Adler moots sale of €3.5b Berlin residential portfolio

Luxembourg-based real estate holding Adler Group is considering selling its €3.5 bn portfolio of 18,000 apartments in Berlin. 

Adler Group - apartments in Berlin

This would represent a significant step in its efforts to pay off €3.8 bn in debt and ultimately wind down the company, according to Bloomberg, citing informed sources.
Investment banks are vying for the role of advising on the sale, which is expected to take several months to prepare and may not occur until next year or later. 
This Berlin portfolio is one of Adler's last major assets after a series of disposals. Earlier this year, Adler completed the divestment of its 62.8% stake in Brack Capital Properties (BCP) to LEG Immobilien and of the Cosmopolitan portfolio in North Rhine-Westphalia to Orange Capital Partners and One Investment Management.
As of March 31, 2025, Adler’s portfolio comprised 17,908 units, with 17,688 located in Berlin. The vacancy rate remained low at 1.5%.
The company, now controlled by creditors including Taconic Capital Partners, PIMCO, Sculptor Capital Management, and Arini Capital Management, has undergone debt restructurings but continues to face challenges from high interest rates and a struggling property market. 
Following the successful refinancing of the 1L and 1.5L facilities in Q1 2025, Adler Group anticipates reducing its debt costs and saving approximately €134 million in interest. The company has no debt maturities due in 2025 after recent prolongations and repayments.
The loan-to-value (LTV) ratio decreased from 72.7% (December 2024) to 67.9% (March 2025). At the end of Q1 2025, Adler Group had €293 million in cash and cash equivalents.