Wave of asset selling coming from Italy’s UniCredit

Italian bank UniCredit plans a wave of disposals of its real estate assets over the coming two years, in a move to rationalise its holdings and drive through new cost savings. The bank plans to sell up to €2.5bn of real estate assets in Italy, Germany and Austria, including a number of high profile properties among its office, bank headquarters, retail outlets and residential holdings.

Speaking to Italian news agency ANSA, UniCredit’s head of real estate Paolo Gencarelli was quoted as saying, “Interest from international investors is already very high. We expect to be able to make savings of at least €220m by 2018 through rationalising our diverse properties.”

UniCredit owns about 10,000 separate properties with 6.6 million sqm of lettable space. Its Austrian subsidiary Bank Austria has since announced a major disposal programme, including the 252-metre high Donauturm in Vienna.

Amsterdam-listed Eurocastle Investment, a division of Fortress, has just bought UniCredit Credit Management Bank (UCCMB) for about €200m. The deal includes a portfolio of NPLs with a GBV of about €2.4bn and an NPL servicing business. UCCMB is the largest captive servicer in Italy with about €34.1bn in assets under management.