Receivership and REO Workouts
Podolsky Northstar’s disciplines are deployed consistently through all stages of the market. Recognizing the special needs of properties in this category, a definitive program to enhance the acceptance of the property by both the current and prospective tenants is the first step in repositioning these often distressed properties. Improving the property’s image in the marketplace is of equal urgency. Under performing properties generally suffer from deferred maintenance, diminished tenant relations and market disinterest. Strategic planning to address needed maintenance issues and restore confidence in the fulfillment of the landlord’s obligations is implemented immediately. Budgets are established that will allow for timely attention to needed repair and maintenance issues prioritizing them to assure the comfort of tenants. Tenant confidence is greatly restored in the short term, building a base for future lease-up and value enhancement.

Changing the image of the property requires strong, definitive marketing acknowledging the past problems and outlining the exact changes to be accomplished within specified time frames. An aggressive marketing program, in conjunction with scheduled tenant and capital improvements, results in higher occupancy levels and net operating income to accomplish repositioning of the property.

Receivership

• Inspection of property to identify immediate and future maintenance concerns
• Re-establish tenant confidence
• Inventory of assets
• Reporting to presiding judge and all parties involved in the receivership process
• Prepare and submit Class B accounting reports to courts for approval
• Prepare operating and capital improvement budgets and recommendations
• Flow chart including cost and scheduled dates for any deferred maintenance areas

REO

• Regular dialogue with existing tenants to advise of progress and plans
• Aggressive and factual marketing to advise prospects and leasing brokers of progress and plans
• Projections for lease-up, costs to lease, and effective rent equivalent analysis
• Eliminate existing deficiencies in occupancy and operation, then (subject to outcome of strategic disposition analysis)
• Prepare aggressive sale information packet and sell property at a price to realize owner's objectives