Thursday, August 11, 2011

Investors willing to Step Into Distressed Situations

Investors willing to step into distressed situations with fresh capital are seeing a surge in business now that lenders are showing a greater willingness to rework deals.

Take the case of Mesa West Capital. The Los Angeles-based private lender this year has originated about $600 million in loans, already topping its previous record year in 2007, when its volume hit $498 million. The firm is on pace to hit $1 billion by the end of December, according to Jeff Friedman, the company's co-founder and co-chief executive.

Part of the new business comes from rising sales volume in the commercial-real-estate market.

http://online.wsj.com

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