Newcomer reports continued strong performance.

New York-based W Financial Mortgage Fund I, LLC has completed its second full year of operations, having posted an 11.27% net return in 2004 and a 12.37% net return for the first quarter of 2005, with similar results expected for the second quarter of 2005.

Open only to accredited investors, W Financial Mortgage Fund is a high-yield, first-mortgage, bridge and mezzanine real estate lender focusing on East Coast loan opportunities.

Investors (which currently include individuals, IRA's, Trusts, and corporate entities) receive their proportionate share of the aggregate interest payments generated by the mortgage portfolio as outlined in the Offering Memorandum. The Fund has an open structure that permits new investors to subscribe and invest throughout the life of the Fund. Investors can at their discretion receive quarterly distributions of interest or may reinvest the dividends. Thus, W Financial Mortgage Fund I, LLC can be an excellent way to achieve some well-protected, real estate-secured diversification in an overall investment portfolio.

Fund Manager Gregg Winter has 16 years of experience originating and servicing this type of high-yield debt. Mr. Winter is also President of Winter & Company, a full-service commercial mortgage brokerage firm, which is an important source of many of the Fund's new loan opportunities. Key elements of high-yield lending include the lender's ability to analyze and close a loan much more quickly than a bank, and to consider value-added scenarios where the sponsor's skill and ability to execute a business plan are critical to a project's success.

Typical W Fund loan scenarios include properties in transition, such as the acquisition of a vacant building that will be renovated and then, once the units are rented, refinanced with a bank.