Permanent TSB will sell Irish commercial property loans with a stated value of €481 million to Cheldon Property Finance Ltd, an arm of US-based investor CarVal.

The sale of what the company calls non-core and non-performing real estate loans, comes after it announced earlier this year that it would sell its €3.5 billion UK mortgage portfolio and €1.5 billion in Irish non-performing commercial real estate assets.

The bank says the sale is part of its strategy to de-leverage by getting rid of low-yielding assets to reach sustainable returns in the medium term.