Lehman Preferred Series "J" Preferred (fka LEHJQ)

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http://www.pionline.com/article/20091211/REG/912119986

Lehman near PCCP deal
By Arleen Jacobius
December 11, 2009, 6:04 PM ET

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Lehman Brothers Holdings as early as Dec. 14 is expected to close on a deal to sell two real estate mezzanine funds with a combined $2 billion in assets to real estate investment firm PCCP, confirmed Lehman spokeswoman Kimberly N. Macleod.

PCCP is taking over the general partnership interests in Lehman Brothers Real Estate Mezzanine Partners I and II, said William R. Lindsay, founding partner, in an interview today. The deal has already been approved by a supermajority of the limited partners in the funds. PCCP is hiring 10 Lehman investment managers that have been running the fund and will be opening an office in New York.

Separately, Lehman Brothers Holdings is also near two management buyouts, expected to close in early 2010. One involves its $5.6 billion Lehman Brothers Real Estate Partners funds II and III, to be bought by Brett Bossung and Mark Newman, global heads of Lehman Brothers Real Estate Partners group. Executives are in the midst of obtaining limited partner consent.

The second involves Lehman’s European mezzanine business. No details were available at deadline.

Turnaround advisory firm Alvarez & Marsal has been overseeing the restructuring of Lehman Brothers Holdings, which is in bankruptcy protection.

The sales of Lehman’s remaining private equity and real estate businesses — real estate mezzanine, real estate European mezzanine and real estate equity, its opportunistic real estate business— “are falling into place with broad LP support,” Jack McCarthy Jr., managing director and the head of the private equity advisory group at Alvarez & Marsal, wrote in a statement for Pensions & Investments.