Aareal Bank Group today announced the establishment of Aareal Estate AG, a newly-established property management subsidiary. Initially, the new subsidiary will focus on supporting Aareal BankÃ¢â¬â¢s workout process. For this purpose, the Group will bring together all of its resources and expertise related to property workouts under the roof of Aareal Estate AG.
In particular, Aareal Estate will assess the development potential of properties affected by non-performing loans. Where this assessment is positive, it will develop the properties into a marketable product and arrange for their letting. The ultimate goal of this process is the eventual disposal, which Aareal Estate will also oversee Ã¢â¬" under certain circumstances, it will take such properties on its own books.
Karl-Heinz Glauner, Chairman of the Management Board of Aareal Bank, pointed out that Ã¢â¬Åuniting the know-how of architects, developers, lawyers, property managers and marketing experts within Aareal Estate has created a truly powerful unitÃ¢â¬Â. He added that Aareal Estate will also offer its services to third parties outside the Group. This will include the acquisition of nonperforming loans from other banks.
Messrs. Rolf Buchholz (52) and JÃÂ¼rgen Hoffmann (49) were appointed members of the Management Board of Aareal Estate AG. Both gentlemen have many years of management experience in property management and workout processes within the Aareal Bank Group.
Source: Aareal Bank AG