EUROPE 鈥� Swiss real estate company , which has recently acquired several distressed portfolios in Germany, has created its own property management subsidiary Capera.
The Germany-based Capera Immobilien Service will start operations at the beginning of July, with a first mandate comprising 14,000 residential and commercial units managed by Corestate.
Walter Leitner, former managing director at alt+kleber Immobiliengruppe, will manage the subsidiary, with responsibility for approximately 100 employees in seven German cities.
Ralph Winter, founder of Corestate, said the 鈥渢ime was ripe for an innovative concept鈥� in German property management.
A Corestate spokesman added that there had been 鈥渁 qualitatively weak鈥� range of property management services that was only operating locally.
Leitner said: 鈥淥ur services include professional management of niche real estate concepts, and we are able to take on difficult portfolios.鈥�
He added that company would focus on large portfolios with properties across Germany.
Winter pointed to the 鈥渉uge potential鈥� in the existing portfolios of institutional investors and confirmed that the acquisition of existing management companies for further growth was part of their strategy.
In May, Corestate announced the finalising of a distressed deal in Germany just five months after sealing a similar deal in January.
鈥淲e had expected more distressed portfolios to come to the market,鈥� Nikolai Deus-von Homeyer, Corporate Development, had said during the Handelsblatt Immobilientagung, 鈥渂ut we are quite happy about the current inflow, which is quite enough to satisfy our interest for distressed property.鈥�
He said the portfolios his company had bought so far over the last three years were 鈥渟o-called legacy portfolios鈥� from the 2000s, 鈥渨ith too much debt financing where the banks did not renew their contracts鈥�.
