Lehman To Dump $40B Worth of Real Estate Assets

We wrote a piece the other day about Lehman looking to shed $14B of its $40B in real estate assets. The financial times is now reporting that Lehman is now looking to dump $40B stake. It is expected to take a loss somewhere in the range of $1.5-3B. Buyers who are circling the assets (which consist of both debt and real estate) include Blackstone and BlackRock.

It might be a tough pill to swallow, but it’s probably a necessary evil to save Lehman Brothers. The sooner all the banks can stabilize themselves, even if it comes at a drastic cost, the sooner the credit and financial markets will see signs of normalcy. Up until then, jittery investors will shun both equities and debt.

Similar Posts:

• Lehman Brothers Looking To Shed $14B in Commercial Real Estate
• Money Market Fund Goes Below Par
• Short-Term “Enhanced Cash” Fund Goes Below Par
• Lehman’s Ship Sinking; Bank of America Acquiring Merrill Lynch
• GE To Cut Real Estate Portfolio by More Than 10% Next Year

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