4,850,000
cross-collateralization of two commercial properties, located in Melrose, Bronx and Prospect Gardens, Brooklyn.
The complaint alleges, among other things, that Defendants misled investors to believe that certain
cross-collateralization agreements would be released, and that they misled investors by including a stale and inflated appraised value.
These non-recourse loans are linked through a
cross-collateralization and cross-default agreement.
And while the transaction involved liens on certain company assets and life insurance policies on the principals at Bentec, "there was no
cross-collateralization with personal real estate," among the covenants that a bank might impose, Jumet says.
CROSS COLLATERALIZATION ENHANCES PROGRAM: The
cross-collateralization features of the separate clean water state revolving fund (CWSRF) and drinking water state revolving fund (DWSRF) accounts within the indentures enhance bondholder security allowing reserves and excess loan repayments within and between each program to be available for use by the other.
A $5,500,000 permanent financing and
cross-collateralization of three Flatiron District buildings; a three-story building comprised of two commercial units and one apartment, a four-story building comprised of three commercial units and one apartment, and a two-story building comprised of two commercial units.
0 million corporate guaranty and
cross-collateralization on the company's Grapevine, Texas resort property.
This
cross-collateralization notwithstanding, Wilson's name-sake son has said the property is held by a solvent partnership set up by his father.
Legal Structure: The characteristics of a bond financing, including the amortization schedule, reserve sizing, the various pledges offered, the
cross-collateralization of assets, the trustee-held accounts, and excess cash release mechanisms, are factors weighed in the rating analysis that can significantly influence bondholder security.
A $4,160,000 permanent financing of four,
cross-collateralization mixed-use properties, located in Mott Haven section of the Bronx and in Jamaica, Queens.
Credit enhancement for the transaction is provided through over-collateralization, subordination, letters of credit, excess spread and
cross-collateralization.
The rating is based on Fitch's analysis of the C-tranches individually as the most subordinate class within its respective deals, and also incorporates structural enhancements unique to this particular tranche, specifically an additional
cross-collateralization feature that improves ultimate recovery for bondholders in this particular tranche relative to other C-tranche investors.
