Silverton partners with Pöttinger property group to advise lenders on ‘broken’ developments

Frankfurt, 29. Februar 2024 – The Silverton Group (Silverton), specialist in the investment and asset management of commercial property, property finance and real estate-backed loans, is now collaborating with the Pöttinger Immobiliengruppe (Pöttinger), a long-established Munich-based company with four main activities across Germany: construction, property development, development project management and property management.
The first objective of the partnership is to provide comprehensive advice to lenders on distressed development projects, spanning all asset classes. Secondly, construction projects that are in difficulties can be progressed and completed as service developers.
For this, Silverton and Pöttinger are pooling their specialised expertise in the areas of non-performing loans, special situations, construction, refurbishment, development and asset management. This will enable restructuring concepts to be developed at both asset and company level. What’s more, it enables the procurement of fresh capital to continue and complete stalled construction projects as a service developer acting for the creditor. The focus is on real estate projects throughout Germany. Asset management can also be taken over if required.
"We are currently witnessing a wave of insolvencies among property developers. This poses major challenges for the lenders, whether traditional banks or alternative financiers, who do not always have the expertise necessary to complete construction projects that have run into difficulties. For this we offer bespoke consulting services, in order to formulate and implement solutions jointly," explains Michael Gail, Head of Acquisitions & Sales at Silverton.
Philipp S. Pöttinger, Managing Partner of Pöttinger, adds: "As a family business now in its third generation, over 85 years we have seen a lot and we have constructed almost every type of building. In difficult times like these it’s very important to have a reliable partner. Ideally, someone who can tackle projects in their entirety and bring them to a successful conclusion. With Silverton's expertise and our service portfolio as a developer, building contractor and project manager, we can achieve this, ensuring that development projects are completed in the interests of the owners and/or the financiers."
Work on the first assignments, for clients including banks, debt funds, pension funds and insurance companies, has already begun.