Dublin, OH—On April 27th, 2011, Cornerstone announced that BOSCO Credit III, LLC, a 50/50 joint venture between Cornerstone Capital Partners Corporation and a third party investor as Managing Members, acquired two pools of distressed mortgages from Huntington National Bank and La Salle. The Huntington portion represented 4,796 first and second lien mortgages totaling $173,383,000, and the La Salle portion represented a 50% loan participation with LaSalle Bank secured by a $35,482,000 loan portfolio of 741 first and second lien mortgages.

Cornerstone made the decision to invest in the distressed asset portfolio due to the economics of the transaction, the continuation of the relationship with the servicer to obtain additional economies of scale, and the enhancement of the relationship with a partner committed to the residential space.

Cornerstone was asked to participate as a 50/50 investor and successfully closed and funded the transaction within a 30-day period. The CEO and Chairman of Cornerstone, Peter Paras, Jr. offered the following comment in reference to the BOSCO III acquisition.

“Cornerstone has now purchased as the lead senior lender, joint equal partner or sole acquirer of both 1st and 2nd lien residential loans, totaling in excess of $550,000,000 since 2008. It was the correct investment choice as we worked directly with the seller, we were able to keep the same servicer and as a result did not suffer any servicer transfer losses and we continued to establish ourselves as a known national acquirer of residential loans.”

Cornerstone is actively seeking to expand its relationship with banks to purchase directly residential or commercial loans.

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