Failed Kaupthing bank awards Euro property mandate

The estate of Icelandic bank Kaupthing, which crashed in 2008, has awarded a mandate to Internos Real Investors to manage €90m of real estate located in France.

The estate of failed Icelandic bank, Kaupthing, has awarded a property management mandate to London-based Internos Real Investors.

Kaupthing hf, which is the name of the estate currently winding-up what remains of the bank, has awarded Internos with the task of managing Celsius European Holdings SARL (Celsius), the owner of 11 French office, logistic and industrial properties totalling €90 million. Approximately 68 percent of the portfolio is located in Paris and the Ile de France region.

The Icelanidc bank crashed in 2008, with a resolution committee later being appointed to oversee a liquidation process aimed at maximising the vaoue of remaining assets. Part of Kaupthing's operations were transferded to New Kaupthing Bank (now called Arion Bank, 13 percent owned by the Icelandic government) to ensure continued banking operations for Icelandic individuals and businesses. The New Kaupthing also took over the bulk of the bank's assets that related to its Icelandic operations, such as loans and other claims.

The real estate win by Internos takes the company‘s assets under management to €2.2 billion and €350 million in France. In order to build its French business, it has hired the entire Invista Real Estate Investment Management Invista Paris team and appointed Guillaume Masset as head of its French business. Last year, Internos took over the management of Invista European Real Estate Trust, one of a number of management contracts lost by London-based Invista Real Estate Investment Management.

In order to further bolster its French operations, Internos also appointed Mohamed Zein as portfolio manager when it opened the Paris office towards the end of last year. He previously worked at DTZ in Paris.

Jos Short, executive chairman of Internos said: “This (mandate from Kaupthing) when added to Invista European Real Estate Trust gives Internos three funds with total gross assets in France of €350 million.”

Internos was formed in 2008 by Short and Andrew Thornton has offices in London, Frankfurt, Amsterdam, and Luxembourg as well as its Paris-presence.