LEM Invests Preferred Equity in Montreal Apartment Property

LEM Mezzanine, a direct lender and investor in high-leverage mezzanine debt and preferred equity, has, through its fund affiliates, closed a $2 million preferred equity investment in a 280-unit apartment building located in Cote-St-Luc neighborhood of Montreal.

The transaction was closed in less than thirty days from application. "Even though this transaction involved our first investment in Canada, we were able to close it quickly and meet the borrower's needs," said Jay Eisner, a principal in the Fund. The Fund specializes in fast moving situations and prides itself in taking an "entrepreneurial approach" to its business.

LEM structures its investments in a variety of different ways including mezzanine loans, preferred equity and A/B notes and specializes in providing financing in transactions where there is existing first mortgage debt. LEM has worked with a number of different servicers and special servicers to develop structures that either comply with existing loan covenants or can be approved quickly. LEM also has relationships with many first mortgage lenders to provide additional proceeds behind new originations and often partners with senior lenders to provide the entire capital structure in a combination of a first mortgage and mezzanine loan.

LEM, a $200 million fund, focuses on multifamily, office, retail and industrial properties nationwide, generally valued in the $10 million to $60 million range, and makes mezzanine investments of between $2 million and $10 million per property. It provides financing up to between 85% and 90% of the capital structure. LEM's principals include Ira Lubert, Jay Eisner and Herb Miller. The Company's objective is to invest $75 million to $100 million per year.

To discuss specific transactions or for more information about LEM, contact:

Jay Eisner
Partner
215-972-3322
eisner@lemcapital.com

Herb Miller
Partner
215-972-3323
miller@lemcapital.com