Private Loan, Taking Back Mortgage on Commercial Property, Involving Bankruptcy Trustee
August 2003
We represented a client who was attempting to make a million dollar, private loan to a person in bankruptcy, and take back a mortgage on the debtor’s only asset, a 24,000 square foot, tenanted commercial building in the Red Hook section of Brooklyn. This required some very sophisticated work with the bankruptcy trustee. The debtor ended up going with another private lender. When that deal fell through with other lender, however, the putative borrower became embroiled in a private bidding war before the bankruptcy judge, and our client ultimately prevailed and bought a great building for a reasonable price. we represented the client at closing.
