The Bad Bank Sells Loans On Rental Buildings For €198 Million

08/08/2014 – ABC

A portfolio of 23 loans known as “Pamela” are guaranteed by some twenty residential properties located in the region of Madrid.

The Asset Management company arising from the restructuring of the Banking System (Sareb) has sold property loans for almost 200 million euros to various investment funds advised by Canyon Capital Advisors, according to a press release issued today by the entity.

Specifically, Sareb has sold a portfolio of 23 loans known as “Pamela” which are guaranteed by some twenty residential buildings with a nominal value of 198.2 million and which are used for renting and are located in the Madrid region.

According to the company, the sale of these loans, the repayments on which are up to date in some cases and not in others, represents “the largest wholesale transaction completed by Sareb in the year to date and of the largest since its creation.” According to Sareb, the trade represents “the gradual recovery of the sector and international investors’ interest in the financial and property market in Spain.”

Furthermore, it has indicated that “the loan sale transaction adds to the good results harvested in the land property sector, with Sareb’s recent transactions in the Crossover project for a value of 108 million euros.”

Original article: ABC
Translation: Aura REE

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