Participants in today’s commercial real estate market face the combined challenges of decreased liquidity, stricter underwriting standards and compressed real estate valuations. Bryan Cave’s Distressed Assets Team helps borrowers, lenders, special servicers of securitized commercial mortgages and other market players find solutions in an increasingly difficult environment.
Drawing upon the firm’s traditionally strong real estate practice, we are comfortable with the many complex issues that arise in distressed representations. The transactional lawyers and litigators in our group work closely with clients to design the best approach to resolve troubled real estate investments and strive for consensual resolution whenever possible.
Our experience includes:
- Chapter 11 bankruptcy cases and out-of-court workouts
- Bankruptcy sales and other distressed real estate transactions
- Portfolio loan sales and purchases
- Complex intercreditor issues
- Creditor’s rights and enforcement litigation
- Representation of an institutional lender in connection with its approximately $550 million sale to a private equity firm of its resort portfolio consisting of mostly defaulted timeshare loans to project sponsors.
- Representation of a private equity fund in its acquisition of a defaulted senior mezzanine loan secured by the equity interests in a portfolio of 7 hotels.
- Ongoing representation of a private equity fund in its acquisition of a defaulted mortgage loan secured by a portfolio of 48 limited service hotels located in 21 states, including three of the hotels which are REO.
- Ongoing representation of a private equity fund in its programmatic acquisition of certain real estate assets from Fannie Mae.
- Ongoing representation of a private equity fund in connection with its stalking horse bid for the acquisition of two hotels out of bankruptcy, one in Chicago and one in Los Angeles.
- Representation of NorthStar Realty Finance Corp. in connection with the potential foreclosure/workout of a $100 million mezzanine loan on the Hard Rock Hotel and Casino in Las Vegas.
- Representation of NorthStar Realty Finance Corp., a member of a consortium of lenders, in connection with a defaulted $1 billion construction loan for the Xanadu development project, currently under construction in the Meadowlands Sports Complex in East Rutherford, NJ. This retail and entertainment complex will be the third largest in the world, with 4.5 million square feet of entertainment, sports, retail, office and hotel space.
- Representation of the special servicers of $3.8 billion in secured claims against subsidiaries of mall operator General Growth Properties, Inc. in the Chapter 11 cases in New York.
- Representation of M&I Marshall & Ilsley Bank as secured creditor of DBSI Inc., a tenant-in-common syndicator, and approximately 250 of its affiliates, in the Chapter 11 cases in Delaware.
- Representation of Bridge Finance Group, LLC as secured creditor of Pleasant Care Corporation, an operator of skilled-nursing facilities, in the Chapter 11 cases in California.
- Representation of PFP Incorporated, d/b/a Trend Homes, one of the largest privately-owned homebuilders in Phoenix, Arizona, in its Chapter 11 case and the sale of its assets.
- Representation of a private equity fund in the restructuring of the equity, senior loan and mezzanine loans involving the development of a major hotel and gaming complex in Atlantic City, New Jersey.
- Representation of the special servicer in the restructuring of a $200 million loan secured by multiple hospitality properties across the United States resulting in payment in full to the secured lender.
- Representation of the special servicer in the restructuring of $83 million in senior and junior loans secured by a multifamily housing development project near Phoenix, Arizona.
- Representation of a regional developer and builder in a workout involving $90 million in debt.
- Representation of an investor group in the acquisition of a portfolio of non-performing mortgage loans from a regional community bank.
- Representation of a private equity fund in its acquisition of 51 Red Roof Inns located in 21 states, which involved a joint venture with the current borrower/operator to purchase the defaulted mortgage loan on the portfolio and the simultaneous acquisition of title to each of the hotels through a deed-in-lieu of foreclosure process established under an existing settlement agreement.