Cross-Collateralised Portfolio of Re-performing Debtors

Cross-collateralised pool. Participating owners submitted qualifying real estate to a single pool, creating a common platform. 

REIT-like vehicle. The structure allowed assets to be held under a consolidated framework compatible with the Italian context. 

Use of proceeds. Liquidity raised through the pool was applied to deferred maintenance, updates to properties, and resolution of credit encumbrances, among other needs. 

Liquidity access achieved. Contributors obtained extra liquidity to manage capital requirements tied to their properties and creditor situations. 

Asset focus. The pool concentrated primarily on office and mixed-use (residential/office) properties around greater Milan. 

Institutional partnership. The initiative benefitted from KBS’s REIT expertise and institutional track record ($44.7B transactions as of 30-Jun-2022). 

Structured solution. A REIT-like, cross-collateralised framework can organise fragmented positions into a single vehicle. 

Problem-solving orientation. The pool was designed to provide liquidity for maintenance, upgrades, and encumbrance resolution. 

Experienced sponsor support. Collaboration with KBS Realty Advisors brought established REIT know-how and a longstanding transactions record to the initiative.