Shutts & Bowen LLP has launched a complex loan workout practice group to focus on clients who are grappling with the effects of a slowdown in the real estate market.
For the new group, the law firm said it will use lawyers from its South Florida, Tampa and Orlando offices who are experienced in the fields of bankruptcy, creditors' rights, real estate, receiverships, taxation and litigation.
"We are anticipating increased demand for workout advice as Florida's economy faces headwinds from residential overbuilding, shifting market demands and soaring construction, insurance and other costs," said Shutts & Bowen Chairman Bowman Brown.
Lee D. Mackson, a partner in the firm's Miami office, is to lead the new practice group. Mackson represents financial institutions and other companies in real estate and banking litigation, multimillion-dollar commercial foreclosures, and complex workouts.
He said the firm's statewide complex loan workout practice group will work with investment banks, pension funds, insurance companies, lending institutions, developers, investors, landlords and private equity funds.
"The collapse of the subprime mortgage market is creating a ripple effect on other sectors of the U.S. economy," Mackson said. "Foreclosure rates and mortgage fraud claims are rising and excess liquidity in the capital markets has been keeping borderline companies afloat. As these stresses mount, we anticipate that companies in a wide range of industries will be seeking our advice on restructuring loans, reorganizing business ventures and addressing complex contract disputes."
The practice group is to advise clients on loan workouts and modifications, restructurings, bankruptcy alternatives, reorganization, capital infusion and strategic and development alternatives for real estate in all stages of distress.
Other members of the new practice group include partners Don Wasil, Peter Levitt, and Bob Fracasso in Miami; Peter Shapiro in Fort Lauderdale; Art Menor in West Palm Beach; Rob Soriano in Tampa; and Andrew Brumby and Michael Gore in Orlando.
