FMS Wertmanagement, the "bad" bank formed by the German government to wind downfailed lender Hypo Real Estate Holding AG, last week sold 15 U.S. commercial mortgage loans with a nominal value of $1.2 billion.
The bank said in the press release that it timed the sale to take advantage of heightened investor interest as well as a "favorable market window" in the U.S.
Thursday’s sale consisted of a portfolio of 15 transactions that are backed by office buildings, shopping centers and hotels in the U.S. The portfolio is mostly made up of performing loans.
U.S. broker CBRE led the competitive bidding process for the loans
"We want to continue to take advantage of opportunities like this when they present themselves to accomplish our mission of winding up this portfolio while maximizing value," FMS Wertmanagement's executive board spokesman Christian Bluhm stated in the press release.
The sale has reduced FMS Wertmanagement's portfolio of U.S. commercail mortgages to $800 million.