This week, the Federal Deposit Insurance Corp. closed sales of 40% equity interest in three limited liability companies it set up to hold commercial and residential assets of 26 failed banks. Combined, the FDIC sold $620 million in unpaid principal on these portfolios for roughly $198 million, less than one-third of what the loans are worth. Two of the sales went to California-based investment firm Colony Capital and the New York-based private equity company The Cogsville Group, to purchase a portfolio of 198 distressed commercial real estate loans from five failed banks. More than 38% of them are nonperforming. The two companies paid 60.1% of the roughly $137 million in unpaid principal balance on the loans. The second purchase by the two companies was a portfolio of 557 distressed commercial real estate loans in a separate LLC created by the FDIC. More than 50% of these loans are nonperforming. But the two companies paid roughly 27% of the $204 million in unpaid principal balance. In their own announcement of the purchase Monday, Donald Cogsville, CEO of the Cogsville Group, said the areas in which the collateral is located will lead the nation in job creation and increase the value of the portfolio. The third sale went to Cache Valley Bank based in Utah. It received a portfolio of 761 residential and development loans. More than 50% of the loans are nonperforming. The bank paid roughly 22% of the $279 million in unpaid principal balance. Write to Jon Prior.