Tag Archives: valuation

Plan Valuation of Secured Claims: What Happens When Foreclosure Value Is Higher Than Without Foreclosure?

First Southern Nat’l. Bank v. Sunnyslope Housing Ltd. P’ship. (In re Sunnyslope Housing Ltd. P’ship.), 859 F.3d 637 (9th Cir. 2017) – A creditor appealed a bankruptcy court order valuing a secured claim at $3.9 million for purposes of a … Continue reading

Posted in Financing | Tagged , | Leave a comment

Cramdown Plan of Reorganization: “Dirt-For-Debt”

In re Investors Lending Group, LLC, 489 B.R. 307 (Bankr. S.D. Ga. 2013) – The treatment of a bank’s claim under a Chapter 11 plan of reorganization became the last issue that required resolution in order to confirm the proposed plan.  … Continue reading

Posted in Financing, Real Estate | Tagged , , | Leave a comment

Mortgage Liens: Can Liens Be Stripped Off in a Chapter 13?

Woolsey v. Citibank, N.A. (In re Woolsey), 696 F.3d 1266 (10th Cir. 2012)  – A Chapter 13 plan proposed to strip off the lien of a junior residential mortgage that was totally underwater.  The bankruptcy court sustained an objection to the … Continue reading

Posted in Financing, Real Estate | Tagged , , | Leave a comment

Mortgage Liens: Can Liens Be “Stripped Off” (vs. “Stripped Down”) in a Chapter 7 Case?

Wachovia Mortgage v Smoot, 478 B.R. 555 (E.D.N.Y. 2012) – In Smoot, the bankruptcy court held that a  totally underwater junior lien on a residential property could be “stripped off” in a Chapter 7 case – choosing to follow a Second … Continue reading

Posted in Financing, Real Estate | Tagged , , | 1 Comment

Valuing Collateral: Do Low-Income Housing Tax Credits Count?

In re Creekside Senior Apartments, LP, 477 B.R. 40 (6th Cir. B.A.P. 2012) – In valuing a bank claim secured by a low-income housing project for purposes of a plan of reorganization, should the remaining federal low‑income housing tax credits … Continue reading

Posted in Financing, Real Estate | Tagged , , | Leave a comment

Chapter 11 Secured Loans: “Lien Stripping” Lives

In re Heritage Highgate, Inc., 679 F.3d 132 (3rd Cir. 2012) – In Heritage Highgate, the secured claims of a group of investors were valued at zero for purposes of treatment in a plan of reorganization, with the result that their … Continue reading

Posted in Financing, Real Estate | Tagged , , , | Leave a comment