Credit Tenant Lease Financing: Loan Terms and Structures, Benefits and Risks, Trends and Developments
Recording of a 90-minute premium CLE video webinar with Q&A
This CLE course will provide an advanced overview of credit tenant lease (CTL) financing. The panel will discuss the trends and developments in CTL financing, examine the common structures and terms for CTL loans, and highlight the advantages and disadvantages of this type of financing under current market conditions.
Outline
- Overview: CTL financing under current market conditions
- Sectors using CTL financing
- Trends and developments
- Criteria for CTL financing
- Tenant creditworthiness
- Lease structure
- Terms and structures of CTL loans
- Benefits and risks of CTL financing for developers, lenders, tenants, and investors
- CTLs and sale leasebacks
- Other key considerations and practice pointers
Benefits
The panel will discuss these and other key considerations:
- How are current market conditions impacting CTL financing?
- What are the basic criteria for CTL financing?
- What are the common terms and structures for CTL loans?
- What are the benefits and risks of CTL financing?
Faculty
David J. LaSota
Shareholder
Greenberg Traurig
Mr. LaSota is Co-Chair of the Chicago Corporate Practice. He focuses his practice on the representation of... | Read More
Mr. LaSota is Co-Chair of the Chicago Corporate Practice. He focuses his practice on the representation of institutional investors in advising, structuring, and documenting debt transactions, with particular focus on credit tenant loan real estate transactions (CTLs) and project and infrastructure finance, including public-private partnerships. Mr. LaSota has wide-ranging industry experience including federal and state government, public and private universities, hospitals, resorts, hotels, medical office buildings, retail outlets, parking and transportation facilities, data centers, and oil and gas facilities. A considerable amount of his practice involves reviewing and negotiating lenders’ interests in leases, residual-value guaranties, construction contracts, concession agreements, and other project-related agreements, and negotiating and documenting financing arrangements. Mr. LaSota is experienced with the rules and customs of the NAIC guidelines which govern the treatment of securities (including CTLs) as “Schedule D” bond transactions for certain institutional investors, and is frequently consulted by institutional investors and placement agents for structuring advice and guidance on such matters.
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David Persky
Managing Director
CGA Capital
Mr.Persky joined CGA in 2024 as a Managing Director involved in the origination, structuring and distribution of CTL... | Read More
Mr.Persky joined CGA in 2024 as a Managing Director involved in the origination, structuring and distribution of CTL transactions. Prior to joining CGA, he spent nearly 29 years at Nuveen and TIAA’s Private Placements group where he was a Managing Director serving as Portfolio Manager and Head of CTL Originations. Mr. Persky also worked in commercial banking at Citibank and European American Bank.
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Michael D. Robson
Shareholder
Greenberg Traurig
Mr. Robson focuses his practice on corporate, project and structured finance transactions, including public-private... | Read More
Mr. Robson focuses his practice on corporate, project and structured finance transactions, including public-private partnerships and lease finance transactions. His representation of insurance companies, finance companies, and institutional investors focuses on private placements of debt, both secured and unsecured; complex project and facility financings; real estate transactions; equipment financings; and credit tenant loans. A considerable amount of Mr. Robson’s practice involves energy and infrastructure financings and includes advising, structuring and documenting debt offerings and financing arrangements; negotiating lenders’ interests in project-related agreements; and structuring transactions to attain requisite credit ratings on debt securities from the rating agencies.
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