Silverton expands advisory services for institutional investors and strengthens market presence in NPL and distressed assets

Frankfurt, 12. Februar 2025 – The Silverton Group (Silverton), a specialist in investment and asset management for commercial real estate, real estate financing, and real estate-backed loans, is reflecting on a strong 2024. A key focus last year was the expansion of its advisory services for institutional investors, including insurers, debt funds, and banks, to support them in restructuring their real estate financing. By the end of the year, Silverton’s advisory volume surpassed €1 billion.
This milestone demonstrates both the growing confidence in Silverton’s expertise and its ability to successfully navigate and restructure complex financing structures. Notable mandates included advising a creditor on both the real estate and loan aspects of a high-profile office development in Munich, as well as executing a debt-to-equity swap for an insolvent project development in Bavaria.

A holistic approach: the key to success
Silverton provides advisory services to both traditional and alternative lenders, including insurers, pension funds, and banks. Silverton assists them with asset valuation, loan management, and optimisation, as well as the operational execution of restructurings, even taking over asset management where necessary. The company’s approach always starts with a detailed analysis of the situation and the creation of transparency.
“It is crucial to first establish the realistic value of an asset within the current market context to determine the optimal strategy,” explains Stefan Dölker, Managing Partner at Silverton. This includes residual value calculations for developments as well as a comprehensive review of all loan documentation.

Tailored strategies for every mandate
If an asset has the potential for economic recovery - such as through active project-level management - Silverton supports the development and implementation of alternative business plans. Scenario analyses anticipate future developments and explore alternative uses.
“Our scenario analyses provide creditors with the transparency and certainty they need to make informed decisions,” says Stefan Dölker. “We offer our clients a modular restructuring framework, covering every step up to the operational execution of the real estate project. For developments, we act as owner’s representative and serve as the key point of contact for all stakeholders.”

Expert guidance through complex insolvency proceedings
Silverton also provides specialist support to creditors throughout insolvency proceedings, offering both legal and operational expertise. The firm collaborates closely with legal specialists to effectively manage all legal and financial aspects. Any legal disputes arising during insolvencies are handled in close consultation with creditors to achieve the best possible outcome.
Where liquidation of an asset is unavoidable, Silverton guides clients through the process. “Liquidation is always a last resort, but if necessary, we ensure it is executed in the best interest of the creditors,” says Jascha Hofferbert, also a Managing Partner at Silverton. The firm also supports negotiations on restructuring agreements.

Well-positioned for an increase in NPLs
Silverton is already benefiting from increasing activity in the real estate-backed non-performing loan (NPL) market. In 2024, the firm secured mandates for three NPL transactions with a combined nominal loan volume of approximately €215 million, two of which are currently in exclusive due diligence.
Silverton expects further expansion in the NPL and distressed asset market in 2025, driven by persistently high interest rates and tighter lending criteria resulting from enhanced EU regulations such as the revised Capital Requirements Directive (CRD VI) and Capital Requirements Regulation (CRR III). These regulatory changes increase capital requirements and make real estate loan (re)financing more challenging.
Falling real estate valuations are driving up loan-to-value ratios, making refinancing more challenging and putting pressure on projects and developments.
“Silverton is strategically well-positioned and has the necessary regulatory framework in place to remain a key player in the NPL and distressed asset market in 2025. We are committed to providing our clients with expert and discreet support to navigate these challenges,” says Stefan Dölker.

New BaFin servicing licence enhances competitive edge
A key milestone in 2024 was obtaining the servicing licence under the German Credit Secondary Market Act (KrZwMG) from the Federal Financial Supervisory Authority (BaFin). This licence establishes uniform European standards for the trading and management of NPLs, ensuring greater transparency and security in this market.
For Silverton, this represents a major competitive advantage, providing easier market access at a time when regulatory requirements increasingly demand a servicing licence for NPL investments.