Waterstone Capital Advisors Writes $1.1 Million Check to Defeasance Client

As an independent consultant to the borrower, Waterstone Capital Advisors represents our client's best interest in an effort to structure the most optimal defeasance transaction. Waterstone Capital Advisors will coordinate with the various parties such as the servicer, servicer's counsel, verification accountant, securities broker/dealer, securities custodian, rating agencies, title company, and successor borrower in order to ensure the defeasance is completed within your closing schedule.

Defeasance Consultants
As an independent consultant to the borrower, Waterstone Capital Advisors represents our client's best interest in an effort to structure the most optimal defeasance transaction. Waterstone Capital Advisors will coordinate with the various parties such as the servicer, servicer's counsel, verification accountant, securities broker/dealer, securities custodian, rating agencies, title company, and successor borrower in order to ensure the defeasance is completed within your closing schedule.

Successor Borrower
Conduit loan documents with defeasance language typically require the formation of an entity to assume the liability for the loan when the defeasance occurs; this entity is termed the successor borrower. A successor borrower is a special purpose, bankruptcy-remote entity, formed primarily for purposes of insulating the loan from any trailing liabilities of the original borrower that relate to the operation and ownership of the real property. The successor borrower is typically unrelated and unaffiliated with the original borrower. Waterstone Capital Advisors will create and maintain a successor borrower entity to assume the loan from the original borrower.