Greece’s third largest lender, Alpha Bank, is looking into setting up a real estate investment company (REIC) and is looking for a partner from abroad to do so.
Greek website Insider.gr reported that Alpha Bank officials believe they will need an REIC as it struggles to get a grip on billion of euros of red loans on its balance sheet that are tied to real estate assets. As part of the
expected changes to Greece's legal framework on red loans, Greek banks are getting ready to auction off some 10,000 properties on line this year.
Alpha Astika Akinita, a property management company owned by Alpha Bank, is likely to take a stake in the REIC and provide it with management services. Alpha Astilka Akinita owns 31 properties in Greece, Bulgaria, Serbia and FYROM.
Alpha Bank is the only one of Greece's top four banks that does not have an REIC that is hooked up with a foreign partner.