The number of German banks prepared to provide large commercial real-estate loans in the UK increased during the past six months after property values started to recover from a two-year slide, Savills said.
Since September, Deutsche Bank, Aareal Bank and Bayerische Landesbank said they are ready to make loans of at least £30m for property purchases in Britain, a survey by the London-based property broker showed. The number of banks prepared to make large loans rose to 21 from 18, with the proportion of German lenders increasing to 60 percent from 56%, Savills said.
German banks are turning to the U.K. after values fell 44% in the two years through July 2009. At the peak of the commercial real estate investment boom in 2007, only one of the dozen largest lenders was German, according to De Montfort University.