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Restructurings & Workouts


The firm accepts assignments involving formulation of strategies, tactics and their implementation for avoidance or reduction of risk and for resolution and recovery of value for specific real estate assets. We are available to serve as real estate advisors to financial firms or borrowers on risk issues and in reorganization or liquidation proceedings in bankruptcy. Mr. Levy has extensive primary and managerial experience in credit committee decision-making, debt and equity commitments, loan monitoring, restructuring, workout, foreclosure, asset management and subsequent marketing and sale.

We can customize our services to individual situations. A sampling of available services:

Pre-Commitment
Data review and field investigation.
Identify strengths and weaknesses.
Assess the risk-reward trade-offs.
Provide recommendations for action.

Portfolio Evaluation
Inventory and organize portfolio data.
Review legal documents for status and critical issues.
Collect individual property and ownership data.
Assess portfolio risk and potential.
Review the value of portfolio assets.

Restructuring Proposals
Evaluate probability of successful transaction.
Evaluate legal documentation and assess critical issues.
Assess financial position of owning entity.
Execute optimal restructuring proposal.

Negotiation and Litigation Management
Assess strengths and weaknesses of creditors and debtors.
Identify win/win or minimum loss/maximum gain alternatives.
Select appropriate litigation counsel and assemble documentation.
Execute negotiation and/or litigation action plan.

Asset/Project Management
Formulate alternative strategies and success probabilities.
Monitor necessary expert inputs.
Negotiate leases, contracts and other legal agreements.
Monitor asset performance and prepare status reports.
Debt and/or equity restructuring and placement.

Execute the Most Effective Restructuring Plan
Identify potential investors for the restructured asset.
Prepare and implement marketing program.
Complete debt and/or equity placement.

Asset Disposition
Identify and evaluate alternative strategies.
Prepare marketing materials and manage the disposition.

Below are representative transactions/assignments:

Tower Place
Asset Management, Leasing, Marketing and Sale of Tower Place in Atlanta, Georgia. Development consists of a keystone high-rise office building of 600,000 square feet, 61,000 square feet mid-level office building, 125,000 square feet of retail space; 221 room Holiday Inn leasehold and excess land for an additional 600,000 square feet of office space.

International Crossroads Center
Asset Management, Leasing, Marketing and Sale of International Crossroads Center, Routes #17 & #287, Mahwah, New Jersey. International Crossroads Center is a multi-use development consisting of 370,000 square feet of office space and a 225 room Sheraton Hotel on 142 acres with additional land zoned for 2.6 million square feet of commercial space. A development earn-out feature was achieved for the seller on the undeveloped land component of the transaction.

Pavilion Apartments
Asset Management, Significant Renovation, Leasing, Marketing and Sale of the 1,127 unit Pavilion Apartments at 5421-61 North East River Road, Chicago, Illinois.

Treasure Coast Retail Portfolio
Asset Management, Partial Redevelopment, Leasing, Marketing and Sale of Treasure Coast retail shopping center portfolio in Martin and Palm Beach Counties, Florida. Total gross leasable area in the five shopping centers was 633,000 square feet.

5700 Corporate Drive
Asset Management, Leasing, Marketing and Sale of this 105,000 square foot office building in suburban Pittsburgh, Pennsylvania.

Buyers Club Warehouse
Asset Management, Marketing and Sale of this 105,000 square foot discount warehouse property in Arvada, Colorado.

Chase Manhattan Mortgage & Realty Trust
& The Twenty Seven Trust

Organizational Structuring and Selection of Key Personnel and Legal and Accounting Firms for the newly created Twenty Seven Trust. As officer of the agent bank, represented 27 bank creditors of the Chase Manhattan Mortgage & Realty Trust (CMART). Bank creditors negotiated an agreement with CMART which provided for 90% of the residual assets or $170 million dollars to be conveyed to the Twenty Seven Trust in exchange for total debt forgiveness. Over following five years, the real estate assets were managed, leased, marketed and sold with substantial recoveries.

C. I. Mortgage Group
Real Estate Auction Bidding and Execution Strategy for a creditor of C.I. Mortgage Group. In the context of a three tiered creditor sealed bid process with minimum reserve prices, devised and executed a strategy to minimize debt forgiveness while maximizing the ability to win the competition for the highest quality assets. A major defaulted loan position was eliminated and significant loan recoveries were achieved. Served as a member of the Bank Creditors’ Committee.

6 St. Paul Centre
Asset Management and Sale and Creation of Purchase Money Financing on 6 St. Paul Centre, a 305,000 square foot office building in Baltimore, Maryland. We won a State of Maryland Request For Proposal (RFP) competition. Since the State was not willing to incur a direct debt obligation, the purchase financing was collateralized by an assignment of rents from credit tenants.

Cardinal Industries
Supervised the Negotiation, Restructuring and Deed in Lieu of Foreclosure Agreements with Cardinal Industries’ Chapter 11 bankruptcy trustee and bankruptcy court for six limited service motels and five apartment complexes located in Texas, Georgia, South Carolina and North Carolina. Selection of property managers for the motels and apartment complexes, preparation of marketing brochures for the limited service motels; negotiation of a purchase contract for the motels and the underwriting of purchase money mortgages in support of the sales.

Virginia Office Buildings
Asset Management, Leasing and Sale of four office buildings in Virginia: Headquarters Plaza in Richmond (75,500 sq. ft.); Office Building in Chantilly (60,000 sq. ft.); Pembroke (71,500 sq. ft.) and Chadwick (65,000 sq. ft.), both in Virginia Beach.

University of Maryland Science & Technology Center
Tax Certiorari Negotiations and Agreement for the troubled University of Maryland Science & Technology Center, Bowie, Maryland. Supervised work with the University of Maryland Foundation to successfully obtain a settlement of a three year tax assessment appeal from the State of Maryland Property Tax Assessment Appeals Board. The assessment was reduced from $10,000,000 to $1,700,000.

Grand Cove
Restructured and Sold remaining proprietary leases for a 106 unit riverfront cooperative apartment complex in Edgewater, New Jersey. Supervised budgeting, management, repairs and modification of the underlying Fannie Mae loan.

Nevada Towers
Purchase of Loan in Bankruptcy Chapter Proceeding at REIT asset auction of Nevada Towers, a 275 unit apartment building with a retail component of 17,000 square feet at Broadway and 69th to 70th Streets, New York City. Pre-bidding agreement with old chapter 11 mortgage debtor provided for a judicial confirmation of a restructuring before the asset came out of a chapter bankruptcy proceeding.

1800 Sherman Avenue
Asset Management, Leasing, Marketing and Sale of a 136,000 square foot office building in Evanston, Illinois.

Regency Club Apartments
Asset Management and Sale of 372 unit garden apartment complex in Jackson, New Jersey.

Raintree Shopping Center
Asset Management, Leasing and Sale of 102,000 square foot shopping center in Freehold, New Jersey.

Tollman Hundley
Asset Management and/or Sale of 28 Holiday and Days Inns in Alaska, California, Florida, New York, Michigan and West Virginia.

Island Inn
Asset Management and Sale of 204 room hotel in Westbury, New York for demolition and redevelopment as a 75,000 square foot Bob’s Clothing Outlet.

Mission Inn
Asset Management, Marketing and Sale of the Mission Inn, Seventh & Orange Streets, Riverside, California. The historic hotel consists of 240 guest rooms and parking rights for 350 spaces in an adjacent multi-deck parking facility.

Franklin Towne Ramada Inn
Asset Management and Sale of 286 room hotel, Philadelphia, Pennsylvania.

Regional Accounting Firm
Settlement of Landlord’s Claims regarding its regional accounting firm tenant in bankruptcy proceedings.

Williams & Westland Office Buildings
Asset Management, Leasing and Sale of two office buildings containing 87,000 square feet and 68,000 square feet, respectively, in Chesterfield, Missouri.

64 Lexington Avenue & 126 East 25th Street Loft Buildings
Asset Management and Sale of vacant 2, 5 & 7 story loft buildings to a healthcare organization for renovation and redevelopment.

901 Stewart Avenue
Asset Management and Sale of vacant 55,000 square foot office building to National Cellular Services in Garden City, New York.

Logansport Shopping Center
Asset Management, Leasing and Sale of 318,000 square foot shopping center in Logansport, Indiana.

Deer Path Shopping Center
Asset Management, Leasing and Sale of 142,000 square foot shopping center in Lake Zurich, Illinois. This property was anchored by a vacant Phar-Mor store and a Wal-Mart.

Major Regional Power Center Site
Asset Management and Contract Negotiation and Execution for a 70 acre regional power center site in Plymouth Meeting, Pennsylvania.

Parsons Block and Seattle Retail Trust Court
Asset Management and Sale of two blocks in the central business district of Seattle, Washington. Parsons Block was unimproved land with an interim use as a parking lot and slated for use as a high rise apartment building. Seattle Trust Retail Court was an assemblage of five improved properties of which three were vacant and two were occupied; it was projected for redevelopment as a 600,000 square foot office building.

King’s Grant Land Development
Negotiated, Contract Execution and Sale of 1,800 acre tract in Marlton, New Jersey originally zoned for 9,000 housing units down-zoned by New Jersey Pinelands Commission to 2,000 units. We achieved a re-zoning to 3,700 units of which a market actually existed for 3,000 units. Other problems included water table and environmental issues. Negotiated sale to a major single family builder who built out remaining units.