PIE Events
- Nordics Property Breakfast
31 May 2012
Frankfurt am Main, Germany
Upcoming Events
- Property Debt Breakfast
20 June 2012
London
Bank of Spain props up savings bank Castilla La Mancha
The Bank of Spain has intervened to prop up savings bank Caja Castilla La Mancha, a heavy lender to the property industry, in an attempt to stem a crisis in confidence after withdrawals of e18m in deposits per day prompted a massive liquidity problem. Total outflows in March reached e330m. The rescue package amounted to e9bn and came in the form of a guarantee from the Bank of Spain. During the last few years, CCM lent heavily to property developers and construction companies as well as increasing its residential mortgage business. Its exposure to failed Spanish property company Martinsa Fadesa alone is estimated at e90m.