The German federal government has frozen its plans to privatise TLG Immobilien, the largest owner of commercial and residential real estate in the east of the country.
The German federal government has frozen its plans to privatise TLG Immobilien, the largest owner of commercial and residential real estate in the east of the country.
Explaining the move, the finance ministry said: 'The current extremely adverse conditions on the international financial markets do not permit a successful conclusion of the privatisation process'. The ministry stressed that its long-term aim was still to sell the real estate company.
TLG has a portfolio of 1,500 industrial, office, retail and residential properties valued at EUR 1.5 bn.
Newspaper Handelsblatt ran a story last week which cited industry sources as saying that potential buyers, including Lone Star, were not currently in a position to finance the acquisition of TLG.
