Failed insurer's real estate assets to be sold.Bankers Trust The Bankers Trust is a historic American banking organisation that was acquired by Deutsche Bank in 1998. It was originally set up when banks could not perform trust company services. has announced that a Kentucky state court had approved the sale of a poryfolio of approximately $265 million in book value of real estate assets held by the Kentucky Central Life Insurance Company. Kentucky Central Life was placed in rehabilitation last year, representing the seventh largest insurance company failure in U.S. history. This transaction marks a growing trend in bulk dispositions of insurance company real estate portfolios. The portfolio for sale, which represents the majority of Kentucky Central Life's real estate assets, is comprised of a diversified mix of assets including performing and non-performing commercial mortgages, real estate owned Real Estate Owned Property owned by a lender - usually a bank - after an unsuccessful sale at a foreclosure auction. This is common because most of the properties up for sale at these auctions are worth less than the total amount owed to the bank: the minimum bid in most (REO reo Noun NZ a language [Maori] ), and joint ventures. There are a total of approximately 174 assets in the portfolio, which will be broken down for sale into several pools ranging in size from approximately $50 million to $80 million. The assets have an average size of approximately $1.5 million and are backed by properties including multifamily, retail, office buildings, and horse, farms. In addition, there is a small pool of residential mortgages. The assets are located primarily in Kentucky. Bankers Trust and Creamer Realty Consultants was retained in 1993 by the Commissioner of the Kentucky Department of Insurance, acting as Rehabilitator of Kentucky Central Life to serve as the advisor for the company in regard to its real estate portfolio. Bankers Trust was directed to stabilize the portfolio, recommend a strategy to maximize the economic value for the portfolio, and implement such a strategy. Creamer Realty Consultants has worked closely with Bankers Trust in the asset management of the portfolio. Marketing of the transaction is expected to begin in the next few weeks, with bids due in mid April. Ernst & Young is providing due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. for the transaction. In a separate announcement last week, the Rehabilitator recommended to the court that Kentucky Central Life's life insurance business be sold to Jefferson-Pilot Corp, a North Carolina North Carolina, state in the SE United States. It is bordered by the Atlantic Ocean (E), South Carolina and Georgia (S), Tennessee (W), and Virginia (N). Facts and Figures Area, 52,586 sq mi (136,198 sq km). Pop. based insurance company. Kentucky Central Life, a publicly owned Publicly owned can refer to:
Investors wishing to receive information on the sale should send their name title, company and address to William Benjamin, vice president, Bankers Trust, 280 Park Avenue, 21W, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , NY 100 17 or call (2 12) 454-5856. |
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