KEYS. Madrid vs Barcelona

Transcription

1 KEYS Madrid vs Barcelona

2 MADRID 2017 was an exceptional year for tourism in Madrid, with RevPAR climbing a staggering +14.4% to register a new all-time record. The city is becoming an everpopular MICE destination and is fostering its luxury tourism segment, with major international chains opening several new hotels. Barcelona closed 2017 with a positive performance, thanks to a very strong first half of the year, and despite the last few months which saw overnight stays slip 9.1%. Hotel supply in the city centre has started to slow, while new openings are anticipated in the expansion areas on the outskirts of the city.

3 01 DEMAND MADRID 01 DEMAND Once again, Madrid remains the number one tourist destination in Spain in terms of arrivals, with the number of tourists growing +3.4% y-o-y to 9.4 million in Overnight stays in the Spanish capital grew +6.3% to 19.3 million, making the city the second most popular urban destination behind Barcelona in terms of overnight stays. This difference is set to narrow in 2018, with both cities registering a opposite performance so far this year. The average stay grew +2.8% in 2017 (up to 2.1 days), another positive result for the Madrid market. Growing demand in Madrid has been greatly spurred by international tourism, which saw overnight stays climb by +11.1% in 2017 and 30% in the last 3 years. In terms of nationality, the main feeder market is the US, with an international market share of 12.3% and growing +8.2% in Strong performances were also recorded by the Latin American markets (especially Brazil, Mexico and Argentina) and the Chinese market, up +20% and +21% respectively in With this internationalisation of the Spanish tourism market, overseas tourists accounted for 61% of overnight stays in 2017, compared to 53% in As at June 2018, overseas tourism continued to climb, albeit at a more moderate pace (+1.8%), with domestic tourism also ticking up slightly (+1.1%). Another crucial factor behind strong overseas demand in Madrid is the city s comeback in terms of international business tourism. It is now ranked fourth in the world in terms of MICE participants (110,438 participants, almost triple last year s figure) and seventh in terms of the number of events held (153 conferences) according to the ICCA Ranking was a record year for MICE in Madrid. Highlights included medical conferences such as the European Congress of Medical Oncology (ESMO), with nearly 24,000 attendees, and the Annual European Congress of Rheumatology (EULAR) with over 14,000 attendees. Madrid (thousands) CAGR * '08-'17 Var '16-'17 Jun-17 Jun-18 Travellers 7,283 7,927 7,521 8,384 8,895 9,068 9, % 3.4% 4,659 4,757 % annual var. -4.7% -5.1% 11.5% 6.1% 2.0% 3.4% 2.1% Domestic 3,852 4,030 3,833 4,356 4,473 4,457 4, % -1.7% 2,226 2,297 International 3,431 3,897 3,688 4,028 4,422 4,611 4, % 8.3% 2,438 2,460 Overnights 13,926 15,454 14,849 16,520 17,818 18,138 19, % 6.3% 9,513 9,659 % annual var % -3.9% 11.3% 7.9% 1.8% 6.3% 1.5% Domestic 6,568 6,931 6,584 7,479 7,777 7,574 7, % -0.4% 3,816 3,857 International 7,358 8,523 8, ,041 10,564 11, % 11.1% 5,698 5,802 Once again, Barcelona was Spain s leading destination in terms of overnight stays (19.7 million) and second behind Madrid in terms of tourists (7.7 million), equating to an overall average stay of 2.6 nights, 0.5 more than in Madrid. Barcelona s status as a popular overseas tourist destination places its domestic-overseas ratio at 15:85, with demand increasing at a compounded rate of +6.1% since 2008 and not even falling during the years of the financial crisis. However, 2017 was a difficult year for Barcelona, with tourism figures being hit by both the terrorist attacks in August, and particularly by the Catalan socio-political crisis, which converted the streets of Barcelona into the main stage for demonstrations and protests. In spite of this, the city ended 2017 with positive full-year figures (overnight stays +0.6%), with an excellent first half of the year (overnight stays +6.7%) sharply contrasting with the 9.1% decline recorded in Q4. Figures for H indicate a slight improvement on Q4 2017, with overnight stays falling by a more modest -1.1%, although interestingly, the y-o-y decline in the number of domestic tourists was greater (-3.4%) than it was for overseas tourists (-1.1%). Barcelona (thousands) CAGR '08-'17 Var '16-'17 Jun-17 Jun-18 Travellers 5,640 6,632 6,563 6,729 7,090 7,484 7, % 2.5% 3,826 3,897 % annual var. -2.9% -1.0% 2.5% 5.4% 5.6% 2.5% 1.8% Domestic 1,632 1,461 1,316 1,407 1,464 1,568 1, % -1,3% International 4,008 5,171 5,247 5,322 5,627 5,916 6,126 4,8% 3,5% 3,036 3,102 Overnights 11,624 16,220 16,631 17,535 18,537 19,590 19, % 0.7% 9,754 9,609 % annual var. 0.5% 2.5% 5.4% 5.7% 5.7% 0.7% -1.5% Domestic 2,725 2,695 2,477 2,706 2,811 2,981 2,895 0,7% -2.9% 1,483 1,432 International 8,899 13,525 14,153 14,829 15,726 16,609 16,838 7,3% 1.4% 8,271 8,178 Average Stay % -1.7% % annual var. 3.4% 3.6% 2.8% 0.3% 0.1% -1.7% -3.3% % Domestic overnights 23% 17% 15% 15% 15% 15% 15% 15% 15% % Int. Overnights 77% 83% 85% 85% 85% 85% 85% 85% 85% Average Stay % 2.8% % annual var. -1.2% 1.3% -0.2% 1.7% -0.2% -2.8% 0.6% % Domestic overnights 47% 45% 44% 45% 44% 42% 39% 40% 40% % Int. Overnights 53% 55% 56% 55% 56% 58% 61% 60% 60% *CAGR: Compounded Average Growth Rate 4 5

4 MADRID Adolfo Suárez Madrid Barajas Airport remains Spain s number one airport, receiving a record-breaking 53.4 million passengers and registering y-o-y growth of +5.9% in 2017, a figure which rose to +8.2% for H Madrid s airport, which has traditionally played a vital role as a hub linking Europe with Latin America, has recently improved its links with Asia, increasing the number of flights on routes such as Madrid-Tokyo, and starting to operate new routes to some of the major Asian cities, such as Shenzhen (China). These measures are partly intended to boost Madrid s standing as a connecting airport for passengers travelling between Latin America and Asia, thus avoiding the restrictions and long waits at passport control of US airports. In a bid to improve the airport s facilities and increase its capacity, the Spanish Development Ministry has launched a Master Plan for Adolfo Suárez Madrid-Barajas Airport, to be completed over two phases. The first phase to be completed by 2021 will see 530 million invested in refurbishing and extending the airport s oldest terminals (T1, T2 and T3). Refurbishment works on T4 will start in Once the works are complete, the airport s infrastructure capacity will increase to an estimated 80 million passengers. Adolfo Suárez Madrid Barajas Airport Barcelona El Prat Airport remains Spain s second largest airport in terms of passenger traffic, recording 47.3 million in This figure equates to a +7.1% increase in 2017, and with growth of +6.5% in H1 2018, the airport is catching up with Madrid. As with Madrid Airport, the Spanish Development Ministry has drafted a two-phase Master Plan for the Airport. The first phase will see 521 million invested until 2021 to refurbish T1 and lateron increase its infrastructure capacity to 70 million passengers, via the construction of a new satellite terminal. Barcelona El Prat Airport / No. passengers Source: AENA Million Million Source: AENA 6 7

5 02 SUPPLY MADRID 02 SUPPLY Hotel supply in the city which has hardly grown in the last three years ticked up slightly in 2017 (+2.2%) following the completion of some development projects that were started a few years ago, with the city seeing several hotels open, primarily in residential or commercial properties that had been fully refurbished or undergone a conversion to hotel use. This trend looks set to continue, although it could be curbed by the hotel moratorium put in place by Madrid City Council in February 2018, which suspended the granting of any new hotel licences in central Madrid until the Detailed Sectoral Regulation Plan for Board and Lodgings (Plan Especial de Regulación del Uso de Hospedaje) has been published. Madrid is committed to improving the quality of its supply, a trend which became clear in 2017 and during the first few months of 2018 when some of the leading international brands for various segments returned: Hilton made a comeback after 40 years away from the centre of Madrid, opening Doubletree by Hilton Madrid Prado in early 2017 (4* - 61 rooms) next to the Plaza de las Cortes in the cultural heart of the city; another renowned brand that has returned to the city is Hyatt, who after leaving the Hotel Villamagna in 2008, opened the Hyatt Centric Gran Vía at the start of 2018 in the middle of Gran Vía (5*- 159 rooms). Madrid / No. of Beds CAGR '08-'17 Var '16-'17 5 * 9,342 10,532 10,135 9,339 9,150 10,333 10, % 3.2% 4 * 32,959 39,560 41,448 42,689 42,631 42,960 43, % 0.4% 3 * 11,257 12,327 12,111 12,237 12,389 11,968 12, % 1.6% 1 & 2 * 3,655 3,884 3,610 3,414 3,382 3,530 3, % 12.3% Total supply gold 57,214 66,303 67,303 67,679 67,552 68,790 69, % 1.6% Total supply 70,083 80,046 81,198 80,903 80,640 81,387 83, % 2.2% % annual var. 1.2% 1.4% -0.4% -0.3% 0.9% 2.2% International brands across all hotel segments and formats remain attracted to Madrid as a destination: there is an everincreasing supply of affordable accommodation in the city centre and younger areas such as Lavapiés, with some major international hostel chains negotiating their entry into the market, and others such as Generator opening flagship establishments in H For its size and landmark status, we would also highlight the upcoming Riu macro-hotel in Edificio España (4* rooms). In spite of Barcelona City Council s moratorium on granting new hotel licences, supply in Barcelona grew by 2.4% in 2017 with particular growth in the 4* segment, which climbed +3.7% and added 1,378 new beds, and the 1* and 2* segment, which grew +9.6%, with 676 new beds. Some of the most significant arrivals in Barcelona in 2017 and the first few months of 2018 included the OD Barcelona (5* - 98 rooms) and The One Barcelona by H10 (5* - 89 rooms) near Casa Batlló and La Pedrera; the Iberostar Paseo de Gracia (4* Sup rooms) next to Plaza de Cataluña; the hotel Yurbban Passage (4* - 60 rooms) next to the Palau de la Música and hotel Room Mate Gerard (3* - 67 rooms) next to the Arc de Triomf. All of these hotels are located within Zone 1 of the PEAUT (Detailed Sectoral Plan for Tourist Accommodation), which outlines a complete suspension on granting licences. Barcelona / No. of Beds CAGR '08-'17 %Var. '16-'17 5 * 6,152 8,906 8,072 8,514 8,758 8,914 8, % 0.0% 4 * 23,158 32,868 35,008 36,265 36,430 37,371 38, % 3.7% 3 * 11,654 15,106 16,191 16,483 16,699 16,522 16, % -2.2% 1 & 2 * 6,027 5,559 6,068 6,450 6,621 7,039 7, % 9.6% Total supply gold 46,990 62,439 65,339 67,712 68,508 69,846 71, % 2.4% Total supply 50,878 67,606 70,433 73,022 74,240 75,950 77, % 2.4% % annual var. 0.9% 4.2% 3.7% 1.7% 2.3% 2.4% As displayed by recent hotel openings in the areas affected by the licence ban, some hotels have been able to open as they had been granted a licence prior to the start of the moratorium in Given the lack of new openings scheduled over the next few months, the effects of the ban on new supply in the city centre will become clear in H No. of beds by category / 2017 Other 18% 5* 11% However, the new hotel supply will have its greatest impact on the luxury and high-end luxury segment, with some of the most iconic hotels in recent times set to open over the next few months in the capital: the Four Seasons (5*GL rooms) and the W Madrid (5* rooms) in the Canalejas area; the reopening of the Ritz hotel (5*GL rooms) by Mandarin Oriental; the reopening of the Gran Hotel Velazquez, with 142 rooms, by the Palladium group following a full-scale refurbishment to bring the hotel s standards into line with its new luxury brand, Bless; and KKH and Perella s luxury project that will offer around 200 rooms in the former Caja Madrid headquarters, with several brands specialising in 5*GL hotels bidding to win the operator contract. 3* 21% 4* 50% 5* 4* 3* Other No. of beds by category / * 14% Other 21% 5* 13% 4* 52% 5* 4* 3* Other From now on, most new openings are likely to be seen in new development areas such as 22@ and Fira (Hospitalet), where investors have been increasingly active, especially in buying up land to develop new budget or limited service hotels. Over the next few years, a total of 900 rooms are expected to come onto the market in the luxury segment, equating to 8% of the current 5* supply and 50% of the total new rooms (approx. 1,800) due to be added to the market. In our view, the opening of these luxury establishments will both help make Madrid more competitive vis-à-vis other European capital cities and allow it to cater for clients with a higher purchasing power who cannot currently find hotels of this calibre in Madrid. 8 9

6 MADRID Hotel supply in Madrid will increase by 1,800 rooms over the next two years, with 5* and 5*GL accounting for approximately 50% of these. New hotel openings and projects will cease in Barcelona city centre during H Photo: refurbishment works at the future Four Seasons Hotel Madrid

7 03 KEY FIGURES MADRID 03 KEY FIGURES Madrid s flourishing tourism sector, new openings and large-scale refurbishments of existing hotels, have driven up hotel results in the city. Hotels achieved extremely positive operating results in 2017, with RevPAR up +14.4% y-o-y (the largest increase in nine years), spurred by average prices which rose +10.4%, and occupancy which continued to improve, ticking up +2.7 p.p. y-o-y. Events such as World Pride in Madrid, which attracted 2.3 million people, the various events held at IFEMA exhibition centre and the other 600 events spaces, along with swelling tourist demand in the city, all helped to yield 2017 s excellent results. Madrid %Var. '16-'17 CAGR ADR ( ) % -0.6% Room Occupancy 65.4% 63.4% 60.7% 66.8% 71.8% 72.9% 75.6% 3.7% 1.6% RevPAR ( ) % 1.0% % YoY RevPAR -8.2% -9.1% 10.0% 12.7% 6.1% 14.4% ADR %Var. '16-'17 CAGR '08-'17 5 star % -0.3% 4 star % -1.0% 3 star % -1.0% Average % -0.6% Room Occupancy %Var. '16-'17 CAGR '08-'17 5 star 59.9% 60.7% 58.7% 66.2% 68.5% 66.4% 69.7% 5.0% 1.7% 4 star 67.8% 65.5% 62.7% 67.8% 72.4% 74.0% 76.1% 2.8% 1.3% 3 star 72.2% 72.2% 67.7% 72.4% 74.3% 75.1% 78.6% 4.7% 0.9% Average 65.4% 63.4% 60.7% 66.8% 71.8% 72.9% 75.6% 3.7% 1.6% RevPAR %Var. '16-'17 CAGR '08-'17 5 star % 1.4% 4 star % 0.3% 3 star % -0.1% Average % 1.0% The strong market performance in 2017, helped Madrid exceed pre-crisis figures for the first time, with RevPAR coming in at 72.4 (compared to 66.1 in 2008). However, the components making up this RevPAR paint a very different picture to in 2008, with occupancy 10.2 p.p. higher, and ADR 5.2% down on pre-crisis levels at 95.8 showing that there is still upside potential for rates to rise further. The city continues to lag Barcelona, especially in terms of average hotel prices, which hit in Barcelona in 2017 (+ 32.4). Jan - Jun 2017 Jan - Jun 2018 Comparative Madrid ADR Occupancy RevPAR ADR Occupancy RevPAR ADR Occupancy RevPAR 5 star % % % -0.9 p.p. -2.9% 4 star % % % 1.4 p.p. 2.7% 3 star % % % -1.6 p.p. 4.7% Average % % % 1.8 p.p. 2.4% Hotel result indicators continued to rise during H1 2018, although at a more moderate pace. Improved occupancy drove the cumulative RevPAR up +2.4% in the year to June. Barcelona has enjoyed sustained RevPAR growth in recent years, rising +2.7% each year since 2008, recording particularly strong growth in the last few years. Despite difficult times for tourism and thanks to a spectacular first half of the year in terms of hotel results, Barcelona recorded a RevPAR of at the end of 2017, up +5.8% y-o-y and higher than in Madrid ( 72.4 in 2017). The main driver of RevPAR growth in 2017 was average prices, which grew by +6.1%, while occupancy remained stable at around 79%. Barcelona %Var.'16-'17 CAGR '08-'17 ADR ( ) % 1.5% Room Occupancy 71.8% 72.1% 73.1% 73.6% 77.5% 79.4% 79.2% -0.3% 1.1% RevPAR ( ) % 2.7% % YoY RevPAR 2.0% 2.0% 1.0% 13.0% 5.2% 5.8% ADR %Var.'16-'17 CAGR '08-'17 5 star % 2.4% 4 star % 1.3% 3 star % 0.3% Average % 1.5% Room Occupancy %Var.'16-'17 CAGR '08-'17 5 star 61.3% 69.2% 73.5% 71.8% 73.3% 72.0% 71.0% -1.4% 1.6% 4 star 73.6% 75.0% 75.1% 75.7% 77.9% 79.8% 78.8% -1.3% 0.8% 3 star 76.0% 77.2% 77.1% 77.0% 82.1% 83.2% 83.8% 0.7% 1.1% Average 71.8% 72.1% 73.1% 73.6% 77.5% 79.4% 79.2% -0.3% 1.1% RevPAR %Var.'16-'17 CAGR '08-'17 5 star % 4.1% 4 star % 2.1% 3 star % 1.3% Average % 2.7% In contrast with the growth recorded in 2017, the first few months of 2018 suffered the effects of a more negative perception of Barcelona as a destination for tourism and business. Cumulative figures to June 2018 indicate a -6.4% drop in RevPAR, resulting from the decline in both average prices and occupancy. This particularly affected the 5* segment, which fell -11.3% in terms of RevPAR and saw occupancy plummet (-11.2%), owing to the socio-political instability in Catalonia. The 4* segment also saw occupancy and rates decrease, with RevPAR falling -7.7% y-o-y. Jan - Jun 2017 Jan - Jun 2018 Comparative Barcelona ADR Occupancy RevPAR ADR Occupancy RevPAR ADR Occupancy RevPAR 5 star % % % -8.3 p.p % 4 star % % % -2.6 p.p. -7.7% 3 star % % % -1.0 p.p. -5.5% Average % % % -3.4 p.p. -6.4% Conference tourism, which enjoyed a record-breaking 2017, is also likely to feel the effects of Barcelona s declining reputation, with the largest impacts on 4* and 5* hotels, but not until 2019 given that most events for 2018 were booked prior to the Catalan political crisis

8 04 TRANSACTIONS MADRID 04 TRANSACTIONS Spain recorded the highest ever hotel investment volume at YE At 3,907 million, investment was up +78.9% y-o-y ( 2,184 million), outstripping the previous all-time record of 2,614 million (registered in 2015) by almost +50%. In 2017, Madrid registered a total hotel investment of 637 million, topping Barcelona s figure by 50%, chiefly driven by increased investment in properties for conversion to hotel use. A total of 349 million was invested in 13 operating hotels (1,881 rooms), up +22% on last year s figure. The main deals involving existing hotels during 2017 were the sale of the Hotel Gran Velázquez (4* rooms) for 65M ( 458,000/room) to Didra and Aina Hospitality, the acquisition of Hotel Silken Puerta América (5* rooms) by Bank of America for an undisclosed fee and the acquisition of Innside Madrid Génova (4* - 65 rooms) for 29.2M ( 449k/room) by the family that owns Hotel Sardinero in Santander was a particularly positive year for investment in properties for conversion to hotel use, with the acquisitions of Edificio España by the chain Riu, the acquisition of 50% of the Four Seasons Canalejas project by investor Mark Scheinberg and the acquisition of a property near the Descalzas Reales Monastery to be converted into a hostel. These investments totalled 288 million (excluding the additional investment required for refurbishment). Investment volumes remained high in H1 2018, although a large part of the deals came in the form of corporate transactions, with far fewer individual property or portfolio acquisitions being seen. We would highlight Minor s acquisition of a significant stake in NH; the purchase of 55% of Accor Invest by a group of institutional investors led by Singapore s GIC and Saudi Arabia s PIF, a deal which included 11 hotels in Spain, three of which were in Madrid; and Blackstone s acquisition of the Socimi Hispania. In total, 13 hotels were sold in Madrid, with ten of these forming part of corporate deals, and three being sold as individual properties (Cats Hostel, Mad Hostel and Rafaelhotels Madrid Norte). Madrid * # Transactions # Rooms ** ,165 3,144 1,850 1,881 Total investment ( M) Average price per room (k ) 213, , , , , ,433 Source: Colliers *Figures based in operating hotels ** Weighted by percentaje acquired In 2017, Barcelona booked a total investment of 422 million, 406 million of which related to operating hotels, up 89% y-o-y and exceeding the figure recorded in Madrid for this type of property purchase. The main single asset transactions completed in Barcelona in 2017 were the acquisition of the Hotel Hilton Diagonal Mar (4* rooms) by insurance firm Axa for 145M ( 335,000/room), the acquisition of the Silken Diagonal Barcelona (4* rooms) by Benson Elliot, Walton St and Highgate and the sale of the Tryp Condal Mar (4* rooms). In contrast to Madrid, due to the moratorium preventing any conversion to hotel use, Barcelona only recorded two land purchases for a total of 11 million near L Hospitalet and Viladecans, both located outside the city of Barcelona and therefore beyond the boundary of the moratorium. It is worth noting that all hotel investment deals in Barcelona in 2017 took place during the first nine months of the year, with no hotel being bought or sold after 1 October (the date on which the independence referendum was held). A total of circa 71 million was invested in Barcelona during H1 2018, with one single property, the Hotel Do Plaça Reial (5* - 18 rooms), accounting for 6.3 million of this figure. The remainder, as in the case of Madrid, related to hotels purchased as part of large corporate deals such as those of NH Hoteles and Hispania. Barcelona * # Transactions # Rooms ** 1, ,589 1,028 2,521 Total investment ( M) Average price per room (k ) 182, , , , , , ,127 Source: Colliers *Figures based in operating hotels ** Weighted by percentaje acquired 14 15

9 05 OUR OUTLOOK MADRID 05 OUR OUTLOOK In recent years, Madrid has entered into a virtuous circle, in which it is boosting its standing as a leisure destination and diversifying demand, with the numbers of overseas visitors clearly rising. Improved air transport links and the planned investment for modernising and extending facilities at the airport, will all help attract greater overseas demand in the coming years. Hotel supply has also improved significantly, allowing Madrid to lay solid foundations for future growth. Barcelona s recent decline in popularity presents an opportunity for Madrid to boost its standing as a leisure and MICE tourist destination, opening up the possibility of a potential shift in demand towards the capital over the next few years. We expect Madrid to consolidate the positive performance of recent years, an upward trend which is largely underpinned by swelling overseas tourism figures, particularly long-haul tourists: Asians (primarily Chinese), Americans and Latin Americans. There is growing confidence in Madrid s tourism sector, and the decision by leading international brands especially luxury brands to enter the market pays testament to this, with several projects that will add a total of circa 1,800 rooms to the market expected to open over the next 2-3 years. Political instability in Catalonia does not look set to end any time soon, and this is clearly having a negative impact on the city s status as a tourist and investment destination. However, despite the impact of this instability on the tourism market, Barcelona is undoubtedly an incredibly appealing city that has a lot to offer tourists; factors that work in its favour in terms of mitigating the effects of its reputational crisis. Barcelona is expected to see a decline in both demand and hotel results at YE, although the downward trend has eased slightly throughout 2018 and will not be as severe as those registered in Q In terms of supply, the city centre will cease to see any openings as soon as the last projects in 2018 are completed, while the expansion areas on the outskirts of the city will become investment targets for developing new budget and limited service establishments. Although investment is expected to dip slightly as investors adopt a more wait-and-see approach, the city will continue to be one of the world s leading urban tourist destinations and will remain firmly on the radars of investors and hotel groups. The improving quality of hotel supply and internationalisation of tourist demand are expected to push rates up at an even faster pace, especially in the highest categories, which is where Madrid needs to make headway in order to compete with Barcelona and the other major European capitals. In terms of investment, Madrid remains the place to be. However, investors have been struggling to find investment opportunities, because property owners aware of the city s booming tourism sector have been holding onto their properties, wanting to ensure that they take advantage of the current favourable situation. Madrid is expected to remain ahead of Barcelona in this regard, although investment volume is set to fall in terms of conversions to hotel use, due to the moratorium that came into effect in the city centre in February

10 CONTACT Miguel Vázquez Managing Director Hotels Laura Hernando Managing Director Hotels Gonzalo Gutiérrez Director Hotels Patricia Lapresa Senior Analyst Hotels Content prepared by Colliers International Spain SL (hereinafter Colliers International) is copyright protected, pursuant to the contents of Royal Legislative Decree 1 of 12 April 1996, which approved the consolidated text of the Spanish Intellectual Property Act and which regularised, clarified and harmonised the current legal provisions governing this issue. Pursuant to the contents of Articles 17 et seq. of the aforementioned Act, users are prohibited from reproducing, distributing, publicly communicating or transforming any of the digital content prepared by Colliers International unless they have received prior written authorisation from Colliers International, which is the exclusive holder of all rights to exploit the said digital content.