Ministers are selling the property arm of nationalised financial services group SNS Reaal lto US bank JP Morgan Chase and investment company Lone Star for up to €895m.

The unit, renamed Propertize following the nationalisation, had generated interest from 84 potential buyers and four had gone on to make a non-binding bid, finance minister Jeroen Dijsselbloem said in a briefing on the deal for MPs.

SNS Reaal was nationalised in 2013 because of problems at its property division, then named SNS Property Finance.

The ‘clean break’ deal with the two US companies means the treasury will benefit by some €32m, Dijsselbloem said.

Earlier this week, the Financieele Dagblad said SNS Bank itself will not be sold until after next year’s general election.