Miami-Based Investment Firm, ARC, Partners With Yale Mortgage Funding

MIAMI, FL--(Marketwired - Sep 30, 2014) - Yale Mortgage Funding announced today it has agreed to merge with ARC, an investment firm that specializes in maximizing value from real estate debt on behalf of its investors. The deal will result in ARC taking a fifty percent ownership stake in Yale Mortgage. Both companies will continue to operate under their current names and the management teams will remain unchanged.

The two companies will capitalize on decades of real estate lending and mortgage securitization expertise. "Since 1992 Yale has been unwavering in its disciplined approach to real estate valuation, relying exclusively on its own people to inspect properties and using a conservative appraisal process," said David Gordon, ARC's managing director. "That commitment has paid off, and it's one of the reasons we're so enthusiastic about this partnership."

Prior to joining ARC, Mr. Gordon was with Morgan Stanley for nearly a decade, where he traded mortgage backed securities and handled loan sales. He and ARC fellow managing director, John Olsen, have grown ARC by leveraging their experience and industry relationships to identify unique investment products -- using a similar approach as Yale Mortgage. The investment in Yale adds greater depth to the company as well as a pipeline of product, including hard equity loans, merchant cash advances, and non-performing loan pools.

"We've worked with David and John for years," said Woody Kahn, president and CEO of Yale Mortgage. "Now we have the chance to be more than associates. We'll be partners, and that means our two enterprises will be stronger, faster, and more competitive than either of our firms were on their own. It also means we'll have the opportunity to work on bigger deals and deals representing a wider range of asset classes."

Yale Mortgage is a leading national hard-asset lender. In addition to its origination activities, the company services $1.2 billion of mortgage loans.