Skip to main content
ABI Journal

Real Estate Committee

real-estate

Established methods of determining value include computing the present value of observable cash flows and inferring value from other observable valuations — otherwise known as “relative” valuation or “comparables.”[1] But when observable cash flows or comparable valuations are not available, a third approach is to value optionality.

Section 365(d) of the Bankruptcy Code draws a clear distinction between residential and nonresidential leases, and those distinctions can impact a debtor’s rights.

Co-Chairs Corner

ABI’s Real Estate Committee started off its 2025 webinar series with a bang, interviewing Brandon Svec with CoStar Group for a Commercial Real Estate Economic Outlook. Stay tuned for announcements regarding the section’s additional webinars still to come this year.

Something happened in 1991 that, ever since, drove a bull market in just about everything. No assets rode that bull better than commercial real estate. But what if that bull is back in its pen, and will be there for a long time? If so, the nature of 30-plus years of commercial real estate investment just changed. What may seem to be evolving is, in fact, here and now. The change has happened.

Section 365(l) of the Bankruptcy Code (“section 365(l)”), which entitles a landlord to “require a deposit or other security for the performance of the debtor’s obligations under the lease substantially the same as would have been required by the landlord upon the initial leasing to a similar tenant” when a tenant seeks to assume and assign a lease, is an important landlord protection, yet it is

Subchapter V presents interesting challenges for landlords, including increased uncertainty regarding the timing of payments. Specifically, 11 U.S.C.

The majority of real property leases provide for prepayment of rent on the first of each month.[1] However, tenants filing for chapter 11 do not always pay on the day their rent is due and payable.

In the recent case of In re Oakes,[1] the chapter 7 trustee filed an adversary complaint seeking to avoid PNC Mortgage Company’s mortgage on real property owned by the debtors because of a defective acknowledgment of the debtors’ signatures.

When the U.S. Supreme Court decided BFP v. Resolution Trust Corp.,[1] holding that a mortgage foreclosure sale regularly conducted pursuant to state law could not be avoided as a fraudulent transfer under 11 U.S.C.

            In In re Town Center Flats LLC,[1] the Sixth Circuit Court of Appeals addressed the extent of a debtor’s interest in an assigned stream of rents.

This panel provides an overview of some key issues, sectors and trends in real estate from a global and cross-border perspective by examining the status of asset class and related global/regional market conditions, issues confronting stakeholders and the legal tools they are using to manage and reposition assets, and predictions for the balance of 2025. Considerations for U.S. investors in non-U.S.-based real estate projects, as well as the perspectives of certain foreign investors or lenders to U.S. real estate-based projects, also is discussed.

The commercial real estate economy has weathered back-to-back storms: a global pandemic, which brought swift changes in demand across asset classes and geographic markets, and aggressive Federal Reserve actions to curb inflation with rate hikes, which have finally begun to ease. As we kick off a new year, the ABI Real Estate Committee is presenting a Commercial Real Estate Economic Outlook featuring Brandon Svec, National Director of Analytics for CoStar Group.

Fraud is an ever-present concern in bankruptcy cases, manifesting in various forms from False Claims Act violations to Ponzi schemes. This panel will provide practical tips and strategies for identifying, addressing and litigating fraud in the bankruptcy context.

The hospitality sector is one of the commercial real estate asset classes that has endured profound changes since the pandemic, both positive and negative. Pent-up demand for travel, flexible work schedules and strong consumer spending are driving demand in some sectors, while remote work has fundamentally changed business travel, which is straining occupancy and profits at properties that historically have relied on this steady stream of business.

Commercial real estate continues to be top of mind for restructuring professionals nationwide, as Federal Reserve interest rate policy to curb inflation is impacting values at the same time as rapid changes in supply and demand within several asset classes have taken hold. ABI's Real Estate Committee is honored to host a commercial real estate economic outlook presentation featuring Martin Lavelle, senior business economist with the Federal Reserve Bank of Chicago, to provide important market intelligence.

This panel will consider ethical issues in real estate bankruptcies involving candor to the court as to out-of-court happenings, considerations for debtor’s counsel and advisors in parsing entity vs. guarantor, and other insider issues.

Commercial real estate continues to be the sector to watch for restructuring professionals, as decreasing property values and increasing interest rates will be colliding with $1.5 trillion of debt maturities over the next four years. This informative program will provide a clear and comprehensive understanding of where the market stands and may be going as we head into the last four months of the year. Where are we in the current economic cycle? How have higher interest rates impacted the commercial real estate market this year, and what will the ramifications be next year?

Non-Monetary Defaults

This panel will discuss what happens when lenders default on paying borrowers for non-monetary reasons, such as covenant or compliance violations on real estate loans like debt-coverage-ratio violations. The lenders’ goal is to regain possession of the real estate for investment purposes and deploy it at higher interest rates. The panelists will discuss the impact and efficacy of this strategy from all angles: institutional lender-side, borrower-side and investor-side.

Sponsored by ABI's Real Estate Committee, Keen-Summit Capital Partners LLC and Summit Investment Management LLC

These overviews from ABI committee experts will arm you with vital information you can use in your practice well into the new year.

Patrick J. Potter

Patrick J. Potter

Co-Chair

Washington, DC

Dickinson Wright, PLLC

(202) 659-6964

Katharine B. Clark

Katharine B. Clark

Co-Chair

Dallas, TX

Thompson Coburn LLP

(972) 629-7100

Greg Corbin

Greg Corbin

Membership Relations Director

New York, NY

Northgate Real Estate Group

(212) 369-1800

Daniel A. Bloom Esq.

Daniel A. Bloom Esq.

Newsletter Editor

Madison, NJ

Riker Danzig LLP

(973) 538-0800

Charles A. Malloy

Charles A. Malloy

Newsletter Editor

Washington, DC

Covington & Burling LLP

(202) 662-5005

David E. Levy

David E. Levy

Special Projects Leader

Chicago, IL

Keen-Summit Capital Partners & Summit Investment Management

(312) 909-1696

lease note that in order to view the content for the Committee Newsletters please log in if you are already an ABI member, or otherwise you may Become an ABI Member