The Real Deal Miami

Banks and private equity firms begin tussle over Anglo Irish loan portfolio

August 10, 2011 11:50AM

Banks and private equity firms are eagerly throwing their hats in the ring for the approximately $9.5 billion U.S. real estate portfolio on offer from Anglo Irish Bank, the Wall Street Journal reported. The largest single commercial property loan sale since the start of the recession, complete with a number of troubled loans, the portfolio has attracted much attention from investors in distressed property.

By the deadline yesterday, the Blackstone Group, Lone Star Funds, LNR Property, TPG Capital, Colony Capital, Area Property Partners, Starwood Capital Group, Five Mile Capital Partners and the CIM Group had all submitted or were intending to sumbit bids for at least some portion of the portfolio, sources said.

The portfolio has also attracted the interest of banks, including Wells Fargo, JPMorgan Chase and Bank of America, given that there are three portfolios of loans that are performing and expected to mostly stay that way through maturity, the Journal said.

Anglo Irish is slated to narrow the field of bidders towards the end of the month, choosing an eventual winner by September. The portfolio is being marketed by Eastdil Secured. [WSJ]