Thousands of bank borrowers and government debtors urgently rush to enter the “umbrella” of the extrajudicial debt settlement mechanism to avoid the tsunami of auctions sweeping everything since the beginning of the year.
Real estate auctions: “Rain” of procedures in Achaia until the end of 2023
Across the country they are scheduled until the end of the year 7,813 auctions of which 466 concern properties in Western Greece and 152 in the Municipality of Patreon.
The most emblematic property to be auctioned in Patras is tthe Olympio Therapeutirió, on December 20 with a first bid price of 5.9 million euros. The auction is conducted by the loan and credit receivables management company Special Finacial Solutions, as administrator of Como Isuuer Designated Activity Company claims based in Dublin, Ireland to seize €3,000,000.
Also, in the center of Patras, large commercial properties are being auctioned, such as the neoclassical one at the junction of Maizonos and Agios Nikolaos streets which currently houses the multinational retailer Marks&Spencer with a first offer price of 2.6 million euros. The auction is conducted by Intrum on behalf of the Sunrise NPL Finance fund which is also based in Dublin.
Another well-known commercial property in the heart of Patras is also up for auction. This is the store in Ewhich currently houses the Public electronics chain with a first bid price of 1.5 million euros.
Also, the unfinished building of Petrogaz, located at 380 Corinthou Street and Sosipatrouit also goes “under the hammer” with a first bid price of 1.9 million euros.
It should be noted that last Friday the industrial plant of the bankrupt ABEX changed hands in the Vipe of Patras on an area of 100 acres, for an amount of 2 million euros.
The list of commercial properties, a number of residences and crafts continues to be enriched every day, which is why recently the number of debtors who apply for inclusion in the extrajudicial as the only rescue solution has increased sharply. In Western Greece, 2,500 debtors have applied to settle debts exceeding 1.3 billion. euro.
In October, 1,210 new debt arrangements were made, which correspond to a total of 438 million euros of initial debts, while new applications on the platform numbered 3,821. In total, by the end of October, 10,023 debt arrangements had been made, which correspond to 3.7 billion euros of initial debts.
As noted yesterday on Peloponnisos FM 104.1, the renowned jurist and former president of the Patras Bar Association, Thanasis Diamantopoulos, ownership in Greece changes hands. On the other hand, commercial “fillets” in the center of Patras and tourist properties in seaside areas or hotels, pass into the hands of foreign buyers, while less valuable properties pass into the possession of opportunists who then attempt to resell them at an opportunistic profit.
Mr. Diamantopoulos did not hide it his dismay at the complete absence of provision for debtors, with the out-of-court mechanism which is an admission of bankruptcy, being the only way out. Of course, even with this tool, settlement approval is not guaranteed, as banks and funds in most cases do not even respond to the settlement plans proposed by the debtors. Thus, in many cases, the foreclosed properties are put up for electronic auction without the debtors realizing it.
The problem of auctions has reached uncontrollable proportions after the decision of the Supreme Court, which ruled that claim managers are free to launch auctions on behalf of funds based abroad.