PM guides KKH´s acquisition of the old Altadis factory in Seville

Pinsent Masons has advised Spain´s investment fund KKH on its acquisition of the old Tobacco factory owned by Altadis in Seville

The old Tobacco Factory in the Los Remedios neighbourhood (Antigua Fábrica de Tabacos de Altadis), almost three walled hectares on the banks of the Guadalquivir that deprived the city of 300 meters of the riverbank, will become a large tourist, innovation and public-private enterprise complex surrounded by four hectares of green areas. The sale operation of the complex owned by the multinational Altadis – in disuse and abandoned since it ceased its activity as a tobacco company in 2007 – to the Barcelona-based investment group KKH was closed in Seville with the approval of the City Council and the Provincial Heritage Commission of the Junta de Andalucía (Andalusian Government).

The project will involve an investment of about €200 million and will generate about 500 direct jobs.

“Our intention is that a large part of the complex will be finished by the end of 2024. In the first year, all the administrative procedures will be carried out and, afterwards, the works will last about two and a half or three years. Taking into account that the plot is very large, we will be able to maintain several work points in parallel,” said Josep María Farré, president of KKH.

For the mayor of Seville, Juan Espadas, the operation has been closed after a “long negotiation” during the pandemic in which “a balance has been found between the interests of property, investors and the city.”

The Antigua Fábrica de Tabacos de Altadis has 28.659 sqm which have been qualified by Seville’s land plan (PGOU) as Industria Singular IS (Only for industry) and the rest as Espacio Libre Público (Free Public Space).

Pinsent Masons advised KKH with a Real Estate team led by partner and head of Real Estate José Luis García-Manso (pictured), with the participation of associate Luis Suárez de Lezo and trainee Pedro Esquivel de la Guardia.