Banking and Finance
Newman & Simpson, LLP represents institutional and private lenders when lending to their clients and, if the need arises, with the collection of defaulted loans.
On the lending side, our experience includes commercial real estate loans of all descriptions, including those secured by regional shopping centers, strip centers, office buildings, and mixed-use and industrial properties. The firm also regularly handles the closing of commercial loans secured by business assets. We handle all aspects of legal due diligence, including investigation of the borrowing entity and any constituent entities, and the review of leases, zoning, title, survey, insurance, and other pertinent matters. We often assist clients in creating the optimal structure of loans before issuance of a loan commitment.
On the workout side, we represent both borrowers and lenders. The firm counsels lenders from default through the collection process and helps strategize the most cost-effective and expeditious methods to effect the maximum collections. We handle foreclosures of real property and suits against borrowers and guarantors to realize upon non-real estate collateral and to obtain judgments collectible from their other assets. When necessary, the firm represents lenders in bankruptcy proceedings. We handle the sale of loans by lenders to third parties. For borrowers, we strive to put our clients in a position to negotiate the most favorable resolution of their obligations.
- Conducting due diligence for lenders, including review of title and survey, borrower and entity guarantor documents, leases, and zoning.
- Counseling lenders and borrowers concerning potential transactions and how to best structure them.
- Preparing and negotiating loan documents to document a transaction.
- Preparing and negotiating loan participation agreements and co-lender agreements.
- Litigating to collect loans in state and federal courts, including the Bankruptcy Court.
- Sold 250 loans for one client in six separate transactions resulting from a bid process all of which closed on one day.
- Represented a participant in the financing of a $60 million loan to rehabilitate a building into apartments.
- Represented a client which purchased three shopping centers in a single transaction with a single lender, including negotiation of a tenancy in common agreement with one of the investors and preparation of limited partnership agreements for the other investors.
- Handled the workout of $100 million worth of loans secured by five commercial properties.
- Represented a lender in collecting a defaulted loan to a car dealership which lost its General Motors franchise and collected 100% of the amounts due, including all environmental expenses and legal fees.
- Represented a lender in a contested foreclosure and lender liability suit arising out of a loan to a catering facility which resulted in summary judgment and ultimate collection of all sums due, including legal fees and default interest.
- Represented a property owner in connection with a failed shopping center development who ultimately was able to sell title to a loan buyer to the party which bought the mortgage and thereby obtain a release from a $5 million personal guaranty.