Fitch Ratings Returns Decision on C-III Investment Management LLC CDO Transfers

Fitch Ratings, a global credit rating company, reached its decision regarding C-III Investment Management LLC collateralized debt obligation (CDO) transfers. The credit rating company decided that C-III meets all the criteria necessary for becoming a potential replacement CDO collateral asset manager. In April, Fitch Ratings was notified of two possible transfers — Nomura CRE CDO 2007-2 and AMAC CDO Funding I — of CDOs from C-III Asset Management LLC to C-III Investment Management.

Though as a rating company, Fitch Ratings is not a party to the transfers, and thus does not approve or consent to them, Fitch Ratings has confirmed that C-III Investment Management meets the minimum criteria. Fitch Ratings’ criteria for evaluation can be found on its website in two separate documents, “Global Structured Finance Rating Criteria” from August 13, 2010 and in the special report “CDO Asset Managers: U.S. Replacement Activity Update” dated December 9 of last year.

C-III Investment Management is a subsidiary of Andrew Farkas’ C-III Capital Partners LLC, which manages about $2 billion in invested capital and has offices in both New York and Texas. Island Capital Group LLC,  led by Andrew Farkas, is C-III Capital Partners’ controlling company.