German lenders are showing greater interest in the Dutch real estate market, it emerged at the Provada property fair in Amsterdam on Tuesday.
German lenders are showing greater interest in the Dutch real estate market, it emerged at the Provada property fair in Amsterdam on Tuesday.
Düsseldorfer Hypothekenbank is one of the German banks currently looking to finance new loans in the Netherlands, the company’s CEO Christian von Villiez.told PropertyEU. Von Villiez is heading a six-strong delegation at the Provada fair in Amsterdam this week to make contact with Dutch players. ‘We are able to take decisions quickly on new loans in the Netherlands,’ he said.
Von Villiez said the German bank, a subsidiary of US-based Lonestar, aims to build a loan portfolio of €5 to €7 bn in Germany as well as neighbouring countries and that the Netherlands was definitely on its radar. ‘Given the current pricing levels, it is a good time now to step into the Dutch market.’
Goetz Richter, head of real estate finance at Düsseldorfer Hyp, said the bank would offer conservative lending terms based on pfandbrief (covered loan) requirements, but added that loan-to-value ratios of up to 60% or possibly even higher would be possible. The focus will be mainly on retail, residential schemes, hotels and logistics and selectively on offices.
The bank is targeting an average loan size of between €10-50 mln and will seek partners for big ticket loans up to €100 mln.
In addition to Düsseldorfer Hyp, other German banks such as Deutsche Hyp and Berlin Hyp - which already have a presence in the Netherlands - are becoming more active in the market. The German banks are stepping into the gap left by the big Dutch players which have become far more cautious since the crisis in extending new loans.
