Title Insurance For Real Estate Mezzanine Financing: UCC Policy Requirements and Coverage
Recording of a 90-minute premium CLE video webinar with Q&A
This CLE course will examine basic mezzanine debt structure and discuss the title insurance options available to mezzanine lenders, including a rundown of the requirements and necessary documentation for insuring the pledges of equity involved in a mezzanine loan and a discussion of title issues related to mezzanine loans.
- Basics of mezzanine financing
- Collateral: equity interest in mortgage borrower
- Attachment, perfection, and priority of the mezzanine lender's security interest
- Owner's title insurance policy with mezzanine loan endorsement
- UCC title insurance policy with UCC mezzanine endorsement
- Requirements relating to loan transaction and security agreement
- Conditions relating to borrowing entity structure, authority, and collateral (certificates)
- Requirements pertaining to proper authorization
- Refinancing a mezzanine loan: lost, misplaced, or missing certificates
The panel will review these and other relevant matters:
- What other deal structures include pledges of equity taken as collateral for a loan policy?
- What are typical title company requirements for the issuance of a UCC policy?
- What are the coverages under/primary advantages to obtaining a UCC policy?
- Advantages and disadvantages to opting-in/not opting into UCC Article 8 of the UCC
- Where the same lender is providing the mortgage loan and the mezzanine loan or a single loan is secured by a mortgage and a pledge, does this "clog the equity of redemption" of the borrower?
Nicholas M.W. Hoffman
Mr. Hoffman regularly represents investment banks, commercial banks, and foreign and domestic private equity... | Read More
Mr. Hoffman regularly represents investment banks, commercial banks, and foreign and domestic private equity clients in sophisticated real estate transactions, including structured loans, mezzanine loans, construction financing, preferred equity investments and joint ventures. He devotes a significant portion of his practice to capital markets and syndication work in the debt space including note sales, intercreditor arrangements and participations. Mr. Hoffman also has experience with debt restructurings work-outs, and single asset and portfolio acquisitions and dispositions.Close
SVP & Chief Underwriting Counsel
Fidelity National Title Group, UCCPlus
Mr. Zimmerman supervises and coordinates the underwriting, policy and production personnel and functions for the... | Read More
Mr. Zimmerman supervises and coordinates the underwriting, policy and production personnel and functions for the company's UCC Insurance Division. He reviews and evaluates transaction structure and provides feedback on the insurability of major-market commercial finance and mezzanine loan transactions.Close