Loan Assumptions

Kenny Pratt posted some comments regarding loan assumptions a while back that has some good data points (for those of us that don't see that side of the business):

• Can extend the closing as much as 30 days

The lender requires 45-90 days from the time they receive your non-refundable deposit, and your application, including the requested information about the proposed borrower.

• Obviously you have to get approval from the Master and Special, but also the Directing Certificate Holder (aka Controlling Class). More on this later, but you have to wonder if, say Teachers, is interested in making this call when they become DCH on the Stuy Town deals (they hold a lot of Stuy Town AJs - it could happen).
• No Downgrade Letter can be required
  
• Legal opinions X 3 - Enforceability; non-consolidation, and REMIC
• Release of carveouts will need to be approved (to get the seller out fully)

The bit about the extended closing deadline was news to me, but it's probably elementary to a lot of folks.

A much more detailed overview is here.