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Information for:    Business Method Patents   |   Workout Professionals

Business Method Patents

Our system is the subject of a patent application related to the use of fees assessed through declarations and covenants that run with the land. Sophisticated developers, realtors, builders and property owners of all types, with access to competent legal and financial counsel, have all seen the benefits of the Freehold license.

Workout Professionals & Owners of Distressed Properties

Commercial property owners/developers facing financial difficulties in this challenging real estate environment, and their lenders, need to use every tool at their disposal.

Capital Recovery Fees represent a powerful tool for restructuring debt and repaying creditors, particularly those who have extended credit in connection with the improvement of commercial real estate projects such as retail, industrial, hotel, and master planned subdivisions.. In a bankruptcy situation involving large property holdings, Freehold works closely with the debtor in possession, workout professionals and debtor's counsel, with valued input from creditors, to create a long term income stream from Reconveyance Fees (also called future conveyance fees). This income stream can be retained as part of the estate and administered by the trustee, allocated amongst the parties in return for discharge of indebtedness, or, depending upon the size of the holdings, securitized - thereby generating substantial cash for the estate.

Additionally, the REO departments of financial institutions may find Capital Recovery Fees to be a valuable tool for minimizing or eliminating loan losses. Traditionally, repossessed properties sold for less than the loan basis plus disposal costs result in a charge to capital. However, by creating Capital Recovery Fees prior to sale of the property, lending institutions can book a valuable asset. Almost without exception, and regardless of the initial loss on the sale to dispose of REO property, Capital Recovery Fees represent a high probability that a lender can recover all losses. Counsel for debtors, creditors, trustees and lenders related to CRE loans are encouraged to contact us today to discuss Capital Recovery Fees.