In terms of dollars, that means about $136 million of the $307-million pool is retail, such as a 471,444-square-foot enclosed regional mall in Texas, and McCarthy says the entire pool is dominated by assets that are up and running. "In any bank portfolio, you might find a healthier mix of broken condominium loans and REO, as well as development and land transactions," he says. "Whereas this sale is almost all vertical assets." He adds that there will probably be more vertical assets coming up for sale than there have been previously.

Most of the assets--which also include about $88 million of multifamily--are generating positive cash flow, although perhaps not to the degree they were before, McCarthy says. "They run a cross-section from no duress to where the occupancy and rent rolls are down and they're struggling." Not surprisingly, there's an emphasis on assets in states "hit a little harder than others" by the recession, including Michigan and Ohio, although some from healthier markets such as Texas and New York.

"We've got a very strong interest in this sale," says McCarthy. He explains that the most competitive bidders tend to be "national players with a domain expertise for the collateral type. Somebody who's a great operator of retail or multifamily, for example, as opposed to a generalist in every property type. And they have a very evolved exit plan for the asset."