Barcelona & Partners was founded in 2021 to attract innovators and private investors to Barcelona. How does Barcelona measure up against other European capitals vying for investment? Looking to the immediate future, what would you say were the main obstacles standing between the city and sustained investment growth?
Barcelona & Partners is an investment agency created by Barcelona Global for the purpose of attracting innovative companies and projects to the city and helping Barcelona become a world leader in technology, innovation and sustainability. Today, the city has found a new calling as a nerve centre for innovation, capitalising on both a home-grown pool of highly qualified talent issuing from its prestigious universities and specialist colleges and its capacity to appeal to internationally mobile knowledge workers.
Barcelona is a hugely desirable place to live and visit, with a highly diversified economy and the cachet of a true global city. It has so much going for it: its geographical location, climate, lifestyle, natural environment, transport infrastructure, industrial and cultural heritage, entrepreneurial spirit, pioneering research, educational institutions and an appealing Mediterranean culture.
At the same time, the city’s vibrant entrepreneurial ecosystem makes it one of the best places in the world to grow a business. Global tech giants have chosen it as the ideal location for new global innovation hubs, digital business models or centres of excellence in AI, including Microsoft, Pepsico, Google, Intel, Amazon, Apple, Meta, Salesforce, Autodesk, HP, AstraZeneca, Teladoc Health and more.
What would you say are Barcelona’s greatest challenges in terms of attracting a steady flow of investment over the coming years?
In the current climate, companies and regions are locked in a “battle for talent”, particularly as that talent becomes increasingly location-agnostic. Barcelona is working hard to cultivate, retain and attract the brightest minds from all over the world, promote entrepreneurship and innovation and retain its advantage in the global rankings. We have an outstanding ecosystem for innovation in the city and a growing startup community, although many are early-stage. What matters now is to support this ecosystem as it matures, by drawing in more local and international investment. We need to keep it growing and give companies more support as they develop.
It is about ensuring that Barcelona stays competitive at the global level. This demands further investment in tech infrastructure, connectivity and sustainability, as well as policies that encourage international investment and foster innovation. There needs to be a balance between growth and sustainability, so urban development does not come at the cost of the environment or quality of life. The escalating demand for affordable housing calls for careful management to keep gentrification in check and ensure the right to the city for all.
What is the general profile of investors in Barcelona today, and how might this change in years to come?
Currently, the majority of investors in Barcelona are interested in opportunities in certain sectors, including residential, offices and hotels, the latter being a particular hotspot at the moment. Having said that, Barcelona has built up a formidable scientific and technological infrastructure, incorporating Sincrotrón Alba, the Barcelona Supercomputing Center, the Institute of Photonic Sciences (ICFO) and a vast web of public and private infrastructure in areas like health science.
We are seeing a growing influx of investment funds — venture capital, private equity and more — investing money into Barcelona. A recent report from Dealroom, “The Spanish Tech Ecosystem Report 2024”, states that returns from tech investments in Spain have been rising in recent years, putting it on a level footing with northern Europe. Spanish tech companies in general, including those coming out of Barcelona, are definitely on the watch list of investors in this field. Investors with an interest in urban regeneration, renewable energy and smart city solutions will also have a bigger role to play, in light of the global shift towards more responsible urban development and the use of advanced technologies.
One of the keys to bringing companies to Barcelona is talent. What can the city do differently to attract and retain talent, so that more firms are ready to take the leap?
Talent and innovation are the pillars of the new knowledge economy. Barcelona is a modern, diverse and cosmopolitan city with an entrepreneurial spirit, and over the last ten years it has emerged as a major European powerhouse of entrepreneurship, talent, creativity and innovation. It is vital that we continue to push for policies that create an attractive environment for business, by offering tax incentives, supporting innovation and streamlining bureaucracy. For example, Barcelona Global has a joint project with Barcelona City Council: an online portal called Barcelona International Welcome Desk. The platform is designed to help incoming international talent navigate the immigration process and access useful information.
Barcelona Global also played a key role in the approval of Spain’s Startup Law, joining with 14 law firms to lobby for a more accommodating fiscal and bureaucratic environment for the entrepreneurs and investors we want to attract. The law was passed in 2022 and took effect on 1 January 2023. It’s a real forward step for Barcelona’s entrepreneurial ecosystem, providing additional tools to help the city compete and capture talent at the global level. Thanks to this legislation, it is now easier to attract entrepreneurs and investors from around the world. It has also increased the flow of capital available to startups, fuelled competition for talent through new rules on stock options, incentivised spin-off formation and knowledge transfer and stimulated investment in startups through tax incentives. These kinds of measures are critical to creating a congenial environment for starting and growing a business in Barcelona.
Housing is a structural problem for Barcelona, impinging on both well-being and international competitiveness. Barcelona Global set out the facts in its report, Retos y soluciones para generar vivienda asequible en la región metropolitana de Barcelona. Where should the city be focusing to improve the situation?
Access to housing is a structural issue that affects everyone’s well-being and greater Barcelona’s capacity to compete on the international stage. The problem is likely to be compounded in future by the proliferation of new household structures, although the rate of population growth is low. The key solution to the scarcity of affordable housing is to use public policy to get more homes built or back on the market. We need to expand the housing supply significantly, which inevitably means more development.
In its report, Barcelona Global came to the resounding conclusion that the city urgently needs to provide much more stimulus for housebuilding. To meet this challenge, it proposes a Step-Up Plan for delivering affordable housing, with closer partnerships between public and private sectors and more proactive management on the part of local authorities — including fast-tracking the reclassification of land for residential use, simplifying the regulatory framework and investing in efficient public transport for intercity travel.
For CBRE, sustainability is fundamental to how we build for the future. What do Barcelona & Partners see as the most pressing challenges for a sustainable future?
All cities are facing a series of critical challenges in terms of sustainability, and meeting these challenges is the only way to ensure a greener, more resilient future for cities and their populations. They run the whole range from pollution and air quality to waste management, sustainable mobility, the renewable energy transition and climate change adaptation. Major cities like Barcelona are also dealing with an affordable housing shortage that makes it harder to insist on the strictest standards for sustainable construction and renovation. We must do more to promote greener, more energy efficient homes if we want a sustainable future for cities. These issues require a coordinated strategy, with involvement from all stakeholders from the public sector to companies and the general population.
Barcelona & Partners is focused on driving progress in five key sectors that will shape the new economy, and where Barcelona has the opportunity to add significant value. What are these sectors, and why are they so important for the city’s future?
In our hyperconnected world, economic prosperity increasingly hinges on our success in fostering clusters of innovation and new technologies. Barcelona & Partners focuses on five sectors where Barcelona can offer a great deal of value: Life Sciences, Digital Tech, Advanced Manufacturing, Smart Mobility and Gaming. Not only are these the biggest growth drivers of the greater Barcelona economy; they represent its future, positioning it as an innovative and sustainable city with a gravitational pull on global talent and investment.
Across these sectors, Barcelona & Partners works on two basic kinds of initiatives: first, attracting companies and new business ventures from all over the world to greater Barcelona; second, advancing strategic projects to promote the city’s development, consolidation and international standing. In turn, these initiatives are grouped around three essential themes: specialisation, infrastructure and geographical proximity, and forging solid, agile relationships between academia, R&D and industry.
How would you describe the real estate sector’s role in advancing cities? Do you think that real estate investment has a positive influence, in terms of employment and economic development, for instance?
Infrastructure is one of the three key ingredients for a cluster to take root and emerge as a world-leader in its field. The real estate market is a gauge of a city’s development and growth — a barometer of its economic and social vitality. Rising demand indicates that the local economy is flourishing, drawing in investment that manifests in better infrastructure and services. How well the real estate market is growing has a powerful influence on job creation, as well as improving quality of life through the services and amenities it supports. Real estate development attracts businesses and services, contributing to a more dynamic local economy and a more prosperous and liveable city.
Furthermore, in recent years the real estate sector has pivoted to a more sustainable approach, with an emphasis on energy efficiency and environmental protection. The projects we see today are increasingly focused on improving energy performance, switching to sustainable materials and preserving green space. All of this reduces the environmental impact of developments and promotes more social responsibility in the sector.
What does CBRE bring to the real estate sector? What do you value most about the company?
CBRE is one of the world’s leading real estate services providers, offering in-depth market knowledge, innovation and an extensive contact network that facilitates strategic decision-making. Its experience in property management, consultancy services and project development means that its clients benefit from holistic solutions tailored to their specific circumstances.
What I find most valuable about CBRE is its constant pursuit of excellence and innovation, its commitment to sustainability and its capacity to anticipate and adapt to market trends, so it always has something new to offer its clients and employees.