The Slovenia Times

Bad Bank Starts Selling Real Estate

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Only a few dozen commercial properties, which the bank got in insolvency and repossession procedures are currently on sale, but more will be added on an ongoing basis, the bad bank said in a press release Wednesday.

One notable omission is the lack of residential real estate. The bad bank has hundreds of apartments and houses in its portfolio, but it is formally not yet the owner of many of the properties.

As for the properties in its possession, BAMC officials have said on several occasions that they would not offload the properties at fire-sale prices but would seek to maximise the proceeds, despite calls by pundits and the media to get moving.

The bad bank's foray into the real estate market is seen by many realtors as an opportunity to drive down prices and reinvigorate the market, but its impact will depend on how many properties will be for sale and where.

Potentially the biggest shake-up could come when the bad bank starts selling the hundreds of apartments in Celovški dvori in Ljubljana and the upscale Nokturno development with 215 apartments in Koper on the coast.

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