Global commercial real estate advisory firm The Situs Companies today announced further growth in its European business with the recent acquisition of GSSG, a leading German loan servicing company, which is now part of Situs Global Servicing (SGS).
GSSG is currently rated by Fitch as a Primary and Special Servicer, which specifically qualifies the company to primary and special servicing for commercial mortgage backed securities (CMBS). Furthermore, The Situs Companies announced plans to centralize all German operations in a new Frankfurt office. The establishment of the Frankfurt office is part of the continued growth of the company's advisory and servicing business in Europe and underscores the company's strategic plans to increase the depth and breadth of its European offerings.
Situs provides real estate asset and finance advisory services to leading financial institutions, institutional and private equity investors, developers, and governments. Its clients look for trusted insight in real estate consulting, debt advisory, loan servicing, and workout services. Since 2002, Situs has advised on European real estate and debt valued at over 30 bln. The recent acquisition of GSSG brings Situs' total servicing and surveillance global platform to more than US $19 billion. Situs US is rated as a Special & Primary Servicer by Fitch Ratings and Standard & Poor's, and approved by Moody's.
The German-based team of advisory and servicing experts will focus on providing real estate-related financial services to a broad range of clients including institutional investors, hedge funds, private-equity groups and high-net-worth individuals looking to expand or modify their commercial real estate investments across Europe.
Peter Holzhäuser, Managing Director and General Counsel of GSSG, commented: "The acquisition by Situs provides our professionals with a dynamic opportunity to grow professionally with a global commercial real estate services company". Furthermore according to Joe Kastrup, Managing Director and Head of Situs European Servicing, "Situs' commitment to put the service back into the loan servicing business allows us to focus on best of class customer service in a market that has been overwhelmed by mounting delinquencies, which have resulted in overall declining customer satisfaction."
"We are delighted that the acquisition of GSSG offers us the possibility to broaden our local presence in the growing and developing German real estate market. We are very aware of the fact that a profound servicing business only can be delivered with a strong local presence. We have therefore decided to centralize all our German business in Frankfurt," said Ralph Howard, CEO of Situs, commenting on the office opening in Frankfurt. "Given the increasing demand for our services at a critical time in the economic cycle for many real estate businesses in Germany, our expansion of our loan servicing business is very timely in offering a real differentiated choice in the local market. In addition the strength of the German team will be enhanced by the deep talent pool of Situs professionals worldwide which will allow us to immediately draw on every kind of real estate industry expertise and the experience of other advisory professionals in our group," he added.
Bruce Nelson, Principal and Global Head of Situs Servicing/Special Servicing added, "Situs has no legacy asset positions and unlike many of its competitors no debt from the past. The company is therefore well-positioned for future growth in Germany. We do not trade or take principal positions and can therefore avoid any conflict of interest and act purely for the benefit of our clients."