Servicing & Special Servicing
With looming loan maturities, a higher interest rate environment, and a downward pressure on valuations across asset classes, servicers and special servicers require dynamic counsel to effectively address borrower demands and achieve competitive resolutions.
HOW WE HELP
Seyfarth’s Servicing & Special Servicing team represents a wide variety of loan servicers—including commercial mortgage backed securities (CMBS), Freddie Mac and collateralized loan obligations (CLO) securitizations for special servicers, master servicers, and sub-servicers. We also assist servicers and mezzanine servicers with servicing arrangements for Fannie Mae, life company, warehouse lending, and other finance facilities. Our priority—seamlessly addressing issues that impact our clients across securitization, tax, securities, regulation, asset management, loan modifications, new loan origination, workouts, foreclosures, insolvency, and litigation.
Notably, we dedicate a significant amount of time to assisting clients in reviewing, managing, negotiating, and documenting borrower requests related to warehouse loans, portfolio loans, CMBS, Fannie Mae, and Freddie Mac’s Multifamily Securitization (K Series) program, while ensuring compliance with all applicable servicing standards and tax rules.
A testament to our high regard in the marketplace, we represent many of the largest commercial real estate servicers and special servicers in the US, including several among the top 10.
OUR SERVICES
• Securitization reviews
• Assumptions and change of control transactions
• Defeasance
• Easements
• Casualty/condemnation events
• Partial releases
• Loan extensions
• Loan splits and participations
• Subordinate debt
• Commercial condominium conversions
• Collateral additions, substitutions, and releases, equity transfers
• Co-lender, intercreditor agreements
• Due diligence and issues for B note investors and mezzanine lenders
• Issues with tenants (leasing consents, SNDAs, and estoppels)
• Property management substitutions
• Reserve agreements
• Cash management/lockboxes and deposit account control agreements
• Franchise agreements
• REMIC and other tax matters
• REO lender structures and REO operational issues
• Non-consolidation opinions
• Rating agency confirmation
• Borrower consent requests
• Pool collapse (trust terminations)
• Transfers of servicing
• Sale of servicing rights
• Guarantor replacements
• Land swaps
• Interest rate hedge substitutions
OUR SERVICES
• Securitization reviews
• Assumptions and change of control transactions
• Defeasance
• Easements
• Casualty/condemnation events
• Partial releases
• Loan extensions
• Loan splits and participations
• Subordinate debt
• Commercial condominium conversions
• Collateral additions, substitutions, and releases, equity transfers
• Co-lender, intercreditor agreements
• Due diligence and issues for B note investors and mezzanine lenders
• Issues with tenants (leasing consents, SNDAs, and estoppels)
• Property management substitutions
• Reserve agreements
• Cash management/lockboxes and deposit account control agreements
• Franchise agreements
• REMIC and other tax matters
• REO lender structures and REO operational issues
• Non-consolidation opinions
• Rating agency confirmation
• Borrower consent requests
• Pool collapse (trust terminations)
• Transfers of servicing
• Sale of servicing rights
• Guarantor replacements
• Land swaps
• Interest rate hedge substitutions
- Represent master servicers and sub-servicers in connection with the handling of all aspects of Freddie Mac securitized and non-securitized loans, including, but not limited to, preparation of PLIMs, closing of assumptions for senior and supplemental loans, closing of defeasance transactions, advice regarding various consent matters including condemnations, preferred equity transactions, borrower transfers of interest, changes of property management, alterations to the improvements, partial releases, loan modifications and advice regarding defaulted loans.
- Represented a CMBS master servicer in a first-of-its-kind commercial loan servicing transaction, which involved a consent request for equity transfers which resulted in the roll-up, into an UPREIT structure, of a portfolio of 40 office buildings located across the US. The properties were valued at approximately $3 billion. The portfolio had a total of $2 billion in debt, consisting of 62 mortgage and mezzanine loans; 11 of the mortgage loans were serviced by one of Seyfarth’s loan servicer clients. The consent request also included a request for approval of the future listing of shares in the REIT on the Tel Aviv Stock Exchange. This was the first time in history that a US-based REIT would be listed on the Tel Aviv Stock Exchange.
- Represented a CMBS master servicer and portfolio loan servicer in connection with a $350 million spinoff transaction which required lender consent. The spin-off transaction resulted in a publicly-traded REIT as the new borrower/sponsor.
- Represented a CMBS special servicer in connection with a borrower consent request for a partial release for a development project relating to a $1.4 billion loan.
- Represented a CMBS master servicer in connection with a non-permitted transfer consent request regarding a $66 million CMBS mortgage loan secured by an office building in Texas. The transaction was a part of a larger overall merger which was an 100% stock-for-stock deal, creating a Sun Belt-focused Class A office REIT with total market capitalization of nearly $7.8 billion.
- Represented a CMBS master servicer in connection with a non-permitted equity transfer. The transaction involved an $115 million loan secured by a hotel in Miami. We processed a consent request with respect to the transfer of equity ownership interests from an affiliate to an insurance group affiliate. The equity transfer transaction was part of a larger overall transaction in which they purchased interests in a number of US-based hotels.
- Represented a CMBS master servicer in connection with a non-permitted equity transfer involving a $900 million mortgage loan secured by a significant single property office building.
- Represented a CMBS master servicer in connection with a major shopping mall owner’s complex, tax-driven upper tier corporate restructure. The restructure affected 44 CMBS loans serviced by Seyfarth’s client, totaling approximately $6 billion.
Related News & Insights
-
Sponsored Events
01/12/2025
Seyfarth to Sponsor CRE Finance Council 2025 January Conference
-
Podcast
09/16/2024
The Property Line: Buying the Unknown: Distressed Asset Acquisitions in Times of Financial Uncertainty
-
Speaking Engagement
05/20/2024
Katie Schwarting, Saadia Ghazi, and Arren Goldman to Speak at MBA's Commercial/Multifamily Finance Servicing and Technology Conference
-
Seyfarth Event
05/08/2024
Seyfarth Hosts Expert Panel on Navigating Challenges and Crafting Creative Solutions for Distressed Real Estate
With looming loan maturities, a higher interest rate environment, and a downward pressure on valuations across asset classes, servicers and special servicers require dynamic counsel to effectively address borrower demands and achieve competitive resolutions.
HOW WE HELP
Seyfarth’s Servicing & Special Servicing team represents a wide variety of loan servicers—including commercial mortgage backed securities (CMBS), Freddie Mac and collateralized loan obligations (CLO) securitizations for special servicers, master servicers, and sub-servicers. We also assist servicers and mezzanine servicers with servicing arrangements for Fannie Mae, life company, warehouse lending, and other finance facilities. Our priority—seamlessly addressing issues that impact our clients across securitization, tax, securities, regulation, asset management, loan modifications, new loan origination, workouts, foreclosures, insolvency, and litigation.
Notably, we dedicate a significant amount of time to assisting clients in reviewing, managing, negotiating, and documenting borrower requests related to warehouse loans, portfolio loans, CMBS, Fannie Mae, and Freddie Mac’s Multifamily Securitization (K Series) program, while ensuring compliance with all applicable servicing standards and tax rules.
A testament to our high regard in the marketplace, we represent many of the largest commercial real estate servicers and special servicers in the US, including several among the top 10.
OUR SERVICES
• Securitization reviews
• Assumptions and change of control transactions
• Defeasance
• Easements
• Casualty/condemnation events
• Partial releases
• Loan extensions
• Loan splits and participations
• Subordinate debt
• Commercial condominium conversions
• Collateral additions, substitutions, and releases, equity transfers
• Co-lender, intercreditor agreements
• Due diligence and issues for B note investors and mezzanine lenders
• Issues with tenants (leasing consents, SNDAs, and estoppels)
• Property management substitutions
• Reserve agreements
• Cash management/lockboxes and deposit account control agreements
• Franchise agreements
• REMIC and other tax matters
• REO lender structures and REO operational issues
• Non-consolidation opinions
• Rating agency confirmation
• Borrower consent requests
• Pool collapse (trust terminations)
• Transfers of servicing
• Sale of servicing rights
• Guarantor replacements
• Land swaps
• Interest rate hedge substitutions
OUR SERVICES
• Securitization reviews
• Assumptions and change of control transactions
• Defeasance
• Easements
• Casualty/condemnation events
• Partial releases
• Loan extensions
• Loan splits and participations
• Subordinate debt
• Commercial condominium conversions
• Collateral additions, substitutions, and releases, equity transfers
• Co-lender, intercreditor agreements
• Due diligence and issues for B note investors and mezzanine lenders
• Issues with tenants (leasing consents, SNDAs, and estoppels)
• Property management substitutions
• Reserve agreements
• Cash management/lockboxes and deposit account control agreements
• Franchise agreements
• REMIC and other tax matters
• REO lender structures and REO operational issues
• Non-consolidation opinions
• Rating agency confirmation
• Borrower consent requests
• Pool collapse (trust terminations)
• Transfers of servicing
• Sale of servicing rights
• Guarantor replacements
• Land swaps
• Interest rate hedge substitutions
Related Practices
- Represent master servicers and sub-servicers in connection with the handling of all aspects of Freddie Mac securitized and non-securitized loans, including, but not limited to, preparation of PLIMs, closing of assumptions for senior and supplemental loans, closing of defeasance transactions, advice regarding various consent matters including condemnations, preferred equity transactions, borrower transfers of interest, changes of property management, alterations to the improvements, partial releases, loan modifications and advice regarding defaulted loans.
- Represented a CMBS master servicer in a first-of-its-kind commercial loan servicing transaction, which involved a consent request for equity transfers which resulted in the roll-up, into an UPREIT structure, of a portfolio of 40 office buildings located across the US. The properties were valued at approximately $3 billion. The portfolio had a total of $2 billion in debt, consisting of 62 mortgage and mezzanine loans; 11 of the mortgage loans were serviced by one of Seyfarth’s loan servicer clients. The consent request also included a request for approval of the future listing of shares in the REIT on the Tel Aviv Stock Exchange. This was the first time in history that a US-based REIT would be listed on the Tel Aviv Stock Exchange.
- Represented a CMBS master servicer and portfolio loan servicer in connection with a $350 million spinoff transaction which required lender consent. The spin-off transaction resulted in a publicly-traded REIT as the new borrower/sponsor.
- Represented a CMBS special servicer in connection with a borrower consent request for a partial release for a development project relating to a $1.4 billion loan.
- Represented a CMBS master servicer in connection with a non-permitted transfer consent request regarding a $66 million CMBS mortgage loan secured by an office building in Texas. The transaction was a part of a larger overall merger which was an 100% stock-for-stock deal, creating a Sun Belt-focused Class A office REIT with total market capitalization of nearly $7.8 billion.
- Represented a CMBS master servicer in connection with a non-permitted equity transfer. The transaction involved an $115 million loan secured by a hotel in Miami. We processed a consent request with respect to the transfer of equity ownership interests from an affiliate to an insurance group affiliate. The equity transfer transaction was part of a larger overall transaction in which they purchased interests in a number of US-based hotels.
- Represented a CMBS master servicer in connection with a non-permitted equity transfer involving a $900 million mortgage loan secured by a significant single property office building.
- Represented a CMBS master servicer in connection with a major shopping mall owner’s complex, tax-driven upper tier corporate restructure. The restructure affected 44 CMBS loans serviced by Seyfarth’s client, totaling approximately $6 billion.
Related News & Insights
-
Sponsored Events
01/12/2025
Seyfarth to Sponsor CRE Finance Council 2025 January Conference
-
Podcast
09/16/2024
The Property Line: Buying the Unknown: Distressed Asset Acquisitions in Times of Financial Uncertainty
-
Speaking Engagement
05/20/2024
Katie Schwarting, Saadia Ghazi, and Arren Goldman to Speak at MBA's Commercial/Multifamily Finance Servicing and Technology Conference
-
Seyfarth Event
05/08/2024
Seyfarth Hosts Expert Panel on Navigating Challenges and Crafting Creative Solutions for Distressed Real Estate