German lender Aareal hikes provisions in latest sign of property stress

Aareal Bank AG

29/02/2024 06:02

FRANKFURT, Feb 29 (Reuters) - Property lender Aareal
earmarked $478 million in provisions for soured loans in 2023,
the most in at least a generation and the latest sign of the
severity of a commercial real-estate slump rattling investors on
both sides of the Atlantic. 
    Aareal, based in Germany but operating globally, on Thursday
reported that its full-year allowance for loan losses grew to 
441 million euros ($477.78 million) from 262 million euros
during the first nine months of 2023 and more than double the
192 million euros in 2022.

($1 = 0.9230 euros)

 (Reporting by Tom Sims
Editing by Miranda Murray)
 ((Tom.Sims@thomsonreuters.com; +49 30 220 133 645;))