Morais Leitão advises Arab Bank on palaces acquisition

Morais Leitão advised Arab Bank (Switzerland) on the group’s first investment in Portugal, with the acquisition from Cerberus Capital Management of the companies owning two 18th-century palaces — Palácio Palmela and Palácio Sobral. The assets, which currently house Fidelidade’s headquarters, will be redeveloped into a luxury project spanning approximately 24,000 sq m, including a five-star hotel and serviced apartments.

The transaction also involved Savills Investment Management as asset manager and Quest Capital, which was responsible for managing the project’s development. Financing was provided by Cheyne Capital, a European alternative investment manager with focus on the real estate sector.

The multidisciplinary Morais Leitão team involved in the transaction was led by partner João Torroaes Valente (pictured) and included managing associate João Fitas, senior associate Maria Carolina Gonçalves and trainee lawyer Gonçalo R. Rodrigues, from the corporate real estate and tourism team; partner Elmano Sousa Costa, associate Carolina Nagy Correia and associate João Diogo Barbosa from the banking and finance team; managing associate Raquel Maurício and principal associate Inês Dias Cardoso from the tax team; partner Rui Ribeiro Lima and counsel Miguel Arnaud from the urban planning team.