Real Estate Loan Restructurings
In theory, a successful restructuring can revitalize a failing loan or property, bringing in new financial strength or allowing breathing room to let the market absorb oversupply.
In practice, loan restructurings can be the single most risky - and rewarding - element of a financial institution's management plan. The owner and borrower may know more about the property and loan than the banker. Additionally, the loan officer who made and approved the original loan may no longer be with the institution. Technical problems can also occur with real estate, financing, development approvals, participations, partnerships and environmental issues. Far too many lenders' portfolios include so-called "restructured" loans that simply delay the final day of reckoning through concessions - often at costs that greatly increase risk of loss.
BARON CAPITAL PARTNERS understands complex major real estate financings and the underlying properties so as to successfully represent financial institutions, receivers, conservators and regulatory agencies in loan restructurings that are based on sound economic rationale.
Restructurings negotiated by BARON CAPITAL PARTNERS are consistently based on available cash flow and performance thresholds placed upon the borrower, always sensitive to market conditions which underlie the integrity of the restructure. BARON CAPITAL PARTNERS has the additional capacity to monitor the restructured credit through the point of ultimate payoff.
|
Gaithersburg, MD 20877 (240) 277-8799 |
Akron Ohio, 44333 (330) 665-4970 Fax: (330) 665-2504 |
Las Vegas NV 89144 (702) 354-0368 |
© Baron Capital Partners LLC 2009. All Rights Reserved.