K&L Gates’ Real Estate Finance practice comprises lawyers throughout the United States, Europe, Asia, Australia, and the Middle East. The group has extensive experience in all areas of real estate finance and serves a diverse global client base of lenders and borrowers. Our lender clients include banks, insurance companies, and other financial institutions as well as private equity and debt funds and other non-bank lenders. Our borrower clients include public and private investment and development companies, private equity firms and their portfolio companies, private investment and development funds, and registered investment companies.
As part of the largest fully integrated network of law offices and law partners of any global law firm, we draw regularly upon the comprehensive resources of the firm to address the full scope of related regulatory, legal, and other issues that arise in complex real estate finance transactions across industries and jurisdictions.
We provide the full spectrum of services associated with financing commercial real estate projects. Our experience ranges from acquisition, development, and construction loans to bilateral and syndicated investment and development facilities, both at the senior and mezzanine level (involving complex intercreditor rights), to transactions involving highly sophisticated vehicles, structures, and financing techniques.
We have acted on transactions involving the financing of commercial, industrial, and residential assets and developments and have significant experience representing both lenders and borrowers in a variety of commercial mortgage finance transactions. These transactions include multi-property, cross-collateralized, and cross-border financings, as well as traditional single-asset mortgage financings.
We offer a full array of legal services to the mortgage banking/consumer finance industry worldwide, including regulatory compliance, underwriting, and due diligence in connection with acquisitions and disposals of loan portfolios; loan servicing arrangements and acquisitions; and mergers of loan servicing, asset management, and mortgage banking/consumer finance concerns.
Our experience representing sophisticated lenders, owners, and borrowers provides us with the proper tools to effectively structure and implement many forms of complex real estate financing transactions. In particular, we have extensive experience in property ownership structuring, including unit trusts, limited partnerships, special purpose vehicles, REITs, funds, and offshore investment companies. We also have experience in public- and private-structured financings of commercial mortgage-related financial assets in Europe and the United States. In conjunction with our Securitization & Structured Finance practice and our Commercial Mortgage-Backed Securities practice, we regularly advise clients throughout the world in connection with the securitization of conduit loans, A/B notes, senior/mezzanine structures, CMBS tranches, and servicing rights, among other CRE assets. We represent participants in the CMBS markets, including originators, loan servicers, trustees, corporate service providers, investors, investment and alternative asset managers, and rating agencies.
We regularly represent lenders and special servicers for CMBS and CRE CLO transactions in servicing issues such as workouts and restructurings, asset management, loan assumptions, modifications, realization proceedings, and defeasances, including REMIC, ECI, and other tax implications.
We work closely with lawyers in other parts of our Banking & Asset Finance practice group, including Corporate, Acquisition and Asset Based Finance, Islamic Finance, Transportation Finance, and Project Finance, depending on the nature of the matter and the underlying assets. We also work closely with our Debt Capital Markets and Restructuring & Insolvency practice groups. We believe in offering our clients partner-led deal teams that structure, document, and manage the funding process in an efficient and proactive manner. We respond quickly and effectively to our client’s needs to help them compete in today’s challenging marketplace. We strive to always provide cost-effective, practical, and effective services with a high degree of personal attention at the partner level.
We have advised many clients concerning troubled real estate projects that must be restructured, refinanced, or liquidated, including both lenders and borrowers in connection with nonperforming or poorly performing loans. We also have structured sophisticated workouts and rearrangements of relationships. We have experience regarding the interplay between bankruptcy and creditors' rights law and real estate law, including the relative rights of landlords and tenants in a bankruptcy setting.
Our business-grounded approach enhances outcomes for our clients. Many of our real estate and bankruptcy lawyers gained experience in prior recessionary cycles, such as the one following the savings and loan crisis of the late 1980s. Those lawyers were involved with Resolution Trust Corporation matters and represented bank-owned subsidiaries established to own, operate, and dispose of foreclosed assets. For more details, see our Distressed Real Estate practice description.
We offer clients a variety of structural options to meet the specific needs of any given transaction, such as corporations, limited partnerships, business trusts, joint ventures, limited liability companies, limited liability partnerships, and REITs. We are also experienced in structuring and implementing tiered entity arrangements, and creating family limited partnerships and other planning techniques designed to minimize gift and estate taxes. These approaches can result in flexible arrangements for the sharing of risks and rewards. We have also advised clients with respect to like-kind exchanges and other tax-deferral mechanisms.
We have experience in state and local tax matters and frequently structure transactions to address issues of transfer taxes, business privilege taxes, and tax-exempt financing. Additionally, we advise on obtaining state law tax advantages from conservation and redevelopment of real estate, and our experience includes local real property tax assessment appeals.