SilverLeaf Expands Distressed Asset Purchases in Massachusetts
Private equity firm SilverLeaf Financial continues to expand its investments in distressed assets, recently acquiring two commercial loans totaling nearly $3m. The loans, acquired from United Commercial Bank, secure office/industrial properties in Massachusetts: a 452,000-square-foot property with a $2.3m loan and a 40,000-square-foot property with a $700,000 loan. The $2.3m loan generates strong cash flow, and SilverLeaf said it is negotiating work-out options with the borrowers of the smaller loan. SilverLeaf also recently acquired a 42,000-square-foot medical office/condominium building in California. The firm intends to sell the units in the property, converted after the current borrower purchased it in 2005. SilverLeaf will sell the units at a discount. They sold at $550 per square foot two years ago. "This is the nicest asset that we have purchased to date, and I am excited about the profitability of this venture," CEO Shane Baldwin said. Write to Diana Golobay.