PHILADELPHIA-A local regional bank chose real estate advisory and investment-banking firm Llenrock Group to market a portfolio of assets worth between $75 million and $100 million, according to Llenrock management. Though the bank is keeping its identity confidential, the potential sale of assets is a result of distressed borrowers and not problems facing the financial institution, Andrew Benioff, the locally based Llenrock's founder, told GlobeSt.com.
"The bank still is very interested in continuing to finance the deals," he said. "The current developers are out of gas. The bank wants to stay in."
The assets, most of which are in the development process, are throughout the Delaware Valley, in Delaware, Pennsylvania and New Jersey. About 55% of them are commercial and represent the retail, industrial, office and multifamiy sectors. The remainder are single-family residential.
So far Llenrock has spoken to potential buyers ranging from publicly traded REITs to individual investors. "We certainly don't want to replace one borrower with another who runs into the same kinds of problems," Benioff said.
Llenrock scored the assignment through a past business relationship Benioff had with one of the bank's executives, he said. The firm is working on 12 transactions for the bank right now, and that number could double, Benioff predicted.
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