What is a Single Asset Real Estate Case? (First in a Series of Three)
Posted on Feb 19, 2010 in Bankruptcy, Business Bankruptcy, Chapter 11
Clients ask, what is a Single Asset Real Estate bankruptcy case? If you or your company owns a single building or piece of land, cannot pay the lender and decide to file bankruptcy, then you probably have a “Single Asset Real Estate” case. Special rules apply if you are thinking about filing bankruptcy under Chapter 11. Lakelaw knows the rules related to Single Asset Real Estate cases and regularly represents people and businesses facing this situation.
A Single Asset Real Estate case can work for a property owner even in these troubled times. But you have to understand the rules, parameters and guidelines if you want a Single Asset Real Estate case to work for you. Chapter 11 can help you save your property. However, Congress amended the Bankruptcy Code to make it easier for banks to foreclose on your property. They convinced Congress that a company held just to own one parcel of real estate had no real reason to survive. Congress bought this argument – hook, line and sinker. So, Single Asset Real Estate cases are challenging, but not necessarily dead on arrival.
We at Lakelaw know the details of Chapter 11. David Leibowitz taught the course on Real Estate Bankruptcy Law to graduate law students at John Marshall Law School. He was recommended for the job by former Bankruptcy Judge Ronald Barliant as a result of his work before the Bankruptcy Court. Jonathan Brand has had exposure to real estate cases not only at Lakelaw, but also during his tenure as a law clerk with two different bankruptcy courts.
There are many ways that a Single Asset Real Estate case can fail. But if you know the rules of the road, you can take advantage of the benefits associated with filing a Single Asset Real Estate case and have your best chance of success. Let Lakelaw navigate your Single Asset Real Estate case to a road towards recovery.