Selling Commercial OREO: A Practical Guide
Author: Larry N. Woodard .
Source: Volume 24, Number 06, July/August 2011 , pp.37-50(14)
< previous article |next article > |return to table of contents
Abstract:
This article provides practical strategies banks can employ to help them cope with “commercial other real estate owned” (OREO) so that the financial institution can meet regulatory requirements, dispose of such assets quickly and efficiently, and realize as little loss as possible. The author also provides tips on dealing with the operation of the real estate, dealing with the defaulted borrower, and negotiating purchase and sale agreements to sell commercial OREO.Keywords: commercial other real estate owned (OREO); defaulted borrower; risk assessment; purchase and sale agreements; as-is clause
Affiliations:
1: Robbins, Salomon & Patt, Ltd.