Spanish bank Santander has sold control of property worth 10 billion euros ($12 billion) to U.S. investor Blackstone Group, following its rescue of Banco Popular. The biggest property sale in Spain comes amid renewed investor enthusiasm with prices gradually recovering following Spain's property and financial crash.
The property, which includes land, houses, apartments and hotels, had lost two thirds of its value. It was originally worth 30 billion euros. The deal will involve the creation of a new company where Blackstone owns 51 percent and Banco Popular the remainder, buoying Santander's capital.
It follows a rescue of Banco Popular earlier this year by Santander, Spain's biggest lender. Popular's rescue was unveiled in June, echoing a banking crash five years ago that cost Spain 40 billion euros.
