Bloomberg notes:

The real-estate investment trust that operates nursing homes in 21 U.S. states pulled its 16.6 million share IPO after seeking $17 to $19 apiece, according to data compiled by Bloomberg. The company planned to use proceeds to repay debt and redeem stakes in an operating unit held by Chairman and Chief Executive Officer Craig Bernfield and co-founder Zev Karkomi's estate, according a regulatory filing.

"It wasn't meeting investors' expectations in pricing," said Joseph Betlej, vice president of St. Paul, Minnesota-based Advantus Capital Management, which oversees $18 billion. Betlej said he was approached about participating in the deal.

What a difference a month makes. It was one short month ago that Blackstone raised over $7 billion selling comparable crap to witless idiots:

While sellers such as Blackstone Group LP reaped $7.4 billion in September and October unloading shares into a stock- market rally that's lifted the Standard & Poor's 500 Index by more than 50 percent from its 12-year low in March, profits for IPO buyers have deteriorated as the stock measure fell for the first time in eight months.

We wish the Merrill REIT underwriting juggernaut better IPO luck in the future after this dismal failure. And if all else fails, there are still at least 20 utterly horrendous REITs that Merrill should have a direct line to Cohen and Steers to presell at least 80% of the offering. However, with short levels a shadow of their March selves, at this point in time a follow offering would likely promptly result in a 50% drop in any given stock price. Which we think the principals of C&S would likely not be too happy with at this very sensitive time.