Capmark files for bankruptcy

Commercial real estate lender Capmark Financial Group has filed for bankruptcy. The group’s filing for Chapter 11 protection yesterday came on the heels of mounting speculation that Capmark, a former subsidiary of GMAC, was in severe financial distress. The group plans to retain Richards, Layton & Finger, along with New York City-based law firm Dewey & LeBoeuf, as its legal council. Capmark had said in a court filing that it had $20.1 billion in assets and $21 billion in liabilities as of June 30, according to the New York Times. Last month, the group reported a $1.62 billion quarterly loss, raising concerns among industry analysts that the troubled commercial real estate market may plunge further into distress.