Catalonia is facing a housing crisis, with one eviction occurring every 55 minutes in the region. Despite the Catalan law of urgent measures to address the housing emergency and energy poverty (24/2015) and its subsequent extensions, evictions continue to take place. Recently, a family with two minors in Badalona was evicted from a property owned by BBVA and spent the night at the Emergency Social Urgency and Emergencies Center (CUESB). This eviction was just one of at least nine scheduled for the second week of the year in Catalonia, as reported by housing advocacy groups, unions, and platforms.
The main player behind many of these evictions is the investment fund Cerberus, which is based in New York with a corporate structure in the Netherlands to save on taxes. The future of hundreds of families in the Catalan Countries depends on Cerberus, including families like that of Mamadou Diallo and Ramses Pinillos from Sabadell, whose evictions were suspended, and others in Vic and Barcelona. Divarian, the real estate company in Spain jointly owned by Cerberus (80%) and BBVA (20%), is listed as the plaintiff in the eviction orders.
Despite the vulnerable situation of these families, no social rental offer has been presented, as required by law. The local government has also failed to take any punitive action against the property owners. The modus operandi of Cerberus typically involves offering money (up to 4,000 euros) for families to vacate the premises on their own, without providing a social rental option.
Anas El Hasnaoui, a resident facing eviction in Barcelona, is one such case. Despite his precarious financial situation, Cerberus has not considered offering him a social rental agreement. El Hasnaoui, who has irregular income ranging from 500 to 800 euros per month, is willing to pay a rent that fits his economic circumstances. However, Cerberus has not entertained this possibility, leaving El Hasnaoui and his family in a state of fear and uncertainty.
Cerberus’s real estate arm manages around 16,000 properties across Spain, with a significant presence in Catalonia and Valencia. The company routes its profits through the Netherlands, known for its low corporate tax rates, using a tax avoidance scheme known as the Dutch sandwich.
Apart from real estate, Cerberus is involved in various sectors, including grocery retail (Alberstons), office supplies (Staples Europe), renewable energy, and private healthcare services. The company’s diverse portfolio reflects its global reach and influence in different industries.
In conclusion, the impact of Cerberus on housing and other sectors in Catalonia is significant, with many families facing eviction and uncertainty due to the company’s practices. The need for social rental options and government intervention to protect vulnerable residents is crucial in addressing the housing crisis exacerbated by investment funds like Cerberus.