Private equity manager, Arminius Funds Management, has bought a controlling stake in a $1.4 billion folio of commercial property, Reuters reports. The purchase is part of real estate investment firm, Eurocastle Investment’s restructuring of $1.36 billion credit facility linked to the portfolio.

The portfolio is 67% high-grade secondary office space, 15% hotels, while the remainder is a mixed bag. As part of an agreement with lenders to extend the loan to July 2014, Eurocastle transferred half of its remaining 50% equity investment in the portfolio to a junior lender, which is controlled by Arminius.

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