Riccardo Serrini, General Manager of Prelios Group, was a speaker at the conference called “The New Frontiers of Italian Real Estate” organized at MIPIM in Cannes by Studio Chiomenti in order to discuss the Italian real estate and NPL market situation.
“Prelios Group has Assets under management for a total of over 20 billion EUR, and about half of that are NPLs; we have also signed contracts for another 7 billion EUR for transactions with the use of the Guarantee on Securitisation of Non-Performing Loans (GACS)” – said Riccardo Serrini – “The Italian bad debts market is one of the most interesting, and certainly one of the largest in Europe, equal to a total of 270 billion EUR. Of this amount, NPLs (non-performing loans) are worth 170 billion, whereas the UTPs (unlikely to pay) have a weight of 103 billion EUR. Hence the very high interest on the part of international global investors, above all of an opportunistic nature. This is a propitious moment not only for investors, but also for those who manage these portfolios professionally. The banking sector has finally acted with the use of the GACS - the public guarantee - which depends on the senior tranche of securitization, and with the IFRS 9 - the new accounting standards that give a small advantage to banks in cleaning up their financial statements. Over the next two or three years this will bring to the market a huge amount of property to manage”.