LEM Makes Preferred Equity Investment In Westchester Office Building

LEM Mezzanine, a direct lender and investor in high-leverage mezzanine debt and preferred equity, has, through its fund affiliates, made a $4.6 million preferred equity investment to fund the acquisition of an office building located in Briarcliff Manor, NY. There was a pre-existing first mortgage which was assumed by the buyer.

"The strength of our organization and our excellent relationship with the first mortgage loan servicer facilitated a smooth transaction," said Herb Miller, a partner in the Fund. "LEM's financial strength helped the borrower get servicer approval and added creditability to the transaction. We also have a stellar track record of closing behind existing first mortgage debt," added Miller.

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 a Total Leverage Program that allows the Fund to provide the entire capital structure including first mortgages and mezzanine loans.

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 85% to 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