Real Estate Investor Shops Static CDO

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  • 23 Jun 2003
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LNR Property Corp., a commercial mortgage-backed investor, is preparing its second collateralized debt obligation of underlying structured finance bonds, according to market professionals. The Miami Beach, Fla.-based company is shopping notes in a $763 million static offering that will be used primarily as a balance sheet funding vehicle. LNR will use the proceeds to buy lower-rated CMBS. John Malysa, a managing director at Fitch Ratings, notes spreads on underlying CMBS have tightened to the point where executing a CMBS-backed CDO for arbitrage reasons would be hard to do. LNR, which did a similar deal about a year ago, will issue the CDO to fund purchases of CMBS paper rated single-B plus and below, Malysa says.

Bob Cherry, LNR's head of CMBS acquisition and finance who was recently promoted to cio, and Scott Waynebern, director of the CDO syndicate at underwriter Deutsche Bank, did not return calls.

 

  • 23 Jun 2003

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 BNP Paribas 15,256 32 17.31
2 Bank of America Merrill Lynch (BAML) 9,637 29 10.93
3 Citi 8,264 22 9.37
4 Lloyds Bank 7,329 24 8.31
5 JP Morgan 6,580 10 7.46

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Citi 130,254.20 381 11.03%
2 Bank of America Merrill Lynch 104,440.37 307 8.85%
3 JPMorgan 103,862.77 304 8.80%
4 Wells Fargo Securities 93,728.92 276 7.94%
5 Credit Suisse 76,912.30 210 6.51%