Real Estate Trust Loses $12 Million in 3rd Quarter

Mortgage & Realty Trust, an ailing real estate investment trust, said it lost $12.6 million in its fiscal third quarter ended June 30, compared with a $3.6-million loss a year earlier.

The trust, which has executive offices in Burbank and Elkins Park, Pa., said the latest loss stemmed from an $11-million provision for losses on its real estate loans and investments.

“Deterioration in real estate values caused by generally lower rental rates, oversupply of space and the lack of liquidity in the real estate industry persists,” said the trust, which has invested assets of $450 million.

For the first nine months of its fiscal year, Mortgage & Realty lost $24.8 million. A year earlier, it lost $20.1 million.