Berlin - Level One, a British-run property investor, has declared insolvency in one of Germany's biggest real-estate collapses, an administrator disclosed Wednesday in Berlin.
Level One invested mainly in substandard communist-era public housing in eastern Germany and Berlin.
It ran out of credit to renovate the apartments as bank lending tightened up. While German has experienced neither a real-estate bubble nor a price slump, Level One was caught out by the British slump. Its German properties are hard to let without upgrading.