SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   ___________

                                  SCHEDULE 13G

                                 (Rule 13d-102)

             INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT
          TO RULES 13d-1(b), (c), AND (d) AND AMENDMENTS THERETO FILED
                             PURSUANT TO RULE 13d-2

                              (Amendment No.___)*


                         LUMINENT MORTGAGE CAPITAL INC.
             -------------------------------------------------------
                                (Name of Issuer)


                                  Common Stock
             -------------------------------------------------------
                         (Title of Class of Securities)


                                    550278303
                  --------------------------------------------
                                 (CUSIP Number)


                                 August 8, 2007
             -------------------------------------------------------
             (Date of Event which Requires Filing of this Statement)


         Check the appropriate box to designate the rule pursuant to which this
Schedule is filed:

         [ ]  Rule 13d-1(b)
         [X]  Rule 13d-1(c)
         [ ]  Rule 13d-1(d)


------------------------

      *  The remainder of this cover page shall be filled out for a reporting
person's initial filing on this form with respect to the subject class of
securities, and for any subsequent amendment containing information which would
alter the disclosures provided in a prior cover page.

         The information required on the remainder of this cover page shall not
be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange
Act of 1934 ("Act") or otherwise subject to the liabilities of that section of
the Act but shall be subject to all other provisions of the Act (however, see
the Notes).


CUSIP NO. 550278303
--------------------------------------------------------------------------------
1    NAME OF REPORTING PERSON
     I.R.S. IDENTIFICATION NO. OF ABOVE PERSON

     ASPEN ADVISORS LLC

     13-4118717
--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) [ ]
                                                                         (b) [X]
--------------------------------------------------------------------------------
3    SEC USE ONLY
--------------------------------------------------------------------------------
4    CITIZENSHIP OR PLACE OF ORGANIZATION

     DELAWARE
--------------------------------------------------------------------------------
NUMBER OF                    5    SOLE VOTING POWER
SHARES                            -0-
BENEFICIALLY                      ----------------------------------------------
OWNED BY                     6    SHARED VOTING POWER
EACH REPORT-                      413,050
ING PERSON                        ----------------------------------------------
WITH                         7    SOLE DISPOSITIVE POWER
                                  -0-
                                  ----------------------------------------------
                             8    SHARED DISPOSITIVE POWER
                                  413,050
--------------------------------------------------------------------------------
9    AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

     413,050
--------------------------------------------------------------------------------
10   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
                                                                             [ ]
--------------------------------------------------------------------------------
11   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)

     0.88%
--------------------------------------------------------------------------------
12   TYPE OF REPORTING PERSON

     OO, IA
--------------------------------------------------------------------------------

                                       2


CUSIP NO. 550278303
--------------------------------------------------------------------------------
1    NAME OF REPORTING PERSON
     I.R.S. IDENTIFICATION NO. OF ABOVE PERSON

     SOPRIS CAPITAL ADVISORS, LLC

     20-3177754
--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) [ ]
                                                                         (b) [X]
--------------------------------------------------------------------------------
3    SEC USE ONLY
--------------------------------------------------------------------------------
4    CITIZENSHIP OR PLACE OF ORGANIZATION

     DELAWARE
--------------------------------------------------------------------------------
NUMBER OF                    5    SOLE VOTING POWER
SHARES                            -0-
BENEFICIALLY                      ----------------------------------------------
OWNED BY                     6    SHARED VOTING POWER
EACH REPORT-                      2,054,750
ING PERSON                        ----------------------------------------------
WITH                         7    SOLE DISPOSITIVE POWER
                                  -0-
                                  ----------------------------------------------
                             8    SHARED DISPOSITIVE POWER
                                  2,054,750
--------------------------------------------------------------------------------
9    AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

     2,054,750
--------------------------------------------------------------------------------
10   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
                                                                             [ ]
--------------------------------------------------------------------------------
11   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)

     4.39%
--------------------------------------------------------------------------------
12   TYPE OF REPORTING PERSON

     OO, IA
--------------------------------------------------------------------------------

                                       3


CUSIP NO. 550278303
--------------------------------------------------------------------------------
1    NAME OF REPORTING PERSON
     I.R.S. IDENTIFICATION NO. OF ABOVE PERSON

     SOPRIS PARTNERS SERIES A, of SOPRIS CAPITAL PARTNERS, L.P.

     37-1520276
--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) [ ]
                                                                         (b) [X]
--------------------------------------------------------------------------------
3    SEC USE ONLY
--------------------------------------------------------------------------------
4    CITIZENSHIP OR PLACE OF ORGANIZATION

     DELAWARE
--------------------------------------------------------------------------------
NUMBER OF                    5    SOLE VOTING POWER
SHARES                            -0-
BENEFICIALLY                      ----------------------------------------------
OWNED BY                     6    SHARED VOTING POWER
EACH REPORT-                      1,475,100
ING PERSON                        ----------------------------------------------
WITH                         7    SOLE DISPOSITIVE POWER
                                  -0-
                                  ----------------------------------------------
                             8    SHARED DISPOSITIVE POWER
                                  1,475,100
--------------------------------------------------------------------------------
9    AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

     1,475,100
--------------------------------------------------------------------------------
10   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
                                                                             [ ]
--------------------------------------------------------------------------------
11   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)

     3.15%
--------------------------------------------------------------------------------
12   TYPE OF REPORTING PERSON

     PN
--------------------------------------------------------------------------------

                                       4


CUSIP NO. 550278303
--------------------------------------------------------------------------------
1    NAME OF REPORTING PERSON
     I.R.S. IDENTIFICATION NO. OF ABOVE PERSON

     SOPRIS CAPITAL, LLC

     20-3978493
--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) [ ]
                                                                         (b) [X]
--------------------------------------------------------------------------------
3    SEC USE ONLY
--------------------------------------------------------------------------------
4    CITIZENSHIP OR PLACE OF ORGANIZATION

     DELAWARE
--------------------------------------------------------------------------------
NUMBER OF                    5    SOLE VOTING POWER
SHARES                            -0-
BENEFICIALLY                      ----------------------------------------------
OWNED BY                     6    SHARED VOTING POWER
EACH REPORT-                      1,475,100
ING PERSON                        ----------------------------------------------
WITH                         7     SOLE DISPOSITIVE POWER
                                   -0-
                                  ----------------------------------------------
                             8    SHARED DISPOSITIVE POWER
                                  1,475,100
--------------------------------------------------------------------------------
9    AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

     1,475,100
--------------------------------------------------------------------------------
10   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
                                                                             [ ]
--------------------------------------------------------------------------------
11   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)

     3.15%
--------------------------------------------------------------------------------
12   TYPE OF REPORTING PERSON

     OO
--------------------------------------------------------------------------------

                                       5


CUSIP NO. 550278303
--------------------------------------------------------------------------------
1    NAME OF REPORTING PERSON
     I.R.S. IDENTIFICATION NO. OF ABOVE PERSON

     NIKOS HECHT
--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) [ ]
                                                                         (b) [X]
--------------------------------------------------------------------------------
3    SEC USE ONLY
--------------------------------------------------------------------------------
4    CITIZENSHIP OR PLACE OF ORGANIZATION

     UNITED STATES
--------------------------------------------------------------------------------
NUMBER OF                    5    SOLE VOTING POWER
SHARES                            -0-
BENEFICIALLY                      ----------------------------------------------
OWNED BY                     6    SHARED VOTING POWER
EACH REPORT-                      2,467,800
ING PERSON                        ----------------------------------------------
WITH                         7    SOLE DISPOSITIVE POWER
                                  -0-
                                  ----------------------------------------------
                             8    SHARED DISPOSITIVE POWER
                                  2,467,800
--------------------------------------------------------------------------------
9    AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

     2,467,800
--------------------------------------------------------------------------------
10   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
                                                                             [ ]
--------------------------------------------------------------------------------
11   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)

     5.27%
--------------------------------------------------------------------------------
12   TYPE OF REPORTING PERSON

     IN
--------------------------------------------------------------------------------

                                       6


Item 1.
         (a)      Name of Issuer:

                  Luminent Mortgage Capital Inc.

         (b)      Address of Issuer's Principal Executive Offices:

                  One Market, Spear Tower, 30th Floor
                  San Francisco, CA 94105

Item 2.
         (a)      Name of Persons Filing:

                  Aspen Advisors LLC ("Aspen Advisors")
                  Sopris Capital Advisors, LLC ("Sopris Advisors")
                  Sopris Partners Series A, of Sopris Capital Partners, L.P.
                  ("Sopris Partners")
                  Sopris Capital, LLC ("Sopris Capital")
                  Nikos Hecht
                  (collectively, the "Reporting Persons")

         (b)      Address of Principal Business Office or, if none, Residence:

                  The principal business office of Aspen Advisors is 152 West
         57th Street, New York, NY, 10019. The principal business office of each
         of Sopris Advisors, Sopris Partners, Sopris Capital and Mr. Hecht is
         314 S. Galena Street, Suite 300, Aspen, CO 81611.

         (c)      Citizenship:

                  Aspen Advisors, Sopris Advisors and Sopris Capital are
         Delaware limited liability companies. Sopris Partners is a Delaware
         limited partnership. Mr. Hecht is a citizen of the United States.

         (d)      Title of Class of Securities:

                  Common Stock

         (e)      CUSIP Number:

                  550278303

Item 3.  If this Statement is Filed Pursuant to Rule 13d-1(b), or 13d-2(b) or
         (c), Check Whether the Person Filing is a:

         (a) [ ]  Broker or dealer registered under Section 15 of the Exchange
                  Act.
         (b) [ ]  Bank as defined in Section 3(a)(6) of the Exchange Act.
         (c) [ ]  Insurance company as defined in Section 3(a)(19) of the
                  Exchange Act.
         (d) [ ]  Investment company registered under Section 8 of the
                  Investment Company Act.
         (e) [ ]  An investment adviser in accordance with Rule
                  13d-1(b)(1)(ii)(E);
         (f) [ ]  An employee benefit plan or endowment fund in accordance with
                  Rule 13d-1(b)(1)(ii)(F);
         (g) [ ]  A parent holding company or control person in accordance with
                  Rule 13d-1(b)(1)(ii)(G);
         (h) [ ]  A savings associations as defined in Section 3(b) of the
                  Federal Deposit Insurance Act;
         (i) [ ]  A church plan that is excluded from the definition of an
                  investment company under section 3(c)(14) of the Investment
                  Company Act;
         (j) [ ]  Group, in accordance with Rule 13d-1(b)(1)(ii)(J).

                                       7


Item 4.  Ownership.

Provide the following information regarding the aggregate number and percentage
of the class of securities of the issuer identified in Item 1.

         (a)      Amount beneficially owned:

                  Aspen Advisors:                                      413,050
                  Sopris Advisors:                                     2,054,750
                  Sopris Partners and Sopris Capital:                  1,475,100
                  Mr. Hecht:                                           2,467,800

         (b)      Percent of class:

                  Aspen Advisors:                                      0.88%
                  Sopris Advisors:                                     4.39%
                  Sopris Partners and Sopris Capital:                  3.15%
                  Mr. Hecht:                                           5.27%

         (c)      Number of shares as to which the person has:

                  (i)      Sole power to vote or to direct the vote:

                           Aspen Advisors:                             -0-
                           Sopris Advisors:                            -0-
                           Sopris Partners and Sopris Capital:         -0-
                           Mr. Hecht:                                  -0-

                  (ii)     Shared power to vote or to direct the vote:

                           Aspen Advisors:                             413,050
                           Sopris Advisors:                            2,054,750
                           Sopris Partners and Sopris Capital:         1,475,100
                           Mr. Hecht:                                  2,467,800


                                       8


                  (iii)    Sole power to dispose or to direct the disposition
                           of:

                           Aspen Advisors:                             -0-
                           Sopris Advisors:                            -0-
                           Sopris Partners and Sopris Capital:         -0-
                           Mr. Hecht:                                  -0-

                  (iv)     Shared power to dispose or to direct the disposition
                           of:

                           Aspen Advisors:                             413,050
                           Sopris Advisors:                            2,054,750
                           Sopris Partners and Sopris Capital:         1,475,100
                           Mr. Hecht:                                  2,467,800


         Of the shares reported as beneficially owned in this Schedule 13G,
1,475,100 shares are owned directly by Sopris Partners and 413,050 shares are
owned by private clients of Aspen Advisors and 579,650 shares are owned by
private clients of Sopris Advisors. Sopris Capital is the general partner of
Sopris Partners and, as such, may be deemed to share beneficial ownership of the
Common Stock owned directly by Sopris Partners. Mr. Hecht is the managing member
of each of Aspen Advisors and of Sopris Advisors and the sole member of the
managing member of Sopris Capital. As the managing member of Aspen Advisors and
Sopris Advisors, the sole member of the managing member of Sopris Capital and
the owner of a majority of the membership interests in each of Sopris Capital,
Aspen Advisors and of Sopris Advisors, Mr. Hecht may be deemed to be the
controlling person of Sopris Capital, Aspen Advisors and of Sopris Advisors, and
through Sopris Capital, Sopris Partners. Each of Aspen Advisors and Sopris
Advisors, as investment manager for their respective private clients, and with
respect to Sopris Advisors, also as investment manager for Sopris Partners, has
discretionary investment authority over the Common Stock held by their
respective private clients and Sopris Partners, as applicable. Accordingly, Mr.
Hecht may be deemed to be the beneficial owner of the Common Stock held by
Sopris Partners and the private clients of Aspen Advisors and Sopris Advisors.
Each of Sopris Partners and Sopris Capital disclaims any beneficial interest in
the Common Stock owned by the accounts managed by Sopris Advisors and Aspen
Advisors.

Item 5.  Ownership of Five Percent or Less of a Class.

                                 NOT APPLICABLE

Item 6.  Ownership of More than Five Percent on Behalf of Another Person.

         Each of Aspen Advisors and Sopris Advisors serves as an investment
manager for private clients, none of which, individually hold more than 5% of
the Common Stock of the Issuer.

Item 7.  Identification and Classification of the Subsidiary Which Acquired the
         Security Being Reported on By the Parent Holding Company or Control
         Person.

                                 NOT APPLICABLE

Item 8.  Identification and Classification of Members of the Group.

                                 NOT APPLICABLE

                                       9


Item 9.  Notice of Dissolution of Group.

                                 NOT APPLICABLE

Item 10. Certification.

         By signing below I certify that, to the best of my knowledge and
belief, the securities referred to above were not acquired and are not held for
the purpose of or with the effect of changing or influencing the control of the
issuer of the securities and were not acquired and are not held in connection
with or as a participant in any transaction having that purpose or effect.

Materials to be filed as Exhibits

Exhibit A         Joint Filing Agreement, dated as of August 13, 2007, by and
                  among the Reporting Persons.



                                       10


                                    SIGNATURE

         After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.

Dated: August 13, 2007

                                       SOPRIS PARTNERS SERIES A, of SOPRIS
                                       CAPITAL PARTNERS, L.P.

                                       By:  SOPRIS CAPITAL, LLC
                                            Its general partner

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Sole Member of the Managing
                                                  Member


                                       SOPRIS CAPITAL, LLC

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Sole Member of the Managing
                                                  Member


                                       ASPEN ADVISORS LLC

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Managing Member


                                       SOPRIS CAPITAL ADVISORS, LLC

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Managing Member


                                       /s/ NIKOS HECHT
                                       -----------------------------------------
                                       Nikos Hecht



                                    EXHIBIT A

                             JOINT FILING AGREEMENT

         The undersigned acknowledge and agree that the foregoing statement on
Schedule 13G is filed on behalf of each of the undersigned and that all
subsequent amendments to this statement on Schedule 13G shall be filed on behalf
of each of the undersigned without the necessity of filing additional joint
acquisition statements. The undersigned acknowledge that each shall be
responsible for the timely filing of such amendments, and for the completeness
and accuracy of the information concerning him or it contained therein, but
shall not be responsible for the completeness and accuracy of the information
concerning the other, except to the extent that he or it knows or has reason to
believe that such information is accurate.

Dated this 13th day of August, 2007.


                                       SOPRIS PARTNERS SERIES A, of SOPRIS
                                       CAPITAL PARTNERS, L.P.

                                       By: SOPRIS CAPITAL, LLC
                                           Its general partner

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Sole Member of the Managing
                                                  Member


                                       SOPRIS CAPITAL, LLC

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Sole Member of the Managing
                                                  Member


                                       ASPEN ADVISORS LLC

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Managing Member




                                       SOPRIS CAPITAL ADVISORS, LLC

                                       By: /s/ NIKOS HECHT
                                           -------------------------------------
                                           Name:  Nikos Hecht
                                           Title: Managing Member


                                       /s/ NIKOS HECHT
                                       -----------------------------------------
                                       Nikos Hecht