Zoe Hughes

Fortress Investment Group, which bought more than $250m of Michael Jackson's debt in 2003, has no remaining investments related to the pop star, according to sources. Private equity had played a role in helping Jackson avoid bankruptcy in the past few years.

Hundreds of billions of dollars are set to invest in distressed debt and real estate, according to funds lawyer Sandy Presant - but few investors will ‘jump’ now when opportunities could be better in six to 12 months.

The real estate arm of the US conglomerate has created a new role for veteran Skip Wells – as fund manager for senior secured debt investments. Wells was previously managing director of originations with the real estate team, part of GE Capital.

The West coast debt shop has garnered $420m in commitments from LPs for its latest vehicle, the Mesa West Real Estate Income Fund II. It will continue fundraising until the end of the year, PERE has learnt.

One of the largest private equity real estate platforms in the world will become independent of its bankrupt parent company, sister news site PERE has learned.

Cerberus expects to make a 100% recovery on the secured $700m loan. The hotel group was acquired by an investor group led by private equity real estate firm Lightstone Group in June 2007 for $7.4bn. There are no plans to close or sell the hotels.

The Greenwich, Connecticut-based firm has entered into exclusive talks to buy the hotel group, which it would merge with its budget hospitality group, Louvre Hotels. The deal is expected to close on 26 June. Last week, Starwood floated a $500m debt vehicle to target distressed real estate.

Lending by active financial institutions declined by $15bn between 2007 and 2008, according to Cushman & Wakefield Sonnenblick Goldman. Life companies have moved to fill some of the capital void but their 2009 originations will be 20% down on 2008 levels.

Fresh from acquiring the landmark John Hancock Tower out of foreclosure, the private equity real estate firm has appointed Mark Roopenian to manage it and other properties in Boston. Roopenian was previously with former Hancock Tower owners Broadway Partners.

Crescent Resources, which develops and manages land in the South East and South West of the US, is a joint venture between MSREF and Duke Energy Corp. The firm said the voluntary filing would help it reduce and restructure its debt load.