Banking Misconduct Blog


Hotel Values Plummet – Borrowers Seeking Help

Hotel Values Plummet – Borrowers Seeking Help

Anyone who owns an office building, shopping center or other commercial space has probably seen their property values decrease since the pandemic began. Particularly hard hit are hotels, especially those in tourist areas.

The Financial Times reported in September that values are down...

Hotel and Shopping Center Loans in a Freefall – How to Survive

Hotel and Shopping Center Loans in a Freefall – How to Survive

Recently we read a story about the effects of COVID-19 on the hospitality and retail industry. It said that borrowers in “pandemic freefall struggle to avoid default.” Unfortunately, those struggles are real. We are seeing the worst year on record for hotel occupancy and sales figures....

Anatomy of a Lawsuit Against Rialto Capital Partners

Anatomy of a Lawsuit Against Rialto Capital Partners

[This post is taken from court documents and a story published by Law360. Although we represent the Plaintiffs in the lawsuits, we do not comment on pending litigation.]
Many commercial projects are financed with CMBS loans. Short for “Commercial Mortgage Backed Securities,” CMBS...

LNR Partners... Coronavirus Scrooge Award

LNR Partners... Coronavirus Scrooge Award

Yesterday Goldman Sachs predicted America’s GDP for the 2nd quarter would plunge a breathtaking 24%. Previously, the largest drop in U.S. history occurred in 1958. That was just 10%. Despite all the doom and gloom, both the government and private sector are working together to keep businesses...


Common CMBS Problems (How to Fight Your Lender and Win)

Borrowers’ Nightmares from CMBS Funded Loans Much of our lender liability practice revolves around borrowers in CMBS loans. Although down in number from their heyday in 2008, they are still in use and many borrowers seek them out. While they may look attractive at first, they often catch...

CMBS Mall Loan in Default? We Can Help

There are hundreds of troubled loans across the United States involving shopping centers and strip malls. And things are getting worse. Boston Store, K-Mart and Sears. Lose an anchor tenant and very often it is the end of the mall.

We represent property owners and not banks, loan...

Special Servicers – Do They Answer to Anyone? CMBS Post

Anyone commercial property owner facing a special servicer soon learns the deck is stacked. Many commercial loans today are securitized and packages into loan pools. These pools are sold to a trust that is owned by institutional investors. Unlike a bank that has offices and employees, a CMBS trust...

Lone Star Funds – Distressed Investors or Vultures?

Distressed investing is the politically correct term these days for buyers of distressed properties. There will always be property owners that find themselves in over their heads. Sometimes their problems arise from unforeseen market events and at other times, it is just from being inexperienced...

“Retail Apocalypse?” Words CMBS Borrowers Fear

It is a dangerous world right now for CMBS financed real estate investors. 2017 is expected to bring in a record number of defaults. Much of those defaults are simply the result of bad timing. Loans financed at the height of the real estate market in 2007 are coming due today. (Most CMBS borrowers...