Zoe Hughes
The number of development loans written-off by banks in the US is also expected to rise sharply for the final three months of 2008. Of the estimated $60bn in outstanding construction loans as of Q4, 8.2 percent are expected to be non-accrual.
The private equity firm is reportedly at odds with the German government over how to rescue stricken commercial real estate lender Hypo. JC Flowers and Grove International invested €1.1bn for a 24% stake in the bank in June.
Carolijn ter Haar and David Boyle will join Joseph Stecher, the chief investment officer of Morgan Stanley Alternative Investment Partners, to develop the recently-launched FoFs business. Ter Haar was previously with Mn Services and Boyle with REMCap.
Private equity and foreign investors will gain ‘traction’ in 2009 as the real estate markets deleverage. The US market will be a particular target, according to a Jones Lang LaSalle study. Borrowers could struggle to refinance loans in 2009 and 2010, even if the 'underlying property is performing'.
The real estate buyout arm of Lehman Brothers, Lehman Brothers Private Equity Real Estate, has attracted more than 100 expressions of interest for its fund positions and the group operations. Lehman is running a formal bidding process to assess options for the divison. An announcement is expected in Q1.
The $28bn Alaska Permanent Fund says it's a 'difficult time to be an investor' as it saw heavy losses in the public real estate markets in 2008. Overall, Alaska’s real estate portfolio lost around 8% of its value, with its REIT investments falling almost 50%.
President and chief executive of Allianz Real Estate Olivier Piani says it is the ‘best time’ to be growing a global organisation. The insurance company expects to grow its allocation to RE to 6% 'and maybe more', with up to a third focused on the US and Asia respectively.
The German commercial real estate lender, partially owned by private equity firms JC Flowers and Grove International, has drawn down on €42bn of guarantees from the German government.
The Mumbai-based fund manager has closed on $150 million for its latest property fund, in which 3i is a key investor. The fund will invest in Tier 1 cities in India.
Three industry titans vie for one prestigious PERE award. Have you cast your vote? Polls close on 3 February for the third annual PERE Global Awards and competition is fierce. Will MGPA or GIC take the Asian firm of the year award. Will Niam/Goldman Sachs beat competition from AIG for European exit of the year?