Lennar Corp. announced today that it is acquiring a 40 percent interest in two portfolios of loans with an unpaid balance of $3.05 billion from the Federal Deposit Insurance Corp. A subsidiary of Lennar, Rialto Capital Advisors, will conduct the day-to-day management and workout of the portfolios. The two portfolios include approximately 5,500 distressed residential and commercial real estate loans from 22 failed bank receiverships. The FDIC will retain a 60 percent interest in the portfolio, according to a company press release . It also will provide $627 million in financing at 0 percent interest for seven years. Lennar President and CEO Stuart Miller said: “Acquiring and working out distressed real estate loans was a large and extremely profitable part of our business during the last major real estate down cycle in the early 1990s.  We are pleased to return to this business and honored to partner with the FDIC to manage, work through and add value to these portfolios of real estate loans.” More foreclosure headlines … Lennar acquiring distressed mortgages is a post from: Mortgage Insider

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