Aareal Bank is to join its German rivals in setting up a stand-alone investment bank.
The bank will be led by Marc Bajer, former co-head of debt capital markets at Commerzbank, who will be joined by a four-strong team from his previous employer. It will be based in London and Germany, and will provide advisory services, structured financing and fund management. The bank will undertake conduit lending in property and will structure securitisations for Aareal and other clients.
German banks Eurohypo and Hypo Real Estate have both developed investment banking arms in addition to their lending divisions. Hypo Real Estate launched its investment bank in 2001 while Paul Rivlin and Tim Lawson-May head the team at Eurohypo.
Aareal has financed the €51.5m purchase of four UK logistics centres, totalling 73,00m2, for Kuwait Finance House. The deal complied with Islamic Shari’ah laws.
