Economy Minister, Luis de Guindos is hopeful of property sales in Tenerife and Spain
Spanish banks are hopeful that investors will show strong interest in the real estate portfolios they are selling, as long as the prices are right. The Bank of Spain recently announced that Spanish banks held a total of €308 billion in real estate portfolios, with 60 per cent of these classed as “troubled” assets.
The country’s Economy Minister, Luis de Guindos, said last week that new guidelines will be introduced to enable the banks to transfer the real estate into asset management companies, which will then be controlled alongside third-party investors.
“The key element is going to be transparency and valuation,” he told Bloomberg,adding that no financial assistance would be provided. The minister added that he expected Spain’s economy to return to growth in 2013.
