Bradley’s Commercial Loan Workouts and Restructuring team applies sophisticated counsel to help owners of financially distressed businesses, real estate, loans, and other assets avoid lengthy, expensive, and reputationally damaging bankruptcy proceedings by devising out-of-court distressed debt resolutions. We have comprehensive experience representing borrowers, both bank and non-bank lenders, private equity companies, mezzanine and venture lenders, and distressed investors. These clients turn to Bradley because of our thorough understanding of complex financial structures and bankruptcy alternatives, our in-depth knowledge of their industries, and our focus on efficiency to the benefit of our clients’ bottom lines.

Our Commercial Loan Workouts and Restructuring team draws from multiple legal and industry disciplines. Helmed by top-ranked bankruptcy and restructuring counsel, the team leverages knowledge, expertise and strategies from other Bradley practices, including commercial lending, mezzanine and venture lending, structured finance, real estate, corporate and securities, healthcare, and life sciences. Our multidisciplinary approach results in client-focused solutions that resolve complex workout situations while achieving key business objectives. We have particular experience assisting borrowers, lenders and investors in industries whose businesses were severely impacted by the COVID-19 pandemic, including owners and operators of skilled care facilities.

We employ the entire panoply of alternatives to bankruptcy to preserve, extract, and recover the value of distressed businesses, real estate and other distressed assets. Alternatives include note sales, receiverships, assignments for the benefit of creditors, compositions, deeds in lieu of foreclosure, and enterprise and asset foreclosures under Article 9 of the Uniform Commercial Code. Our experience with a wide range of bankruptcy alternatives is particularly beneficial in the case of middle market companies where the expense, delay, and damage to the business often outweigh the potential benefits of bankruptcy.

If a loan workout is best accomplished in bankruptcy, our lawyers are well-versed in all aspects of Chapter 11 cases, including pre-packaged plans, restructure support agreements, sales under Section 363 of the Bankruptcy Code, and structured dismissals.

  • Represented borrower in connection with default under a $63 million construction loan and dispute with the general contractor. Negotiated settlement of the dispute with the general contractor and closed $93 million takeout loan to repay the construction loan and complete the project.
  • Represented client/lender in restructure of a $40 million commercial loan and subsequent acquisition of the borrower as a going concern through a strict foreclosure under Article 9.
  • Represented client in acquisition of $35.1 million commercial real estate loan and subsequent deed in lieu of foreclosure.
  • Represented client in acquisition of $101 million defaulted commercial real estate loan from three Cayman Island exempt companies and subsequent workout with the borrower.
  • Represented lender in all aspects of the restructure of its senior secured debt and recapitalization of the borrower, a U.S. entity, and its parent guarantor, a British Virgin Islands company.