Frequently Asked Questions

Alfareal Group is a Madrid-based real estate investment and asset management platform specialised in the living sector. We source, acquire, transform and operate residential assets — including coliving, flexliving, senior living and student housing — across major Iberian urban markets.

Value-add refers to our strategy of acquiring assets below their intrinsic value — typically properties that require repositioning, renovation or change of use — and creating significant upside through active asset management. In the living sector, this often means converting under-utilised buildings into modern, purpose-built residential concepts.

We currently focus on the Iberian Peninsula, with a primary presence in Spain (Madrid, Barcelona, Valencia, Málaga). Our pipeline also includes assets in Portugal and select Southern European cities where we identify structural supply-demand imbalances in the living sector.

Minimum ticket sizes vary depending on the vehicle. Our co-investment opportunities typically start at €50,000, while our fund structures may have higher minimums for institutional and qualified investors. Please contact our investor relations team for details on currently open vehicles.

Our value-add strategy targets a net IRR of 15–20% depending on the asset profile and holding period. Past performance is not indicative of future results. We provide detailed return projections and scenario analyses for each investment opportunity during the due diligence phase.

We employ multiple layers of risk mitigation: conservative leverage ratios (typically below 60% LTV), full legal due diligence on every acquisition, independent valuations, insurance coverage, and active construction and operational monitoring. All investments are structured through regulated SPVs with clear governance frameworks.

Coliving is a modern residential concept where tenants have private rooms or studios complemented by high-quality shared spaces — kitchens, co-working areas, gyms, and community lounges. We invest in coliving because it addresses the critical shortage of affordable, flexible housing in European cities while generating premium yields compared to traditional rental.

Coliving targets residents seeking long-term community-oriented living (6–24 month stays), while flexliving offers fully furnished, self-contained apartments for medium-term stays (1–12 months) catering to digital nomads, corporate relocations and lifestyle migrants. Both concepts deliver higher yields than traditional buy-to-let.

Europe's 75+ population will grow by over 40% in the next decade, yet the supply of modern, purpose-built senior residences is dramatically undersized. This structural gap creates a resilient demand profile that is largely immune to economic cycles, making it one of the most compelling long-term investment themes in European real estate.

Yes. Purpose-built student accommodation (PBSA) is a core vertical for Alfareal Group. International student mobility continues to accelerate across Europe, while university cities face chronic bed shortages. We target assets near major university campuses in cities with strong international enrolment growth.

The process begins with an introductory call with our investor relations team, followed by a suitability assessment. Once approved, you gain access to our current deal pipeline and detailed investment memoranda. We guide you through every step — from commitment to closing and ongoing reporting.

Our value-add projects typically have a 3–5 year investment horizon. This includes an acquisition and planning phase (3–6 months), construction or renovation (12–24 months), stabilisation (6–12 months) and eventual exit through sale or refinancing. Investors receive regular updates throughout each phase.

Absolutely. We organise periodic investor site visits and provide virtual progress tours during construction phases. Transparency is a core value — we believe investors should see and understand exactly where their capital is deployed.

Yes. Our fund management activities are conducted through regulated entities in compliance with applicable European financial regulations. All investment vehicles are structured to meet the requirements of professional and qualified investor classifications under local and EU law.

Environmental, social and governance criteria are integrated into every stage of our investment process — from asset selection to design, construction, operations and reporting. Our projects target best-in-class energy ratings (typically A or B) and we measure impact across carbon reduction, community integration and resident well-being metrics.

Tax treatment depends on your jurisdiction and personal circumstances. Our investment vehicles are structured for tax efficiency, and we provide detailed tax guidance documentation for each opportunity. We strongly recommend consulting your own tax advisor before committing.

Investors receive quarterly reports with financial updates, construction progress, key milestones and updated valuations. Additionally, we issue an annual comprehensive report and hold investor calls to discuss performance, outlook and strategic decisions.

Yes. Every investor receives access to our secure digital platform where you can view real-time dashboards, download reports, access legal documentation and track project milestones. The platform is available 24/7 on desktop and mobile.

All properties in our portfolio are independently valued by licensed appraisers on a semi-annual basis. We use internationally recognised methodologies (RICS-compliant), and valuation reports are available to investors through our reporting portal.