{"id":16237,"date":"2021-03-31T08:27:32","date_gmt":"2021-03-31T07:27:32","guid":{"rendered":"https:\/\/www.sareb.es\/?page_id=16237"},"modified":"2024-01-23T11:14:02","modified_gmt":"2024-01-23T10:14:02","slug":"how-we-work","status":"publish","type":"page","link":"https:\/\/www.sareb.es\/en\/our-work\/how-we-work\/","title":{"rendered":"How we work"},"content":{"rendered":"\n

Our task is to manage and sell the loans and properties we acquired from the financial entities rescued between 2012 and 2013. At the time, the Spanish economy was weak and the banks were greatly affected by their exposure to the real estate sector. Our aim is to sell all these assets, maximising their value by selling them with the least possible losses. The income obtained through the sales enables us to pay back the Government-backed debt.<\/p>\n\n\n\n

What is Sareb\u2019s business model?<\/h2>\n\n\n\n

We found ourselves with an extremely heterogeneous package of complicated assets<\/strong>, which included, on the one hand, loans of varying quality (with varying degrees of probability of default) with real estate guarantees and, on the other, (houses, land, offices, commercial centres, hotels\u2026). The Bank of Spain established the price at \u20ac50,781 million, approximately half their net value, but we needed liquidity in order to purchase them<\/strong>. We achieved this by issuing bonds, which were guaranteed by the Spanish State.<\/p>\n\n\n

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We have a limited time frame in which to sell the assets and return the maximum amount of debt. These are precisely two of the main objectives included in our business model.<\/div>\n
\n \"\"\n\n \"\"\n<\/figure>\n <\/div>\n<\/section>\n\n\n\n

During the first quarter of each year, the Board of Directors<\/a> approves the Business Plan<\/strong> update, which covers the ongoing year until Sareb\u2019s scheduled extinction. It is a dossier containing the projections of the business model progress for the following years and includes the impact of possible scenarios on the company\u2019s business activity.<\/p>\n\n\n\n

As time goes by, our work is yielding results<\/a>. On the one hand, we have reduced the volume of assets in our portfolio: we are selling them. And, on the other, we are improving the composition of the portfolio, making it more liquid: we are converting loans into properties, which are easier to sell. In the following sections we shall explain the details of our meticulous work<\/strong> and how that translates into economic figures, in income and expenses<\/strong>.<\/p>\n\n\n

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\n \n How do we work with loans? \n \n \n \n \n <\/g>\n <\/g>\n <\/g>\n<\/svg>\n <\/a>\n <\/h2>\n
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We began our activity with 90,765 loans, valued at \u20ac39,438 million, which represented 77.7% of all the assets. With our hard work, we have managed to reduce their relevance in our portfolio. How do we liquidate the loans while trying to maintain their value insofar as possible?<\/strong><\/p>\n\n <\/div>\n <\/article>\n

\n \n \"\"\n <\/a>\n

\n \n How do we work with properties? \n \n \n \n \n <\/g>\n <\/g>\n <\/g>\n<\/svg>\n <\/a>\n <\/h2>\n
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We began our activity with 107,446 properties, valued at \u20ac11,343 million which represented 22.3% of all the assets. How do we manage our properties so they acquire value and we can sell them more easily?<\/strong><\/p>\n\n <\/div>\n <\/article>\n <\/section>\n\n\n\n

What are Sareb\u2019s income and expenses?<\/h2>\n\n\n\n

Our income<\/strong> is obtained from the management and sale of loans and properties in our portfolio, Our expenses<\/strong> are financial (interest paid on our debt), commercial (sale of properties), property maintenance, asset transformation expenses and those corresponding to our business structure.<\/p>\n\n\n

\n \n \n \n \n \n \n <\/g>\n \n <\/g>\n<\/svg><\/span>\n Our income and expenses are outlined here\n <\/a>\n<\/section>\n\n\n\n

With our work liquidating the assets acquired from the bank, we are stabilising the financial sector and reactivating the real estate market, contributing to <\/strong>the United Nations 2030 Agenda.<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Our task is to manage and sell the loans and properties we acquired from the financial entities rescued between 2012 and 2013. At the time, the Spanish economy was weak and the banks were greatly affected by their exposure to the real estate sector. Our aim is to sell all these assets, maximising their value …<\/p>\n","protected":false},"author":2,"featured_media":2000,"parent":16146,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_acf_changed":false,"footnotes":""},"class_list":["post-16237","page","type-page","status-publish","has-post-thumbnail","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/pages\/16237","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/comments?post=16237"}],"version-history":[{"count":14,"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/pages\/16237\/revisions"}],"predecessor-version":[{"id":67104,"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/pages\/16237\/revisions\/67104"}],"up":[{"embeddable":true,"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/pages\/16146"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/media\/2000"}],"wp:attachment":[{"href":"https:\/\/www.sareb.es\/en\/wp-json\/wp\/v2\/media?parent=16237"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}