Rich investment groups swooping on cut-price us bank stock

Large, well-financed institutional investors are starting to swoop on attractively priced opportunities in the depressed US home market, often taking on the development’s debt burden and relieving the bank or funding group of its liability.

This week, for instance, it was revealed that the Starwood Capital Group has joined forces with South Street Partners in Charlotte, North Carolina, to acquire North Beach Towers, a 1 million square foot condominium complex in North Myrtle Beach, South Carolina.

The partnership is taking on the project and its outstanding bank debt via an off-market transaction at what it describes as “a significant discount to face value.”

Building work on North Beach Towers started in 2006 and was completed in 2009 and the development’s sales and marketing programme will be retained. The company told OPP this week that it will continue to sell the remaining empty units on whole ownership basis and timeshares have been ruled out.

Source: OPP.org.uk