Restructuring & Workout Advisory

Brookland has significant expertise and knowledge in all types of real estate debt from balance sheet loans to highly structured CMBS transactions and extensive contacts with real estate lenders, bond investors, servicers and service providers to CMBS transactions.
The focus:

  • Negotiating on your behalf – (i) Proactively assist and represent property owners and lenders in their negotiations with third parties in relation to their stressed / distressed assets and/or debt holdings; (ii) Working with all counterparties such as bond investors, PIK / B-Note investors, rating agencies, servicers and trustees in highly structured deals;
  • Industry focussed, fundamentals approach – Proposing a restructuring of the package of debt and presenting this to all relevant participants in the capital structure and ancillary bodies (rating agencies, etc.) or to review and advise upon a package proposed by other third party businesses;
  • Innovative Work-out Strategy – Advising on the potential strategies for loan and securitisation work-outs and the impact of different strategies on the separate parts of the capital structure (through understanding the different parts of the capital structure identifying areas where interests are aligned and where they diverge);
  • Opting for Consensual Resolution – Focus on finding sensible solutions with a view to reaching an acceptable and consensual resolution with all parties involved, or alternatively provide the means to lead to a successful litigation; and
  • Legal, Structuring & Analytical Expertise – (i) Applying mortgage analytics, work-out and recovery strategies via complex cash-flow modelling; (ii) Detailed understanding of legal documentation and structures.
Who are our clients?

  • Borrowers (Real Estate Funds, Real Estate Companies, HNWs, SWFs);
  • Mezzanine Debt Investors;
  • Lenders (Banks, Building Societies, Issuers);
  • Servicers / Special Servicers;
  • Trustees / SPV Managers; and
  • Providers of capital into restructurings.
The range of our services includes:

  • Loan restructuring and workout assistance;
  • CMBS transaction restructuring and workout assistance;
  • Restructuring scenario analysis including; equitisation, extension, re-tranching, cash trap / sweep triggers, re-prioritisation of cashflows, covenant adjustments, etc.;
  • NPV modelling of different scenario work-out strategies;
  • Representing clients in negotiations with third parties;
  • Market analysis;
  • Borrower business plan feasibility assessment;
  • Underwriting, re-underwriting, cash-flow modelling;
  • Property / portfolio strategy assistance;
  • Derivative strategies, including currency and interest-rate hedging associated with restructuring;
  • CMBS transaction modelling;
  • CMBS portfolio optimisation; and
  • Corporate liability management.