There are no shortage of bankruptcy considerations that must be understood by an incoming lender who acquires a distressed commercial real estate loan and whose borrower shortly thereafter files for bankruptcy protection. For...more
We recently provided an outline of items to diligence when purchasing a mortgage loan in distress—and separately also discussed issues to diligence when purchasing a mezzanine loan in distress. This post (the third in this...more
Construction loans with companion mezzanine loans raise a host of concerns that are unique to more standard ICAs between a mortgage lender and a mezzanine lender.
An intercreditor agreement (ICA) involving a construction...more
10/27/2020
/ Borrowers ,
Construction Loans ,
Coronavirus/COVID-19 ,
Foreclosure ,
Intercreditor Agreements ,
Loan Transfers ,
Mechanics Lien ,
Mezzanine Lenders ,
Mortgages ,
Real Estate Market ,
Repurchase Options ,
Right To Cure ,
Uniform Commercial Code (UCC)
Mortgage lenders and mezzanine lenders considering amendments to loan documents, forbearance, loan transfers, the exercise of remedies or deeds in lieu of foreclosure, and other loan-related fact patterns will need to revisit...more
A recent court decision in New York found that current market conditions in the real estate market justify delaying noticing mezzanine real estate foreclosures until October 15, 2020.
A recent New York Supreme Court Order...more
In a deed in lieu of foreclosure, a defaulting borrower agrees to convey the mortgaged property to the mortgage lender. But handing over the keys can raise a number of potential pitfalls. Below, we discuss some of these...more
8/13/2020
/ Borrowers ,
Commercial Mortgages ,
Commercial Real Estate Market ,
Coronavirus/COVID-19 ,
Deed-in-Lieu of Foreclosure ,
Deeds ,
Deficiency Judgments ,
Foreclosure ,
Income Taxes ,
Intercreditor Agreements ,
Lenders ,
Mezzanine Lenders ,
Non-Recourse Loans ,
Popular ,
Transfer Taxes
Commercial real estate owners may find relief under the Main Street Lending Program, but with many unable to qualify, the recently introduced HOPE Act, if enacted, will fill a much-needed gap.
Although the possibility may...more
A recent court order found that a mezzanine lender may conduct a UCC foreclosure sale despite a temporary suspension of judicial foreclosures in New York State.
A recent court order interpreting the scope of New York...more