UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): ~~December~~January 2214, ~~2009~~2010 (~~December~~January 178, ~~2009~~2010)

JER Investors Trust Inc.

(Exact Name of Registrant as Specified in Charter)

Maryland	001-32564	75-3152779
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)
1650 Tysons Boulevard, Suite 1600, McLean, VA		22102
(Address of Principal Executive Offices)		(Zip Code)


1650 Tysons Boulevard, Suite 1600, McLean, VA		22102
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s telephone number, including area code (703) 714-8000

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

¨	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 12.0104 ~~Entry~~Triggering ~~into~~Events That Accelerate or Increase a ~~Material~~Direct ~~Definitive~~Financial ~~Agreement~~Obligation or an Obligation under an Off-Balance Sheet Arrangement.

On ~~December 21~~January 8, ~~2009~~2010, ~~JERIT~~an ~~Finance~~event Coof ~~JPM,~~default ~~LLC~~occurred ~~(“JERIT~~under ~~Finance”),~~the aISDA ~~wholly~~Master ~~owned~~Agreement ~~subsidiary~~between of JER Investors Trust Inc. (the “Company”), ~~amended~~and ~~its~~National ~~Master~~Australia ~~Repurchase~~Bank ~~Agreement~~Limited ~~with J.P. Morgan Securities Inc.~~ (“~~J.P. Morgan~~NAB”), dated as of ~~September 12~~December 1, ~~2008~~2004, as amended on ~~December~~March 3, 172009, July 9, ~~2008 (the “Repurchase Agreement”) to (i) extend the term of the Repurchase Agreement through January 22~~2009, October 7, ~~2010~~2009 ~~(the~~and ~~prior maturity date was~~ December 22 7, 2009); ~~and~~ (~~ii) provide that all Income (as defined in~~ the ~~Repurchase~~ “Swap Agreement”) ~~on the assets sold to J~~.P. ~~Morgan~~The beCompany ~~applied~~failed to ~~reduce~~make ~~the~~a ~~amount~~payment ~~owed by JERIT Finance upon its repurchase~~ of ~~such~~$75,000 ~~assets~~due ~~rather~~on ~~than be paid or credited to JERIT Finance. On the same date~~January 4, ~~the Guaranty~~2010, ~~dated as~~ of ~~September~~which ~~12,~~it ~~2008,~~received asnotice ~~amended~~from NAB on ~~September 26~~January 5, ~~2008~~2010. ~~and~~The ~~December~~Swap ~~17,~~Agreement ~~2008,~~provides ~~between~~for ~~the~~remaining ~~Company~~monthly ~~and~~payments ~~J.P.~~from ~~Morgan (~~the ~~“Guaranty”),~~Company ~~which~~to ~~was~~NAB ~~entered into in~~of ~~conjunction with the Repurchase Agreement~~$654,933 ~~was~~commencing ~~also~~in ~~amended~~February to2010 ~~(i)~~through ~~remove the leverage~~ and ~~tangible~~including ~~net~~September ~~worth~~2010, ~~covenants applicable to the Company;~~ and ~~(ii)~~monthly ~~reduce~~payments ~~the~~of ~~liquidity covenant applicable to the Company to~~ $~~150~~384,~~000.~~134 ~~JERIT~~commencing ~~Finance’s borrowings~~in ~~under~~October ~~the~~2010 ~~Repurchase~~through ~~Agreement~~and ~~were~~including $7March ~~million as of December 21, 2009~~2016.

~~The~~Upon ~~Company~~the ~~believes~~occurrence ~~that~~of itthe isevent ~~unlikely~~ of default, NAB has the ~~Repurchase~~right to designate an Early Termination Date (as defined in the Swap Agreement) ~~will~~following benotice ~~extended~~to orthe ~~renewed~~Company bywithin J20 days.P. ~~Morgan~~The ~~upon~~Company has not received notice from NAB of its ~~amended~~designation ~~maturity~~of ~~date~~an Early Termination Date. Upon ~~maturity~~an ofEarly ~~the~~Termination ~~Repurchase Agreement~~Date, the ~~collateral~~Company ~~that~~would ~~serves~~become asobligated ~~security~~to ~~for~~pay to NAB (i) the ~~Repurchase~~$75,000 ~~Agreement~~originally ~~may~~due beon ~~liquidated~~January 4, or2010 ~~seized~~plus byinterest ~~J.P. Morgan~~on insuch ~~order~~amount to the ~~satisfy~~Early ~~outstanding~~Termination ~~borrowings~~Date, ~~under~~and (ii) either the ~~Repurchase~~market ~~Agreement.~~value Toof ~~the~~a ~~extent~~swap ~~that~~agreement ~~the~~providing ~~proceeds~~NAB ofwith the ~~liquidation~~economic orequivalent ~~credit~~of ~~for~~ the ~~seizure~~remaining ofpayments ~~such~~due ~~collateral~~by ~~are~~the ~~insufficient~~Company tounder ~~satisfy~~the ~~outstanding~~Swap ~~borrowings~~Agreement or, ~~and~~if ~~JERIT~~such ~~Finance~~ value is not ~~able~~determinable, tothe ~~finance~~value of orNAB’s ~~refinance~~loss ~~such~~as ~~deficiency,~~determined Jby NAB.P. ~~Morgan~~The ~~could~~aggregate ~~make~~amount aof ~~further~~remaining ~~claim~~undiscounted ~~against~~payments owed by the Company ~~for~~to NAB under the ~~difference~~Swap asAgreement (excluding the ~~Repurchase~~amount ~~Agreement~~due ison ~~fully~~January 4, ~~recourse~~2010) tois ~~the~~$30.6 ~~Company~~million.

~~The~~JERIT ~~Guaranty~~Finance Co JPM, LLC (“JERIT Finance”), a wholly owned subsidiary of the ~~Second~~Company, ~~Amendment~~maintains ~~thereto~~a Master Repurchase Agreement with J.P. Morgan Securities Inc. (“J.P. Morgan”), dated as of September 12, 2008, as amended on December 17, 2008 and December 21, 2009 (the “Repurchase Agreement”). ~~were~~The ~~filed~~Company provided a Guaranty, dated as ~~Exhibits~~of September 12, ~~10.1~~2008, ~~10.2~~as amended on September 26, 2008, December 17, 2008 and ~~10.3~~December 21, ~~respectively~~2009 (the “Guaranty”), to J.P. Morgan in respect of JERIT Finance’s obligations under the Repurchase Agreement. JERIT ~~Company~~Finance’s ~~Current~~borrowings ~~Report~~under onthe ~~Form~~Repurchase ~~8-K~~Agreement ~~filed~~were onapproximately ~~December~~$7 23million as of January 8, ~~2008~~2010.

~~Item~~The Repurchase 8Agreement provides that a default which permits the acceleration of the Company’s indebtedness (including the Swap Agreement) of at least $1.010 ~~Other~~million ~~Events~~would also constitute an event of default under the Repurchase Agreement, thereby permitting an acceleration of JERIT Finance’s obligations under the Repurchase Agreement. Upon any such acceleration, if elected by J.P. Morgan, the collateral that serves as security for the Repurchase Agreement may be liquidated or seized by J.P. Morgan in order to satisfy JERIT Finance’s outstanding borrowings. To the extent that the proceeds of the liquidation or credit for the seizure of such collateral are insufficient to satisfy outstanding borrowings, and JERIT Finance is not able to finance or refinance such deficiency, J.P. Morgan could make a further claim against the Company for the difference as the Repurchase Agreement is fully recourse to the Company.

~~On December~~The 17Guaranty, ~~2009,~~ the ~~Company~~Second ~~failed~~Amendment tothereto, ~~fund~~and athe ~~capital~~Repurchase ~~call~~Agreement ~~issued~~were byfiled ~~JER~~as USExhibits ~~Debt Co-Investment Vehicle~~10.1, L10.P.2 ~~(the~~and ~~“US Debt Fund”) on November 25~~10.3, ~~2009 in the amount of $2~~respectively,~~667,273,~~ ~~which amount was attributable~~ to the Company’s ~~status~~ asCurrent aReport ~~limited~~on ~~partner~~Form of8-K ~~the~~filed USon ~~Debt~~December 23, ~~Fund~~2008. OnThe ~~the~~Second ~~same~~Amendment ~~date,~~to the ~~Company~~Repurchase ~~funded~~Agreement ~~such~~and ~~capital call in~~ the ~~amount~~Third ofAmendment ~~$60,000, which amount was attributable~~ to the ~~Company’s~~Guaranty ~~status~~were filed as aExhibits ~~limited~~10.1 ~~partner~~and ~~of JER Debt Co-Investment Advisors, L~~10.P.2, ~~the general partner of the US Debt Fund (the “General Partner”). On November 25~~respectively, ~~2009~~to the Company,’s inCurrent Report ~~its~~on ~~capacity~~Form as8-K afiled ~~limited partner of the US Debt Fund, failed to fund a prior capital call issued by the US Debt Fund~~ on ~~November 11~~December 22, 2009 ~~in the amount of $620,870~~.

OnThe ~~December~~Company 7,does ~~2009,~~not ~~the~~expect ~~General~~that ~~Partner~~it ~~notified~~would ~~the~~have ~~limited~~sufficient ~~partners~~liquid ofassets available ~~the~~to USpay ~~Debt Fund~~its ~~other~~obligations ~~than~~under the ~~Company~~Swap ofAgreement or the ~~failure~~Guaranty byif ~~the~~they ~~Company~~were asto abe ~~limited~~accelerated. ~~partner~~Unless of the USCompany ~~Debt~~were ~~Fund~~ to ~~fund~~obtain ~~the~~additional ~~November 11, 2009~~ capital ~~call~~resources ~~and~~or ~~the~~waivers ~~Company’s~~from ~~anticipated~~NAB ~~failure~~or toJ.P. ~~fund~~Morgan, ~~the capital call of November 25~~respectively, ~~2009.~~regarding ~~The~~their ~~General~~rights to ~~Partner~~accelerate ~~also~~such ~~announced~~obligations, the ~~remedies~~Company ~~that~~would itbe ~~was~~unable ~~imposing~~to onfund ~~the~~its ~~Company~~operations ~~with~~or ~~respect~~continue to its ~~limited~~business, ~~partnership~~in ~~interest~~which incase the USCompany ~~Debt~~could ~~Fund~~be ~~pursuant~~subject to ~~the~~reorganization ~~Amended~~or ~~and~~liquidation. ~~Restated~~Management’s ~~Limited~~assessment ~~Partnership Agreement~~ of the USCompany’s ~~Debt~~liabilities ~~Fund, which was filed as~~and ~~Exhibit 10.1 to~~ the ~~Current~~current ~~Report~~market onvalue ~~Form 8-K~~of ~~filed by~~ the Company’s onassets ~~December~~suggests 17that, ~~2007,~~in ~~as modified by~~ the ~~First~~event ~~Amendment~~of ~~thereto,~~such ~~which~~a ~~was~~reorganization ~~filed~~or asliquidation ~~Exhibit~~of ~~10.1~~the toCompany, the ~~Current~~Company’s ~~Report~~stockholders onwould ~~Form 8-K~~not ~~filed~~receive byany value and the Company’s onunsecured ~~December~~creditors ~~10,~~would ~~2008~~receive ~~(the~~little ~~“LP~~if ~~Agreement”)~~any value.

The General Partner imposed the following remedies on the Company as a limited partner of the US Debt Fund: (i) the Company became subject to interest charges on its unpaid capital calls at the prime rate plus 2% until such capital calls are met, such amount to be deducted from any distributions owing to the Company as a limited partner; (ii) the Company was assessed 25% of its Capital Account (as defined in the LP Agreement), such amount to be distributed to the limited partners of the US Debt Fund other than the Company; (iii) the Company’s rights to participate in any vote, consent or decision of the limited partners of the US Debt Fund has been eliminated; and (iv) the Company’s limited partnership interest in the US Debt Fund was offered for sale to other limited partners at a price equal to 75% of the Company’s Capital Account.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

10.1		Second Amendment, dated December 21, 2009, to Master Repurchase Agreement, dated September 12, 2008, between JERIT Finance Co JPM, LLC and J.P. Morgan Securities Inc.
10.2		Third Amendment, dated December 21, 2009, to Guaranty, dated December 18, 2008, between JER Investors Trust Inc. and J.P. Morgan Securities Inc.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	JER Investors Trust Inc.
	(Registrant)
Date: December 22, 2009	By:	/S/ J. MICHAEL MCGILLIS
Date: January 14, 2010	By:	/S/ J. MICHAEL MCGILLIS
	Name:	J. Michael McGillis
	Title:	Chief Financial Officer

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