Bloomberg News

Goldman, Apollo Said Among Bidders for Lloyds Dublin Portfolio

October 04, 2013

U.S. investment firms Lone Star Funds, Goldman Sachs Group Inc. (GS:US) and Apollo Global Management LLC (APO:US) are among the bidders for 25 Dublin properties being sold by Lloyds Banking Group Plc (LLOY) as it exits Ireland, according to people with knowledge of the sale.

Davy, Ireland’s largest securities firm, is also involved in initial bids submitted before the Sept. 30 deadline, said two of the people. All of the people declined to be identified because the process is private.

Jones Lang LaSalle Inc., the broker managing the sale, is seeking 140 million euros ($191 million) for a portfolio called Ulysses that includes the Justice Ministry’s headquarters as well as office buildings, stores and apartments.

Ireland’s real estate market, led by Dublin, is emerging from the biggest slump in western Europe. Income returns from office buildings in the capital are more than 10.5 percent a year, the highest among cities covered by research firm Investment Property Databank Ltd.

Representatives for Goldman, Lone Star, Apollo and Jones Lang declined to comment on the sale. Emile Abu-Shakra, a spokesman for Lloyds, declined to comment in an e-mail. Davy is advising an overseas institutional investor on the sale, according to one of the people. A representative for the firm also declined to comment on the sale.

Most of the Ulysses properties previously belonged to Liam Carroll, one of the country’s biggest developers during its real-estate bubble, who has seen many of his properties seized by banks.

Lloyds decided three years ago to close the Irish unit it acquired as part of its 2008 takeover of HBOS Plc and sell or run off the assets. The bank has taken 12.5 billion pounds ($20 billion) of impairment charges on Irish loans since the nation’s real-estate market collapsed in 2008, according to data compiled by Bloomberg News.

To contact the reporters on this story: Neil Callanan in London at ncallanan@bloomberg.net; Joe Brennan in Dublin at jbrennan29@bloomberg.net

To contact the editors responsible for this story: Andrew Blackman at ablackman@bloomberg.net; Edward Evans at eevans3@bloomberg.net


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Companies Mentioned

  • GS
    (Goldman Sachs Group Inc/The)
    • $157.69 USD
    • 0.24
    • 0.16%
  • APO
    (Apollo Global Management LLC)
    • $29.16 USD
    • 0.85
    • 2.91%
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