Resource Capital Corp. Joint Venture Expands With $125 Million of New Capital

PHILADELPHIA, PA--(Marketwire - Nov 21, 2011) - Resource Capital Corp. (NYSE: RSO) (the "Company") announced today that LEAF Commercial Capital, Inc. ("LEAF"), a commercial finance joint venture in which it has a substantial interest, has received a $50 million growth equity investment from Eos Partners, L.P. and its affiliates ("Eos"), a New York based private equity firm. LEAF also closed on $75 million of debt capital through the addition of Versailles Assets LLC, an asset-backed commercial paper conduit administered by Natixis, to LEAF's warehouse credit facility with a commitment in that amount.

Headquartered in Philadelphia, PA, LEAF works closely with leading commercial equipment vendors and manufacturers to help them maximize revenues by offering competitive small and mid ticket financing solutions to their customers. LEAF has total assets in excess of $275 million and assets under management of approximately $640 million. It recently closed a $105 million securitization, which was underwritten by Guggenheim and rated by Moody's and DBRS. With the $75 million added to its warehouse line, LEAF has $185 million of total warehouse capacity. The Company has an approximately $38.5 million preferred investment in LEAF which is convertible to approximately 27% of the fully diluted common ownership. In connection with these transactions, the senior participating preferred stock held by the Company will have a 12% rate, an increase from 10%. Steven Kessler, Chairman of Resource Capital's board of directors, and Jeffrey Brotman, Executive Vice-President of Resource Capital, will serve on LEAF's board of directors, along with Crit Dement, CEO of LEAF and representatives of EOS.

Jonathan Z. Cohen, President and CEO of the Company, stated, "LEAF has accomplished a great deal in a short period of time, and these transactions will enable it to accelerate its growth even faster. There are very few middle market, small-ticket equipment leasing companies that have such an experienced and respected management team. With this additional capital, LEAF is positioned to become the industry leader. Resource Capital will have a very meaningful preferred stake in this business and to participate in what we believe will be substantial upside in an asset generating platform, while earning a good return on investment and helping to achieve the investment diversification that RSO seeks. We are pleased to have such a valuable partner in Eos. The confidence that Eos and Natixis showed through their investments helps validate our confidence in LEAF and its management team."

About Resource Capital Corp.

Resource Capital Corp. is a commercial real estate specialty finance company that qualifies as a real estate investment trust, or REIT, for federal income tax purposes. RSO's investment strategy focuses on commercial real estate-related assets and, to a lesser extent, higher-yielding commercial finance assets. RSO invests in the following asset classes: commercial real estate-related assets such as whole loans, A-notes, B-notes, mezzanine loans, mortgage-related securities and real estate joint ventures, and commercial finance assets such as other asset-backed securities, senior secured corporate loans, lease receivables, trust preferred securities, structured notes and debt tranches of collateralized debt obligations.

About LEAF Commercial Capital, Inc.

LEAF Commercial Capital, Inc. ("LEAF") is a national equipment leasing and finance company headquartered in Philadelphia, PA, with a processing center in Moberly, MO. and a call center in Orange County, CA. LEAF's core competency is the ability to assist vendors and manufacturers in maximizing financing as a revenue generating strategy.

About Eos

Formed in 1994, Eos is a private investment partnership with approximately $2 billion of capital under management. In its private equity activities, Eos' goal is to partner with superior management teams and commit its professionals' collective business experience, network of relationships, strategic judgment, and financial markets expertise in order to elevate these businesses to the next level. For more information, please visit www.eospartners.com.

About Resource America, Inc.

Resource America, Inc. is a specialized asset management company that uses industry specific expertise to generate and administer investment opportunities for its own account and for outside investors in the real estate, commercial finance, and financial fund management sectors. For more information please visit our website at www.resourceamerica.com or contact Marketing and Investor Relations at pkamdar@resourceamerica.com.

About Natixis and Versailles Assets LLC

Versailles Assets LLC is an asset-backed commercial paper conduit administered by Natixis. It is rated A-1/P-1 and provides securitized funding to a wide variety of US clients. Natixis is the corporate, investment and financial services arm of Groupe BPCE, the second-largest banking group in France. With around 22,000 employees, Natixis specializes in three main business lines: Corporate and Investment Banking, Investment Solutions (asset management, insurance, private banking, private equity), and Specialized Financial Services.

Certain matters discussed within this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Resource Capital Corp. believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from expectations include financial performance, regulatory changes, changes in local or national economic conditions and other risks detailed from time to time in the Company's reports filed with the SEC, including quarterly reports on Form 10Q, reports on Form 8-K and annual reports on Form 10-K. Resource Capital Corp. undertakes no obligation to update or revise any forward looking statement to reflect new or changing information or events.