Represent Borrower in a Workout of Bond Financed Project
Represent the borrower in a workout of a bond financed graduate student housing project in a major metropolitan area. The project has not been able to meet the necessary occupancy levels in order for the project to generate sufficient revenue to cover operating expenses and debt service. We are in the process of negotiating a restructure of the bond debt outside of Chapter 11, and are also working with our client and the bondholders to secure alternative funding sources, including possible funding from quasi-governmental entities. The case is complicated due to the debt structure, which includes tax- exempt bond financing. We also represented our client in obtaining a secured line of credit from one of the bondholders, to ensure an appropriate level of operating capital during the restructuring process.
