Cerberus Bails on Equity Office

Cerberus Capital Management reportedly has dropped out of a group considering a rival offer for commercial real estate giant Equity Office. The consortium still includes Vornado Realty Trust, Starwood Capital and Walton Street Capital, but it is unclear if it will still be able to make an offer. The Blackstone Group agreed last year to acquire Equity Office for $36 billion (including $16 billion in assumed debt). It was believed that the rival bid would be in excess of $38 billion. www.equityoffice.com