Morgan Stanley Investment Management Inc. of New York announced it has entered into an agreement to acquire Brentwood-based real estate investment lending firm Mesa West Capital.

The transaction is subject to closing conditions, including obtaining regulatory approvals and investor consents, and is expected to close in the fourth quarter of 2017, Morgan Stanley said.

Mesa West, with more than $5 billion in gross assets under management, is expected to add a “premiere commercial real estate credit platform to MSIM’s existing investment strategies and product offerings across real assets and private credit,” Morgan Stanley said.

Mesa West will retain its brand and operate as a separate business unit within Morgan Stanley’s real assets group, which manages $47 billion of client assets, the companies said. Its headquarters will remain in Brentwood, and Mesa West senior management, led by co-founders Jeff Friedman and Mark Zytko, will continue to manage the company, Morgan Stanley said.

“MSIM is the ideal long-term strategic partner for Mesa West,” Jeff Friedman and Mark Zytko, co-founders of Mesa West, said in a joint statement. “Its strong commitment to real estate and deep global relationships and resources will help us continue to provide the best solutions and investment performance for our investors and long-term opportunities for our team.”

Real estate reporter Neil Nisperos can be reached at [email protected]. Follow him on Twitter @ReporterNeil for the latest in L.A. real estate news.