LEM PURCHASES $85 MILLION OF MEZZANINE LOANS AND B-NOTES

LEM Mezzanine, a direct provider of structured finance alternatives for real estate owners has purchased $85 million of mezzanine loans and B-Notes in four separate transactions. The loans were collateralized by 10 New York City multifamily properties, a Miami office building and a Marriott hotel located in Westchester County, New York. The loans were a combination of fixed and floating rate and were underwritten and closed within three weeks.

"LEM has been active in purchasing subordinate debt positions. We are open for business and want to help provide liquidity for holders of existing mezzanine loans", said Herb Miller, a founding Partner of LEM. "Our equity base gives us liquidity to buy positions and to continue lending in this environment. Hopefully we can help senior lenders, brokers and borrowers get transactions closed during this tough period," added Miller. LEM still has over $200 million of equity to invest from the fund it raised last year.

"As first mortgage loan proceeds decline, borrowers will need more mezzanine financing to complete their transactions and LEM is geared up to fill that need," said Jay Eisner, also a founding Partner. LEM is actively originating new mezzanine and subordinate debt financings and although it typically invests on a longer-term, fixed-rate basis, it has also done many floating-rate transactions. LEM is also active providing preferred equity structures in transactions where the senior loan must be assumed and the borrower needs more leverage. LEM can provide mezzanine financing behind CMBS, Fannie, Freddie, insurance companies, banks and other senior lenders.

LEM, a series of private equity funds with over $450 million of equity, provides mezzanine loans, preferred equity and B-Note financing from $1 million to $20 million for commercial and multifamily properties nationwide. LEM writes larger deals if they involve a portfolio of assets or special situations. Loans are generally non-recourse for up to 90% of value with terms of up to 10 years.

LEM is part of Independence Capital Partners, a family of private investment management firms with over $6 billion of capital under management.

Visit our website: www.lemcapital.com