NAMA announces sale of the project Jewel loan portfolio

A joint venture of Hammerson and Allianz named as purchaser of NAMA’s Project Jewel portfolio


After a competitive open market loan sale process the National Asset Management Agency ("NAMA") has today announced the sale of the Project Jewel loan portfolio to a joint venture of Hammerson plc ("Hammerson") and Allianz Real Estate Germany GmbH, ("Allianz") a wholly owned subsidiary of Allianz.


This transaction represents the largest single transaction by NAMA to date.It follows an extensive and competitive sales process involving bidders from Europe, the Middle East and the United States.


The portfolio relates to loans secured on real estate assets which include Dundrum Town Centre, Dublin’s premier retail shopping centre, ownership interests in two other major shopping centres, the ILAC Centre and Swords Pavilions, and a number of strategic development sites and other assets.


The transaction is expected to complete before the end of October 2015.


The Project Jewel loan portfolio has a par value of approximately €2.6 billion. Although the terms of the transaction are commercially sensitive NAMA can confirm that the consideration is €1.849bn.


Eastdil Secured, the US investment firm, managed the sale on behalf of NAMA.


Commenting on the transaction, NAMA Chief Executive, Brendan McDonagh said:


"We are very pleased with the successful outcome of this competitive loan sale which represents NAMA’s biggest single transaction to date. The competitive tension throughout the loan sales process is continuing evidence of the strong investor appetite for property-related loans in Ireland. We are delighted that institutions of the calibre of Hammerson and Allianz have shown huge confidence in Ireland by this strategic investment in a unique, high quality portfolio."


Commenting on the transaction, David Atkins, CEO of Hammerson, said: "Hammerson, together with its joint venture partner, Allianz, is delighted to confirm its acquisition of the Project Jewel loan portfolio. We believe that our offer represents a compelling mixture of international and local real estate investment expertise together with leading asset and development management skills, and we look forward to playing our part in ensuring that the underlying assets meet their future potential for the surrounding communities. The transaction provides a unique opportunity to increase our exposure to Europe’s fastest growing economy, creating a platform for significant investment and employment opportunities going forward."


"Our investment into Project Jewel is an important step to a further diversification of Allianz´s real estate portfolio," said Annette Kröger, CEO of Allianz Real Estate Germany. "It is a very attractive opportunity to get exposure to the dynamic Irish market. We are pleased to cooperate again with Hammerson as our JV partner. "




About Hammerson plc

Hammerson is a FTSE 100 owner, manager and developer of retail destinations in Europe. Our portfolio of high-quality retail property has a value of around £7.9 billion and includes 20 prime shopping centres, 20 convenient retail parks and investments in 15 premium outlet villages, through our partnership with Value Retail and the VIA Outlets joint venture. Key investments include Bullring, Birmingham, Bicester Village, Kildare Village and Terrasses du Port, Marseilles.


Allianz Real Estate Germany GmbH

Allianz Real Estate is the strategic centre of expertise in real estate within the Allianz Group and a leading international real estate investment and asset manager. Allianz Real Estate develops and executes worldwide tailored portfolio and investment strategies on behalf of the Allianz companies, considering direct as well as indirect investments and real estate loans. The operational management of investments and assets is currently performed in six international subsidiaries and hubs in Germany, France, Switzerland, Italy, USA and Asia/Pacific. The headquarters of Allianz Real Estate are located in Munich and Paris. Allianz Real Estate has approximately €33 bn assets under management.