Magazine article Journal of Property Management

Real Estate Mortgage Investment Conduits (REMICs)

Magazine article Journal of Property Management

Real Estate Mortgage Investment Conduits (REMICs)

Article excerpt

IREM's Position: We support amendments to the REMIC rules to allow more common modifications to property. The changes should permit:

* Tenant Improvements. These should not be considered a significant modification. Under current rules, a tax opinion must be obtained before demolition/tenant improvements begin. If the space comprises more than 10 percent of the REMIC collateral, the change could be denied.

* Reconfigurations of Retail Space. Landlords must be able to more easily reconfigure space to accommodate large anchor tenants and their requirements that only specific types of tenants occupy adjoining space so instances where space "goes dark" because lease agreements could not be met are minimized.

* Sale of Adjoining Parcels. The sale of adjacent property that does not have any economic value to the landlord should be permitted. Under current rules a tax opinion is necessary to determine whether sale materially alters the collateral--if it does, the sale would be blocked, even though proceeds would be used to bolster reserves as required by the lender or pay down the loan. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.