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NAMA appoints Cushman & Wakefield to sell €8.4bn Project Arrow

NAMA has appointed Cushman & Wakefield’s Corporate Finance team to sell the giant €8.4bn Project Arrow non-performing loan (NPL) portfolio, as the Irish bad bank accelerates its remaining wind-down.

Project Arrow will be the largest loan portfolio sale in NAMA’s history and takes the aggregate nominal value of the current pipeline of loan portfolio sales by the Irish bad bank to €12.9bn across six separate loan disposal processes.

NAMA’s notable pick-up in planned loan portfolio sales this year – which already reflects a 66% increase on 2014’s €7.8bn – is influenced by a number of aligning economic and political factors.

C&W’s Corporate Finance will now undertake a review of the giant loan pool, the underlying collateral and seek to determine the present real estate value within Project Arrow.  The process is expected to lead to the formation of sub-pools, which would then be potentially sold separately.

Project Arrow is secured by approximately 90% Irish real estate and 10% UK real estate, and is virtually all non-performing.  By sector, Project Arrow is approximately 50% Irish residential, while the remaining half is comprised of a mix of offices, retail, mixed-use, hotels and land – including UK assets.

NAMA completed €7.8bn in loan sales last year – 66% lower than the current visible trajectory for 2015.

NAMA is expected to downsize its headcount this year by around 80 staff to 270 by the end of this year and down to around 125 by the end of next year.

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