Arent Fox partner Alan Dubin has been published in DC Commercial Real Estate News, the official newsletter of the Chicago Title Washington, DC National Commercial Center.

Alan's article, “UCC Remedies Concerning LLC Interests Pledged to Secure a Mezzanine Loan,” summarizes how foreclosure sales of the collateral pledged by real estate mezzanine buyers are conducted.

The 10-page article explains that “although there are commonalities between foreclosing on the office building and foreclosing on the equity of the limited liability company that owns the office building, there are also significant differences.”

“Most professionals involved in the foreclosure process will likely be people whose predominant prior experience will have been in real estate transactions,” Alan writes. “That certainly will be helpful; those people will have knowledge and understanding that will help the secured party maximize the value of real property and help prospective buyers understand the value of real property. However, an extra set of skills and knowledge will be essential to navigating the foreclosure process when the collateral consists of equity interests in a limited liability company.”

Alan cautions that those involved in such foreclosures should “be sure to play close attention to the other bodies of law that will apply to the process.”

To read the full article, please click here.