News & Analysis as of

Real Estate Development Construction Loans

Nelson Mullins Riley & Scarborough LLP

Avoiding Contract Conflicts: 5 Key AIA Provisions to Align with Loan Documents

When negotiating construction contracts, attorneys often focus on the American Institute of Architects (AIA) A201-2017 General Conditions, a widely used standard in the industry. However, construction loan agreements, drafted...more

Tonkon Torp LLP

Covenants in Development Financing – What to Expect

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Loan financing is a cornerstone of real estate development. It’s a rare project that has captive capital to finance the entire project, and many investors expect that their contributions will be leveraged with debt financing....more

Ballard Spahr LLP

CFPB Approves Trial Disclosure Program Waiver Template Application for Construction-to-Permanent Loans

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The CFPB recently approved an application (Application) from the Independent Community Bankers Association (ICBA) for alternative disclosures under the Truth in Lending Act (TILA)/Real Estate Settlement Procedures Act (RESPA)...more

Dorsey & Whitney LLP

Arizona Supreme Court Decision Could Affect Lending Practices

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Construction lenders beware – a recent Arizona Supreme Court decision interpreting Exclusion 3(a) of standard-form title-insurance policies could mean lenders are not insured against a senior mechanics’ lien if the lender’s...more

Holland & Knight LLP

Dealing with Condominium Construction Loan Defaults

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Numerous reports have documented the softening condominium market in New York and other large cities resulting from the excess capacity of expensive units. The softening could lead to developers not meeting their repayment...more

Snell & Wilmer

Foreclosure Deficiency: Construction Loan vs. Home Improvement Loan

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In a recent Arizona Court of Appeals case, Helvetica Servicing, Inc., v. Pasquan, 2019 WL 3820015, (8/15/19), the Court of Appeals addressed the distinction between (1) a construction loan (or refinance of same) and (2) a...more

Ballard Spahr LLP

CFPB Updates TRID Rule FAQs to Address Construction Loans

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The CFPB recently updated the TILA/RESPA Integrated Disclosure (TRID) rule FAQs to address construction loans. The guidance falls well short of what the industry is seeking from the CFPB....more

Seyfarth Shaw LLP

Virtual Reality and Real Estate

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They say a picture is worth a thousand words--which may be particularly true when it comes to real estate. In the not so distant future, property owners will be able to utilize Virtual Reality (VR) and Augmented Reality (AR)...more

Sullivan & Worcester

LIHTC Bulletin

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On Friday, March 23, 2018, the President signed a $1.3 trillion Omnibus Spending bill that had been passed by Congress. Two (2) provisions of the bill are important to those involved in the Low-Income Housing Tax Credit...more

Clark Hill PLC

Recent Arizona Case Law and Legislative Developments Affecting Real Estate Lending

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The following information accompany a presentation Mike gave to members of the Arizona Commercial Mortgage Lenders Association (ACMLA) on March 8, 2016. A summary of legislative amendments enacted during the most recent...more

Troutman Pepper

Title Insurance: When Does a Construction Lender “Create” or “Suffer” a Mechanics Lien?

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BB Syndication Services, Inc. v. First American Title Ins. Co., 785 F.3d 825 (7th Cir. 2015) – A construction lender sued a title insurance company seeking defense and indemnification in connection with claims in a...more

Spilman Thomas & Battle, PLLC

The Construct - May 2015

In This Issue: - Construction Contract Claims Against a Third-Party Lender? The Unforeseen Consequences of a Standard Practice: For those of us who commonly represent lenders, there is nothing more unsettling...more

Snell & Wilmer

Successful Laches Defense Becoming Commonplace in Colorado

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Boiler plate language in responsive pleadings often includes “Plaintiff’s claims are barred by the doctrine of laches” (or “The doctrine of laches bars Plaintiff’s claims” if you prefer the active voice). However, litigation...more

Stinson LLP

Colorado Supreme Court: Construction Lender's Subsidiary Is Not a Subsequent Purchaser - Negligence Claim May Not Be Asserted...

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Lenders and contractors may want to take additional precautions before they take title to a newly constructed home through foreclosure (or deed in lieu of foreclosure) following a recent decision by the Colorado Supreme...more

Morris James LLP

Bank of Delmarva v. South Shore Ventures, LLC, Del. Super., C.A. No. S13C-05-008 THG (Oct. 21, 2014)

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The Superior Court granted the Bank of Delmarva’s (“Bank”) motion for summary judgment as to each of Defendant John E. O’Brien’s (“Defendant”) counterclaims. In 2005, Defendant along with South Shore Ventures, LLC (“Shore”)...more

Blank Rome LLP

Midconstruction Refinancing: A Plunge Into The Void?

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Construction loans typically do not get refinanced before a project is completed. A construction loan is short-term in nature and both the lender and its customer expect that they will stay on the project until the project is...more

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