A10 Capital Launches Lending Groupto Fund First Mortgage Commercial Real Estate Loans

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Mon May 11, 2009 11:25am EDT

Will Use $100 Million Fund to Provide Critical Capital Markets Bridge
BOISE, Idaho--(Business Wire)--
A10 Capital, a fully integrated firm that finances commercial real estate and
provides services to resolve troubled assets, announced today the establishment
of its Lending Group to originate first mortgage commercial real estate loans
and provide financing to investors for distressed debt purchases secured by
commercial real estate. In anticipation of the current credit crisis, the firm
raised over $100 million of capital two years ago. A10 Capital is now uniquely
positioned because it has kept nearly all of that "powder dry" and thus has no
legacy loans hindering it from making new loans today. 

A10 Capital`s first mortgage loan program fills the void between conventional
loans and hard money loans. A10 Capital specializes in alternative funding for
situations that conventional lenders typically avoid such as lower than market
occupancy, a lease-up situation, or a turnaround situation. Preferred loan sizes
range from $2 to $7 million, with a $10 million maximum. 

"In today`s credit-challenged markets, many loans that were bankable two years
ago no longer qualify because banks and life insurance lenders have tightened
their underwriting guidelines, and the CMBS markets are shut down," said Jerry
Dunn, CEO, A10 Capital. "These loans are considered `almost bankable` for a
variety of reasons and that`s where A10 steps in. We fill the void between
conventional lending sources and hard money lenders." 

A10 Capital`s capital market bridge program is being utilized by real estate
owners until the credit markets return. This assistance has been a critical
lifeline to some real estate owners who don`t want to be locked in for 10 years
at today`s higher conventional spreads, or have simply run out of options. 

"Some clients refer to us as a `warm money` or `firm money` lender," said Ken
Wilson, EVP, A10 Capital. "Because we take more risk than a conventional lender,
our loan pricing is slightly higher than conventional commercial real estate
loans-but still less expensive than hard money loans." 

About A10 Capital

A10 Capital is a fully integrated firm that finances commercial real estate and
provides advisory and management services for the workout of all types of
troubled loans and real estate assets. A10`s team has closed over $20 billion of
commercial transactions and has significant experience operating in distressed
environments dating back to the RTC in the l980s. 

A10 has over $100 million of dry powder available to operate its four lines of
business: A10`s Lending Group originates first mortgage commercial real estate
loans and provides financing to investors for distressed debt purchases secured
by commercial real estate. A10`s Bank Solutions Group provides advisory,
consulting, and management services for the resolution of all types of troubled
loans and real estate assets. A10 can also provide capital to assist banks with
the resolution of certain commercial real estate loans and assets. A10`s TIC
Solutions Group provides asset management and develops workout and turnaround
strategies for distressed Tenants-in-Common (TIC) properties. A10`s Investments
Group makes mezzanine and equity investments in cases where its capital and
expertise can turnaround and create significant value in a commercial property.
A10 Capital is headquartered in Boise, ID and has offices in Seattle, WA,
Denver, CO, Salt Lake City, UT and New York, NY. For more information visit:
http://www.a10capital.com. 



CNC Associates for A10 Capital
Cathy Clarke, 508-833-8533
cathy@cncassocs.com

Copyright Business Wire 2009

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