Sareb devalues its portfolio of financial and real estate assets. In 2022, the majority State-owned company increased the negative 30% difference between the price at which its assets could now be sold and the price at which it was included in the so-called ‘bad bank’. 2012. At closing in 2021, this impairment was €8,894 million and had increased to 11,626 million, or 2,732 million, at the end of 2022.
Sareb sources, Hz. The main reason for this depreciation is the increase in interest rates. and their impact on property valuations. In addition, thanks to the “deep knowledge” they have in their portfolio, combine valuation with actual prices at which these portfolios can be sold; In addition, worsening assessments and future growth prospects further exacerbated the decline in the value of its land and some tertiary use properties. “We are getting to know our portfolio better each time and Sareb is nearing its end. This is a realistic practice and adapted to the current context. In any case, the accounting valuation of the portfolio does not affect operations,” they add.
This increase in the impairment of Sareb assets, Initial accounts of the corporation in which the state is the largest shareholder. In April last year, Frob bought 4.24% of the over 50% capital and completed the nationalization of the ‘bad bank’. This move responds to Eurostat’s obligation to classify Sareb’s obligations guaranteed by the State as public debt. At the end of 2022, the debt of the public institution is 30,481 million Euros, which is 40% less than in its own constitution.
Will Sareb be liquidated before 2027?
When it was founded in 2012, a 15-year period until 2027 was set for Sareb to sell its entire portfolio of foreclosed assets after the real estate bubble burst. They assure from the business that “the purpose and commitment of the management team is to try”, but accept that it will be “difficult”. They add, “We will try to do the best we can. Better than 1,000 million if their assets need to stay worth 500 million.”
power in 4 years decide to liquidate or extend the expiration. If he chooses to close, he must transfer all remaining assets in the company to a third party, accepting substantial discounts, and the State must bear the greater losses.
Sareb results in 2022
Last year, Sareb sold assets worth 1,642 million euros, compared to 1,375 million euros in 2021. Despite reporting 1.506 million losses in connection with its operation, Managed to repay 2,388 million euros of debt guaranteed by the state. Additionally, it reduced its liabilities by 795.8 million plus in February of this year.
Sareb in the last quarter of 2022 and the first two months of 2023 saw a decline in sales as a result of the change of managers of their portfolio. Received two new awards in April servants, Hipoges (KKR) and Aliseda/Anticipa (Blackstone and Banco Santander), the management of their assets and ultimately the migration of all processes. “Now they work normally” they qualify from “bad bank”. This new contract makes operations more efficient and lowers costs for Sareb.