Cap Trust Closes CDO

Capital Trust Inc., New York, has announced the closing of CT CDO IV, a $489 million collateralized debt obligation supported by commercial mortgage-backed securities and other commercial real estate debt.The finance and investment management company said the CDO consisted of approximately $484 million of secured notes and $5 million of preferred shares. The investment-grade securities, totaling $429 million, were privately placed with third-party investors, and the remaining $60 million of below-investment-grade securities and preferred shares were retained by Capital Trust. The vast majority of the sold notes, $413 million, bear interest at floating rates, the company said.