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Instructor Blog - Loan Documentation

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Commercial Real Estate Loan Documentation


  • admin

  • 8/26/2021 1:52:52 PM

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  • Loan Documentation
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Q: Any environmental resolution doesn't have to be a borrower's expense.

A: No, the resolution of a hazardous waste issue does not have to be at the borrower's expense but someone has to pay. The lender is certainly not prepared to do so. Therefore, some outside party must take responsibility and bear the expense for the hazardous waste resolution. The logical party is the borrower although the seller and the buyer (borrower) may work out some cost splitting arrangement depending on the respective leverage and interest of each in completing the transaction.

Course overview: Commercial Real Estate Loan Documentation

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