The Federal Deposit Insurance Corp. unloaded a $762 million mortgage portfolio at a 69 percent discount. The loans were previously owned by 20 failed banks.
The residential and commercial acquisition-and-development loans were acquired by Mariner Real Estate Partners LLC through a competitive bidding process with four other bidders, according to an FDIC statement Wednesday. More than 80 percent of the loans are delinquent.
The Leawood, Kan.-based firm picked up the 1,062 distressed loans at a price of 30.93 percent of the unpaid principal balance. The FDIC said the unpaid principal balances total around $762 million.
The FDIC accumulated the assets over the past two years from 20 failed bank receiverships.
The way the deal was structured, Mariner acquired a 40 percent equity interest in a limited liability company that the FDIC created to hold the loans.
The other 60 percent interest in the LLC will be retained by the FDIC.
“The FDIC offered 1:1 leverage financing and will issue purchase money notes through the LLC in the original principal amount of $109 million,” the statement said. “As the LLC’s managing equity owner, Mariner will manage, service and ultimately dispose of the LLC’s assets.”
