Santander to offload property business

 
City A.M. Reporter
SANTANDER said yesterday it will sell its real estate management business Altamira to US private equity group Apollo Global Management, likely to be the largest deal of its kind so far in Spain where the property market is starting to thaw.

Several banks have sold or contracted out property management businesses this year, capitalising on interest from foreign investors hungry for deals in the wake of Spain’s five-year real estate slump.

In the Altamira deal, Apollo will take over the business that manages bad loans and properties owned by Santander, but not actually buy Santander’s property assets. The deal is worth about €700m (£583m), two sources familiar with the transaction said.