Inmobiliaria Colonial S.A.

Inmobiliaria Colonial, based in Madrid, is a real-estate investment trust specialising in prime office buildings in the best locations of Madrid, Barcelona and Paris. Its focus on top-quality, well-let offices in central districts aims to hold up better than the wider office market in tougher times. Colonial pays out most of its rental income as dividends, but higher interest rates and pressure on office values have weighed on the sector and its share price. A moderate yield backed by prime office property defines its profile, dependent on stabilising rates and resilient demand for top offices.