NAMA has announced its sale of a real estate portfolio including the Dundrum Town Centre. The sale will mark NAMA's largest single transaction to date.

Following a sales process with bidders from Europe, the Middle East and the US, winning bidders UK property group Hammerson and Germany's Allianz Real Estate have purchased the portfolio — now called Project Jewel — for €1.849 billion. Project Jewel comprises loans related to the Dundrum Town Centre as well as loans relating to 50% of the Ilac Shopping Centre in Dublin City Centre (with the other 50% owned by Irish Life) and 50% of the Pavilion Shopping Centre in Swords (of which Irish life owns 25% and IPUT owns 25%).

The Investors

Hammerson specialises in improving the return on investment in retail properties. Its portfolio across the UK and France comprises stakes in 59 major shopping retailers and parks. Hammerson's share of the Project Jewel acquisition is €1.23 billion.

Hammerson CEO David Atkins said of the deal: "This agreement provides Hammerson with exposure to a significant new platform of high quality, well-let retail property as well as strategically located development opportunities in Ireland, Europe’s fastest growing economy."

In Association with

Allianz Real Estate is the German sector of insurance giant Allianz. Their investment in the Project Jewel deal amounts to €900 million.

Allianz Real Estate Germany CEO Annette Kröger said: "Our investment into Project Jewel is an important step to a further diversification of Allianz's real estate portfolio. It is a very attractive opportunity to get exposure to the dynamic Irish market."

The Future For NAMA

The Project Jewel transaction should complete by end October. Nama is due to dwindle by 2020, though its activities are projected to wind down by 2018.

The Big Picture