(Tiper Stock Exchange) – PacWest Bancorpone of the US regional banks at the center of the recent turmoil, has signed a deal to sell a $2.6 billion portfolio of 74 home construction loans. The transaction is consistent with the previously announced strategy of pursuing the sale of strategic assets and focusing on the core community banking business.
Kennedy-Wilson Holdings will purchase the loans to a discounted price approximately $2.4 billion. The buyer will also assume all future financing obligations of approximately $2.7 billion.
PacWest, according to an SEC filing, will also sell 6 more loans for the construction of properties with an aggregate balance of approximately $363 million at Kennedy-Wilson.
The transaction should close in several tranches during the second quarter and the first part of the third quarter of 2023.
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