There's only so far the can will be kicked down the road, most distressed property followers believe. Real Capital Analytics reports the number of distressed sellers in the market has ticked up, though Delta Associates believes the properties in distress, foreclosure and lender-owned situations peaked in Q3 at $191 billion and will plateau at less than $200 billion.

Dozens of eager companies and funds have emerged in the past two years to try to capitalize on these properties and loans, along with as many theories on how to go about chasing the elusive deals. Marquette Real Estate Group, based in Minneapolis, is focusing on the teamwork approach, betting that its multi disciplined base can find the right sites, figure out the best reworking methods, arrange iron-clad financing and come out with the best returns on investment.

The company, pulling together expertise from its lending entity Northmarq Capital and development arm United Properties, has formed NorthStar Investment Partners, an investment advisory business. The new firm has already raised $100 million in a joint venture fund to acquire distressed assets or loans in 10 key markets: Atlanta, Washington, DC, Chicago, Minneapolis, Denver, Dallas, Houston, Phoenix, and both Northern and Southern California.