First the umbrella company and the operating subsidiaries went bankrupt, now the capital management is also insolvent – and the first fund has collapsed. The insolvency administrator promises that the more than 13,000 tenants should not feel any of this.
The crisis of the major Wiesbaden landlord Deutsche Invest Immobilien (DII) is now also affecting its investors: after the parent company and the operating subsidiaries of the real estate investor and developer filed for insolvency shortly before Easter, the first closed fund is now facing bankruptcy. The reason given was that a construction project in Wiesbaden in particular had been hit “by the very difficult market conditions”: sharply increased costs, high interest rates and the reluctance on the part of buyers had “led to severe delays in the sale of the individual apartments” and as a result DII boss Frank Wojtalewicz was quoted as saying in a company statement.