Loan Workouts
The Commercial Finance & Banking Practice Group, along with members of the Business Reorganization Practice Group, provides counsel to banks and other financial institutions in loan workouts and recapitalizations. We protect our clients’ interests while being creative in our approach to finding solutions.
Experience
- Acquisition of 15-story apartment/mixed-use property by deed-in-lieu of foreclosure of a $32 Million mortgage (represented the lender).
- Represented an investor/developer in purchasing a $14.4 Million loan in foreclosure secured by a mortgage on a 134,000 square foot office building and multi-story parking garage, and then acquiring the properties at the foreclosure sale.
- Represented borrowers and lenders in deed-in-lieu of foreclosure transactions involving shopping centers and office/warehouse properties.
- Represented a developer in purchasing a $18.2 Million loan in foreclosure secured by a mortgage on a shopping center development in Florida that was under construction. The transaction included dealing with the borrower’s mezzanine lender, development agreements with an anchor retailer developing its own pad within the shopping center, entitlement, concurrency and permit issues, and millions of dollars in mechanic’s liens. Also represented the developer/purchaser in financing the purchase of the distressed loan.
- Represented the lender in negotiating a forbearance agreement with a borrower on a loan secured by a mortgage on a shopping center. The forbearance agreement addressed cash-flow issues due to tenant vacancies, deferred maintenance, delinquent real estate taxes and failure to fund the required escrows.
- Represented a lender in the forbearance and modification of two distressed bridge loans to two affiliated borrowers to provide additional predevelopment capital, cross-collateralize the two loans and provide additional security to the lender.
- Represented national financial institution in an $8,000,000 loan restructuring with a hotel operator.
- Represented a national financial institution in a $3,500,000 multi-subdivision loan workout with a home builder.
