The income from the sale of shares is to be used for debt relief.
(Photo: Bloomberg)
Berlin The heavily indebted real estate group Adler Group has sold another real estate package after selling an apartment portfolio to its competitor LEG. The buyer is the US financial investor KKR, as the Adler Group announced on Thursday in Berlin. A contract for around 14,400 residential and commercial units has been concluded with the investor, most of which are located in medium-sized cities in eastern Germany.
The agreed purchase price corresponds to a valuation of the portfolio of 1.05 billion euros. Adler expects net proceeds of around 600 million euros from the transaction. “With this inflow of funds, the Adler Group will further reduce its debt and achieve its strategic goal of reducing the level of debt (loan-to-value, LTV) to below 50 percent,” announced the company.