Bear Stearns this month will bring to market a $300 million commercial real estate CDO. The deal, Vertical CRE CDO 2006-1, will be the first CRE CDO managed by Banc of America subsidiary Vertical Capital, which has six deals in the market totaling $4 billion. The most recent offering was the Vertical ABS CDO 2006-1, which closed last month, according to Standard and Poor's.
Vertical, which industry veterans Brett Graham and Tom Pearce manage, is mulling the possibility of becoming a registered investment advisor once it completes its asset management business plan, Fitch Ratings said. The company has not co-invested in any of its CDOs to date.