Single Asset Real Estate Cramdown: Analyzing Rights in Related Collateral and Per-Plan vs. Per-Debtor Acceptance
Navigating Plan Confirmation Challenges for Real Estate Debtors and Senior Mortgage Lenders
A live 90-minute CLE video webinar with interactive Q&A
This CLE course will present suggested approaches for commercial real estate debtors and senior mortgage lenders to deal with Chapter 11 Plan Impairments, commonly known as “cramdowns” involving single asset real estate (SARE) entities. Single asset real estate is defined in the Bankruptcy Code as a single property or project that generates substantially all of the debtor’s gross income (§ 101(51B), Bankruptcy Code). If the debtor’s only business is operating the property and the property generates substantially all of the debtor’s income, a SARE typically includes the following types of properties: Shopping centers, Office buildings, Apartment Buildings and Industrial and warehouses.
The program will look at the meaning of a non-insider impaired accepting class and analyze the per-plan vs. per-debtor approaches under Sec. 1129, as well as fights over rights in rents and insurance proceeds.
Outline
- Overview of plan cramdown rules
- Impaired accepting class
- Per-plan vs. per-debtor approaches
- Perspectives for the secured mortgage lenders
- Perspectives for the debtor/borrower
Benefits
The panel will review these and other key issues:
- What hurdles do the SARE rules impose for real estate debtors?
- How do the SARE rules impact the viability of Chapter 11 as a restructuring strategy?
- How does the application of the per-plan or per-debtor approach impact the secured lender's ability to look only to their specific borrower for repayment of the loan?
Faculty
William J. Amann
Partner
Amann Burnett
For over 20 years, Mr. Amann has principally represented creditors and small businesses in complex litigation cases in... | Read More
For over 20 years, Mr. Amann has principally represented creditors and small businesses in complex litigation cases in bankruptcy and federal courts. Prior to Amann Burnett, PLLC, from 2009 to 2022, Mr. Amann was the Head of the Litigation and Bankruptcy Groups while with Braucher & Amann, PLLC and Craig, Deachman & Amann, PLLC. Prior to that, he was the Managing Attorney at a Boston-based law firm supervising over 10 attorneys and a staff of 40 paralegals; his responsibilities ranged from case management, macro and micro litigation strategy, lead counsel on adversary proceedings, client relations and development, and oversight of Foreclosure, REO and Evictions throughout New England.
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Douglas E. Deutsch
Partner
Clifford Chance
Mr. Deutsch works in the Financial Restructuring Group and typically represents institutional investors, financial... | Read More
Mr. Deutsch works in the Financial Restructuring Group and typically represents institutional investors, financial institutions, agents, and indenture trustees in out-of-court and in-court restructurings across a wide range of industries. He has particular experience in cross-border matters and is highly regarded by clients for his hard work and pragmatism. Mr. Deutsch's recent experience includes ongoing representations of lender groups with substantial exposures to Latin America energy projects. He has also advised a number of crypto-related companies and investors with respect to crypto company insolvency and bankruptcy risks and issues, including in connection with troubled crypto-banks exposures; and one of the world's largest banks in connection with its massive multi-faceted tech exposure to Diebold Nixdorf.
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John-Patrick M. Fritz
Partner
Levene, Neale, Bender, Yoo & Golubchik
Mr. Fritz was named a partner at Levene, Neale, Bender, Yoo & Golubchik L.L.P. in January 2016. He advises... | Read More
Mr. Fritz was named a partner at Levene, Neale, Bender, Yoo & Golubchik L.L.P. in January 2016. He advises clients as chapter 11 debtors in possession, purchasers, post-petition lenders, creditors, committees, and litigants in bankruptcy related matters. Mr. Fritz represents clients in all industries, including hotels and hospitality, commercial real estate, food production, restaurants, retail, manufacturing, construction, and entertainment and film. He is also a Subchapter V Trustee for Chapter 11 Small Business Reorganizations. Mr. Fritz has been named a “Super Lawyer” and “Rising Star” by Super Lawyers and has served on the board of multiple professional bankruptcy organizations for many years.
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