As more and more assets and loans are being devalued or entering default, lenders are shifting from making loans to maintaining, enforcing and working out existing loans. For these complicated and delicate tasks, we stand ready to provide lenders and borrowers with specialized expertise to reduce financial risks and improve loan performance.
Friedman combines its comprehensive understanding of real estate lending and commercial real estate to help you manage and resolve workouts of distressed loans, equity interests and properties. We guide all types of lenders as well as borrowers, asset managers, special servicers, private equity owners and their representatives through the complex workout process.
How We Help:
Friedman is a top-40 accounting firm with 12 locations, nearly 600 financial professionals and a long-standing history of supporting clients through economic turbulence. In nearly a century of doing business, we have forged strong relationships with some of the largest real estate developers in the U.S.
Friedman’s dedicated Loan Workout Group brings expertise across a broad field of practice areas to handle all aspects of distressed loans and equity – from the business and tax ramifications of loan restructuring and disposition to financial due diligence.
- Real Estate – Our established industry professionals bring best practices and proven strategies to help you reach the right resolution amidst widespread economic upheaval. We leverage relationships throughout the industry to connect you with distressed property specialists – including receivers, attorneys, alternative banks, money sources or others.
- Tax – Friedman’s tax professionals advise you on the broad tax implications of any business alternative and decision. We help assess the viability of proposed business activities from a holistic perspective.
- Forensic Accounting, Litigation Support and Valuation Services – We get to know and appreciate the facts underlying the business arrangement to help you best resolve the distressed situation – and reach a solution that maximizes the value of your assets.
To learn more about how we can help you enhance performance and minimize risks in your loan work out, contact us.
Friedman guides you through each stage of your loan workouts. From the earliest due diligence to settlement and the examination of your tax liabilities, we are by your side to provide sophisticated, clear advice and reassurance. Our services include:
- Verifying property cash flows and testing projected financial and operational performance of the subject asset
- Reviewing existing leases, expirations, and renewal provisions
- Evaluating loan documentation to ensure completeness, including reviewing leases, guarantees and cross-collateralization documents
- Consulting on the tax ramifications of loan foreclosures, forbearances, workouts, lease and/or debt modifications, deeds in lieu, restructurings and defeasance transactions
- Reviewing transactions involving portfolios, reps and warranties, waterfall provisions and other structured financing arrangements
- Assisting with collateral pool assessment and evaluation, including data integrity and document completeness
- Working with special servicers to augment their asset remediation and resolution strategies
- Crafting a loan workout plan -- including settlement negotiations