. . . continuing my discussion with Nelson Block** on the basic and important question of collateral descriptions: Keith: Pick one of the biggest changes or trends over the last 15 years on the topic of collateral descriptions. Nelson: In the last decade, with the rise of single asset developments, there should be no reason to limit… Continue Reading
Tag Archives: Workout
Free Information On Hot Topics; But What Is Missing?
Posted in Tough Times for Lenders, TrainingIn-house counsel and managers\directors understand that law firms have useful information that literally "sits" around law firms—used once or twice, and then forgotten or even misplaced by their lawyers (One of the dark secrets in the legal world is that law firms are horrible at the one thing they sell: knowledge and management of it)…. Continue Reading
The Tax Man Cometh: Webinar on Federal Tax Treatment of Debt in Workouts
Posted in Tax Issues, TrainingPeriodically, we post commentary on this important topic. Frankly, it can literally drive the structure of a workout, and most certainly the timing of it. And as painful as this is to admit (because I’ve really started to like writing on ToughTimes), reading this text might be a little "dry" or even tiresome (although I do try… Continue Reading
The Ox and the Ditch: FAQ – Reduce the Commitment? Monthly Statements? New Written Agreements?
Posted in 1 Guest Writers, Tough Times for Lenders, Training, Workout IssuesGuest Writer: Brenda Brown, Winstead PC More from ourTough Times FAQs series: FAQ #4 – Do I need to reduce the commitment amount after sending a Notice of Default? Typically, no – once the loan is declared to be in default, or once the maturity of the loan is accelerated, the lender has no on-going funding… Continue Reading
Should a Borrower Intentionally Default on a CMBS Loan?
Posted in 1 Guest Writers, Remedies, Tough Times for Lenders, Workout IssuesBy Guest Writer – Christopher T. Nixon, Winstead PC CMBS Master Servicers typically lack the ability to modify a CMBS loan to preemptively address a potential loan problem. A CMBS borrower frustrated with such inability may elect to purposefully default on the loan to circumvent the restrictions placed on the Master Servicer and force the… Continue Reading
What workout topics interest you? Any inside scoop?
Posted in Guaranty Issues, Lender Liability, Remedies, Tough Times for Lenders, Training, Workout IssuesOnce a month, our regular group of authors discuss topics that we view as being of interest (the "hot" topics) in the commercial loan workout arena. We then hash out a list of what we’ll write on for the next month. Identifying "hot" workout topics can be a dangerous thing for lawyers. Yes, we – are active in… Continue Reading
Capital Gain Tax and Ordinary Income Debt Forgiveness As Tools for the Real Estate Workout
Posted in Tax Issues, Tough Times for LendersA straw in the wind; tax consequences will form the battleground, and be very actively in play on the negotiation table between owners, with relatively low adjusted basis in their commercial real estate projects, and lenders attempting to foreclose or otherwise enforce their lien rights with respect to commercial real property. Foreclosure as a triggering… Continue Reading