Germany is only halfway through property crisis, says Commerzbank real estate boss

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CANNES, March 14 — Germany is midway through a four-year real estate crisis that will lead to more losses and distressed sales of unwanted properties, the head of Commerzbank’s...

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The euro zone’s largest economy is in the grip of its worst property slump since at least the 2007-9 global financial crisis, after a sharp rise in borrowing costs and a higher proportion of riskier lending tipped the sector into one of Europe’s biggest downturns. The wave of distress working through the German real estate industry has provided the firm with buying opportunities, Koch said, adding he was tracking the planned sales of multiple projects owned by the collapsed Austria-based property group Signa.

 

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