Several factors are contributing to that position. One is the company's plans to privately offer $250 million in senior subordinated notes due 2013 to qualified institutional investors.

LNR anticipates using about $216 million of the proceeds from the sale to redeem its nine 3/8% senior subordinated notes due 2008 at a redemption price of 104.688% of their principal amount plus about $7 million in accrued interest. The rest will be used to reduce secured and unsecured senior debt and toward general corporate purposes.

In addition, LNR is in the process of securitizing non-investment grade commercial mortgage-backed securities (CMBS) with about $763 million in principal amount. About $420 million of these securities, which will be rated investment grade, are offered for sale as collateralized debt obligations (CDO). The sale of the securities will generate more than $300 million in proceeds that will be used to pay down senior secured and unsecured debt, most of which can be re-borrowed. LNR expects this transaction to close in early July.