UK bank Barclays has agreed to sell a portfolio of real estate loans to property investment trust CreXus for $586 mln (EUR 414 mln), as part of the bank's plans to divest non-core property assets. The acquisition is expected to close during mid-April 2011.
UK bank Barclays has agreed to sell a portfolio of real estate loans to property investment trust CreXus for $586 mln (EUR 414 mln), as part of the bank's plans to divest non-core property assets. The acquisition is expected to close during mid-April 2011.
'The sale of the assets is part of continued efforts by Barclays to manage its legacy commercial real estate assets for value whilst reducing exposure over time,' Barclays said in a statement.
CreXus Investment Corp is externally managed by Fixed Income Discount Advisory Company, which is a wholly-owned subsidiary of Annaly Capital Management.
The portfolio consists of 30 commercial real estate assets, including commercial mortgage loans, subordinate notes and mezzanine loans. The property types underlying these assets include hotels, offices, condominium, multi-family and retail properties.
'We believe the acquisition will not only strengthen our portfolio through the diversification, breadth and quality of the assets, it also demonstrates that CreXus is well-positioned to take advantage of opportunities in the current market environment in commercial real estate finance,' said Kevin Riordan, Chief Executive Officer and President of CreXus.
