Since then, however, the company says GMAC Commercial Holding has posted record operating results, with origination volume and earnings during the first nine months of 2003 already at or above the levels achieved during the full year of 2002. In addition, the company says, the overall capital markets environment has improved considerably from the difficult environment in 2002 and early 2003.

"Since our evaluation of a possible sale began, the commercial mortgage business has continued to perform extremely well," says GMAC chairman and president Eric A. Feldstein. "In addition, through our recent discussions with major industry participants we now believe that alternative large-scale funding mechanisms should be available without requiring a sale of the business. As a result, we will seek to establish alternative funding mechanisms to provide for the ongoing capital requirements of the commercial mortgage business while providing liquidity relief to GMAC."

On Oct.27, GlobeSt.com reported that Deutsche Bank AG was poised to buy the commercial mortgage business for approximately $1 billion. At that time, Jim Farmer, GMAC spokesman, acknowledged "We are in negotiations for the sale. ... It is an ongoing process and we cannot comment on the specifics at this time."