Capmark Financial gets OK to sell units

AP News
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Posted: Nov 25, 2009 11:59 AM

Capmark Financial Group Inc. said it has received approval to complete the $515 million sale of its North American servicing and mortgage banking units to a joint venture owned by Warren Buffett's Berkshire Hathaway Inc. and Leucadia National Corp.

Capmark Financial Group, one of the nation's largest commercial real estate lenders, filed for bankruptcy protection amid mounting bad debt last month.

The sale to Commercial Mortgage LLC was recommended to the bankruptcy court by the unsecured creditors' committee and Capmark's management, the company said in a statement released late Tuesday.

The transaction is expected to close by year end.