Acquiring Portfolios in the Crisis
Our knowledge and way of working make your investments in the German property market easier to plan. We are convinced that the current situation offers great opportunities for targeted acquisitions, and real estate portfolios that are in trouble often show many of the same symptoms:
- The purchase price was too high and too reliant on external financing.
- The portfolio was not equipped with an adequate local management.
- Poor communication and blocks on decision-making leads to tenants leaving.
- There is a liquidity crisis, financial covenants are breached, insolvency and excessive debt follow.
There is a range of counter-measures that we can initiate, commission, accompany, or implement:
- The purchaser needs an up-to-date data room for a thorough due diligence report.
- In order to identify and investigate sources of losses and risks, we check the reliability of existing reporting entities.
- After building up new sources of information, we interlink all data available as a basis for a flexible reporting operation.
- As well as looking through liabilities (both financial and contingent), working capital management has a particularly crucial role to play in stabilising liquidity.