Congrats! Lehman's Ex-Mortgage Banking Chief Nabs 10-Room Condo for $5.25 M.

Capitalism is a cruel, cruel thing. According to city records filed today, Kurt A. Locher, formerly a Lehman Brothers managing director and the head of its mortgage banking, bought a $5.25 million apartment at 500 West End Avenue.

According to a listing, the five-bedroom apartment was "one of the largest and grandest homes on the market on the Upper West Side," with a formal dining room, a maid's room, a living room, a library, and a windowed, eat-in chef's kitchen "large enough to serve a growing family or entertain like a professional!"

Mr. Locher reportedly left earlier this year for Lehman's billion-dollar hedge fund, One William Street Capital, which was founded with something called a "heavy distressed focus." According to a report, they trade "collateralized debt obligations, asset-backed securities and non-performing loans." Sounds lucrative!

Mr. Locher, whose old place on Park Avenue is still on the market, closed on Sept. 26, which means he made the purchase knowing his old firm had tanked. According to city records, he took out a $3,225,000 mortgage.