Vestin Realty Mortgage I Discusses Problem Loans

LAS VEGAS--(Business Wire)--
Vestin Realty Mortgage I (Nasdaq: VRTA) announced today that it
experienced a significant increase in problem loans during the quarter
ended June 30, 2008. As of that date, the Company has 31 loans
outstanding with an aggregate principal amount of approximating $54.1
million, of which, 18 loans with an aggregate principal amount of
approximately $41.5 million were not current in making interest
payments.

This represents an increase from March 31, 2008 when the Company
reported 8 loans representing approximately $16.8 million as
non-performing loans.

Of the delinquent loans, 8 loans representing approximately $19.9
million in principal amount became delinquent during the last week of
June 2008, 3 loans representing approximately $5.6 million are 31 to
60 days delinquent, 0 loans are between 61 and 90 days delinquent and
7 loans representing approximately $16.0 million are more than 90 days
delinquent. Out of the 24 delinquent loans, foreclosure proceedings
have been commenced with respect to 13 loans with an aggregate
principal amount of approximately $32.8 million.

The Company is currently evaluating the newly delinquent loans in
order to determine if they should be classified as non-performing and
to assess the appropriate size of an allowance for loan losses. At
March 31, 2008, Vestin Realty Mortgage I had an allowance for loan
losses of approximately $6.0 million.

Michael V. Shustek, Chairman and Chief Executive Officer, said,
"This increase in problem loans is a direct result of the
deterioration of the economy and the credit markets. We are working
aggressively to resolve these loans and are continuing to closely
monitor all of our loan portfolios. However, we are keenly aware that
our near term operating results are likely to suffer as we work our
way through these problem loans."

About Vestin Realty Mortgage I, Inc.

Vestin Realty Mortgage I, Inc. is a real estate investment trust
("REIT") that invests in commercial real estate loans. As of March 31,
2008, Vestin Realty Mortgage I, Inc. had assets of over $59 million.
Vestin Realty Mortgage I, Inc. is managed by Vestin Mortgage, Inc.,
which is a subsidiary of Vestin Group, Inc., which is engaged in asset
management, real estate lending and other financial services through
its subsidiaries. Since 1995, Vestin Mortgage Inc. has facilitated
more than $2.0 billion in lending transactions.

Forward-Looking Statements

Certain information discussed in this press release may constitute
forward-looking statements within the Private Securities Litigation
Reform Act of 1995 and the federal securities laws. Although the
Company believes that the expectations reflected in such
forward-looking statements are based upon reasonable assumptions at
the time made, it can give no assurance that its expectations will be
achieved. Readers are cautioned not to place undue reliance on these
forward-looking statements. Forward-looking statements are inherently
subject to unpredictable and unanticipated risks, trends and
uncertainties, such as the Company's potential inability to accurately
forecast its operating results; the Company's potential inability to
achieve profitability or generate positive cash flow; the availability
of financing; defaults on outstanding loans; unexpected difficulties
encountered in pursuing our remedies if a loan is in default; a
decline in the value of collateral securing our loans and other risks
associated with the Company's business. The Company assumes no
obligation to update or supplement forward-looking statements that
become untrue because of subsequent events.

Stern And Company
Steve Stern, 702-240-9533
steve@sdsternpr.com

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