Three property developers owe NAMA more than €2bn each
Published 28/07/2011 | 10:48
Three property developers owe NAMA €2bn each while a further 12 owe over €1bn, new figures show.
The Government agency set up to buy property developers loans from the banks also recorded impairment charges of €1.4bn in the same period while it had losses of €1.1bn in 2010.
However, the agency added these provisions for impairments do not necessarily mean the losses will ever materialise.
NAMA paid €30.2bn for 11,500 loans belonging to 850 developers last year and the value of the loans was €71.2bn – the average discount on the loans was 58pc.
By the end of last month, NAMA has agreed asset sales worth €3.9bn.
Just over 60pc of the assets are in Ireland with the remainder in Britain and abroad.
NAMA also said in its first annual report that about 59pc of the assets it has acquired to date are investment properties, while 41pc is in land or property under development.
The body also aims to boost the property market by stumping up some money for first time buyers who want to buy its apartments.
NAMA will sell hundreds of apartments in various parts of Dublin from October in a radical move to bring some life to the moribund property market.
Despite the losses, Nama has claimed it is making huge progress.
Brendan McDonagh, chief executive of NAMA, said: "We've made enormous progress on a wide range of fronts over the past 15 months and we're ahead of schedule in respect of many areas.
"Our expectation now is that the pace of activity will step up again in the months ahead as we move through the implementation phase of our work."
NAMA also said it has already repaid the taxpayer €1bn to the end of June this year.
It made an operating profit of €91m in the first three months of 2011.