Banco Sabadell puts €250m Cadi package up for sale

Following the sale of Project Tritón last month, Spanish lender Banco Sabadell is understood to be marketing another €250 mln non-performing loan portfolio known as Cadí.

The Cadí portfolio, which has a nominal value of €435 mln, includes 630 loans and 700 foreclosed assets in the regions of Valencia, Andalucía, Cataluña and the Balearic Islands.

The loans were granted to local real estate developers and are similar to the Project Tritón loans which were sold last month through Ernst & Young to a joint venture of Deutsche Bank and asset manager Hipoges, according to local press reports.

Kaplan sub-package
PropertyEU also understands that Deutsche Bank has emerged as the buyer of the €234 mln nominally-valued Kaplan sub-package of loans put on the market last year by Sareb. The Spanish bad bank has confirmed that it is in advanced negotiations to sell the portfolio but did not disclose the name of the buyer.

Spain saw two of the largest non-performing loan sales in Europe last year, Project Hercules and Project Octopus, with a combined face value of €10.8 bn. Earlier this month, German bad bank FMS confirmed it is launching the sale of Project Gaudì, its first European CRE loan portfolio, as reported by PropertyEU last month.

A spokesman for FMS confirmed that the portfolio is on the market but declined to provide further details. However, PropertyEU reported in January that the lender had mandated C&W’s corporate finance team to sell its entire remaining Spanish and Portuguese commercial real estate loan books, with a combined face value of €755 mln.

Project Gaudi
The Project Gaudi package comprises 18 loans secured by 15 assets including the €400 mln Hotel Arts in Barcelona, a five-star hotel in Cascais, five shopping centres, four business parks in Madrid and Barcelona, a portfolio of 17 self-storage assets; and a number of residential and industrial development sites.

The portfolio previously belonged to Hypo Real Estate – now known as pbb Deutsche Pfandbriefbank – and was transferred to FMS Wertmanagement in 2010 together with some €27 bn of Hypo Real Estate assets, following the lender’s collapse in 2009.

Competition for these portfolios is likely to be intense, according to Marcus Lemli, head of European investment at Savills: ‘It’s the sort of thing that everyone is looking at. There is a lot of opportunistic money looking at Spain, so interest will be huge.’