Nonrecourse


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Nonrecourse

In the case of default, the lender has no ability to claim assets over and above what the limited partners contributed.

Non-Recourse Finance

A loan secured by the revenue of the project the loan intends to fund, and nothing else. That is, non-recourse finance does not allow the bank or other lending institution access to the borrower's other assets in the event of default. This is a relatively high-risk form of financing; projects that utilize non-recourse finance generally have uncertain revenue streams and long loan periods.
References in periodicals archive ?
Chicago Loan Co writes nonrecourse loans from its secure upper story office in downtown's Jewelers Row.
The notes did not contain express language stating whether they were recourse or nonrecourse to the taxpayer.
The joint venture is to concentrate on facilitating and structuring nonrecourse financing for solar PV plants in the country.
Under permanent law, nonrecourse loan rates for wheat, corn and other feed grains, and cotton function as farm price supports.
Income Tax Consequences of the Nonrecourse Employee Loan
In addition, nonrecourse financing for a Best Buy in Metairie, Louisiana, has been arranged for $9,600,000 on a fixed-rate basis for a term of 10 years based on a 30-year amortization schedule.
vs Commissioner was one of the first cases to rule on the effect that discharging nonrecourse debt has on cancellation of indebtedness income.
The Senate version of the IRS Restructuring and Reform Act of 1998 included proposed new section 357(c)(4), which would provide that in the case of the transfer of property subject to a nonrecourse liability, the transferee is treated as assuming with respect to each property only a "ratable portion" of the liability.
The underlying collateral consists of one- to four-family, first lien nonrecourse reverse mortgage loans.
465 of a member's guaranteeing the debt of an LLC classified as a partnership (or a disregarded entity), the consequences when the debt of the LLC is classified as "qualified nonrecourse financing" under Sec.
Marcus & Millichap Capital Corporation (MMCC) has arranged a $5 million fixed-rate, nonrecourse loan to refinance a 44-unit apartment building with four retail spaces in Union Square, Manhattan.
The 10-year, nonrecourse loan provided for roughly 100 percent loan-to-value (LTV) with a fixed 4.