GE Capital Grows Lending Business with Purchase of £1.4bn Deutsche Postbank Portfolio *Acquisition expands GE's core senior commercial real estate lending business *One of GE Capital’s more significant portfolio acquisitions in recent years *£1.4bn portfolio of UK performing commercial property loans *Equity holdings down 60% as Real Estate unit continues turn to Debt for growth *Expands GE Capital’s customer base in UK Business Wire LONDON -- November 20, 2013 GE Capital Real Estate announced today a definitive agreement with Deutsche Postbank AG to acquire a portfolio of commercial property loans valued at £1.4bn.The transaction is expected to close before year-end. The portfolio is composed of performing commercial property loans with primarily UK borrowers, many with near-term loan expirations that provide GE with access to both a new customer base and the potential for refinancing or for new loan activity. "This transaction supports GE's plans to grow our core commercial real estate lending business globally," said Mark Begor, CEO of GE Capital Real Estate.“It also demonstrates GE’s ability to underwrite portfolio deals and positions us as a lead provider in the market for the long term.” The commercial real estate unit of GE Capital has been a lender for 40 years. Overall earnings for the business continue to improve as it exits its commercial real estate equity holdings to focus on its lending business. Equity exposure is down 60% from its peak before the recession, following a strategy to reduce Equity holdings through property improvements and lease-up actions, and then selling into rising markets. Ellen Brunsberg, Managing Director of GE Capital Real Estate UK, added that “This transaction is a significant investment and an expansion opportunity for GE’s commercial real estate lending activities in Europe. We are fortunate to acquire a portfolio from Deutsche Postbank given their excellent reputation for real estate lending, and our similar approach to providing outstanding client service.” GE Capital Real Estate has 1300 employees globally, including 100 in the UK. In addition to the UK, the Norwalk, Connecticut based unit is actively growing its lending business in five other countries: United States, Canada, Mexico, France and Australia. ============================================= About GE Capital Real Estate Serving markets around the world for 40 years, GE Capital Real Estate is a leading commercial real estate company with global assets of $40 billion. The company has 5,600 properties owned or financed worldwide, covering more than 81 million square feet. As a unit of General Electric Company (NYSE: GE), it offers access to the strength, industry knowledge and global reach of one of the world’s leading companies. Visit www.gecapitalrealestate.com to learn more. Contact: GE Capital Real Estate Europe Amelie LACRESSE Communications Manager Tel: +33 (0)1 43 12 17 51 Mobile: +33 (0)6 11 27 52 15 firstname.lastname@example.org
GE Capital Grows Lending Business with Purchase of £1.4bn Deutsche Postbank Portfolio
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