CMBS Workouts

With the evolution of securitized lending, commercial real estate financing has gone from mostly relationship driven to a transactional business. The unfortunate and unintended consequence of a CMBS securitized loan is that most borrowers today have no relationship with, let alone know the names of, those individuals empowered to administer loan workouts on behalf of the bondholders who hold their mortgage, the special servicer. We know that you can often feel like a stranger in a strange land when dealing with special servicers. Furthermore, most borrowers have little understanding as to the complicated fiduciary responsibilities that these servicers have with the multiple classes of bondholders that comprise a REMIC. More importantly, borrowers are not aware of the latitude that servicers have in terms of a restructure. It is understandable that borrowers are left feeling alienated, frustrated and confused when negotiating a loan modification with special servicers.

We have both the insight and experience to help you navigate through the maze of bureaucracy that typifies a loan modification with a special servicer. Based on years of production and our reputation in the capital markets, we enjoy long-standing relationships with numerous lenders, including most major special servicers. As a result, our good name and relationships can help produce a positive outcome when we negotiate a loan workout.

We have closed over 50 sucessful loan workouts. Special servicers include but are not limited to:

  • Berkadia Commercial Mortgage
  • C-III Asset Management
  • CW Capital
  • Helios AMC
  • J.E. Robert Company
  • Key Bank
  • LNR Partners
  • Midland Loan Services
  • ORIX Capital
  • Prudential Mortgage
  • Wells Fargo

A loan default can understandably create a strain on even the strongest borrower/lender relationship, often causing an emotionally charged backdrop that can prevent a favorable result. Pinnacle can unemotionally negotiate with special servicers in a language that special servicers understand and appreciate.

In the event that a loan restructuring cannot be achieved, we will proactively expose your property to our vast sources of private and institutional joint venture equity investors, buyers and lenders. Pinnacle will make every effort to help you avoid a foreclosure and to achieve the best possible sale, refinance or recapitalization for your property.