HRC will start off with a war chest of $100 million for loans "at competitive rates," according to a spokesperson, along with $40 million to finance the direct purchase of real estate equity. The objective, according to a statement, "is to create and manage a diversified portfolio of real estate and real estate-related loans.

"Activities will focus on direct debt, debt investments, originating, participating in, servicing, rehabilitating, restructuring and/or acquiring performing and under-performing mortgage and mezzanine loans," according to the statement.

Principals of the joint venture include co-presidents Sanford S. Herrick and David J. Loo, co-founders of SWH and Newbridge respectively. Others are managing director Spencer Garfield, who was previously managing director of Titan Capital; and chief underwriter Scott H. Hartstein, who holds the same position with SWH. The venture will be operated out of the partners' offices here and in New York.