Practice

Distressed Real Estate Loan Workouts and Enforcement

Strategic Advisors in Loan Workouts and Enforcement

Sheppard delivers pragmatic, multidisciplinary advice and creative solutions for distressed commercial real estate loans.

Global financial institutions and private capital providers rely on us to restructure and enforce defaulted loans with speed, predictability and minimal risk. 

Practical Strategies for Recovering Value 

Sheppard’s Distressed Real Estate Loan Workouts and Enforcement team operates at the intersection of real estate, finance and litigation.

Our group brings together more than 75 experienced lawyers across our real estate, finance, restructuring and business trial practices. We advise lenders nationwide on all aspects of loans in default—workouts, restructurings, portfolio and single loan sales, guarantor recourse, remedies, asset disposition and insolvency. 

Clients turn to us because our approach is innovative, results-driven and commercial. We are laser-focused on preserving collateral value, controlling revenue, protecting the lender’s reputation and maintaining regulatory compliance. We implement market-leading workout structures and pursue remedies in court that successfully and predictably convert distressed debt and projects into valuable ownership, measurable return on investment and maximum repayment. 

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Experience

Representative Matters

Over the past several years, we have represented institutional lenders in major (often high profile, newsworthy) distressed loan workouts, foreclosures, restructures and loan sales involving the following properties and projects, among others. Many of these have transformed the assets and the communities in which they are located.

  • Beekman Hotel, New York, New York
  • Admiral’s Row, Brooklyn Navy Yard, New York
  • 110 William Street, New York, New York
  • Candler Building, Times Square, New York
  • PREIT Regional Shopping Mall Restructuring and Bankruptcy
  • The Ritz Carlton Club and Residences at Kapalua Bay, Maui, Hawaii
  • One Market Plaza, San Francisco, California
  • 111 Wall Street, New York, New York
  • Industry City, Brooklyn, New York
  • Jaguar, Land Rover, Maserati and Ford dealership floorplan loan workout (thousands of vehicles)
  • Verizon Building, 375 Pearl Street, New York, New York (deed-in-lieu and springing recourse)
  • The Mark Hotel, New York, New York (foreclosure)
  • Gramercy Park Hotel, New York, New York (foreclosure)
  • Several New York City boutique hotels
  • Hamilton Mall, New Jersey
  • Riverhouse Condominium, New York, New York (construction litigation)
  • Renaissance Boston Waterfront Hotel, Boston, Massachusetts
  • 111 Washington Street, New York, New York (foreclosure; deed-in-lieu)
  • Copper Beech Farm, Greenwich, Connecticut
  • New York Financial District and midtown office buildings
  • Distressed office, hotel, retail and self-storage assets across the country
  • Lehman Brothers in its recapitalization of more than $2 billion of distressed multi-site development projects, mezzanine loans and joint venture interests in Southern and Central California (each consisting of several thousand residential land development lots)
  • A global lender in the sale of a large portfolio of underperforming commercial real estate loans
  • Bidders for the Signature Bank commercial real estate portfolio
Clients
  • Amalgamated Bank
  • Amtrust Realty
  • Arbor Realty Trust
  • California Bank & Trust
  • California Community Reinvestment Corp.
  • C-III Asset Management
  • Fifth Third Bank
  • First Citizens Bank (CIT)
  • Flagstar Bank
  • M&T Bank
  • Mechanics Bank
  • Metropolitan Commercial Bank
  • Pacific Mercantile Bank
  • Provident Bank
  • Quadrant Real Estate Advisors
  • Scale Lending
  • SKW Funding
  • Slate Property Group
  • Umpqua Bank
  • Union Bank
  • Walker & Dunlop