of properties, which is spread across nine countries, with the US, the UK and Spain being the locations where it has acquired the most properties.

The founder of Inditex invests part of the dividends he receives from the textile company in the real estate sector through his real estate investment firm. In May of this year, the businessman received 1,108.5 million for the first tranche of the Inditex dividend and the remuneration for the full year will amount to 2,217 million euros.

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