Over the past 10 years, I have been involved in many receivership cases involving real property and small businesses. Among the projects I’ve successfully completed are ones involving such diverse operations as a restaurant takeover and an industrial building that was vacated and was previously involved in a Ponzi scheme by its owner. More common, however, are single family and multi-family takeovers that sometimes involve partition actions.
My objective in every case is to stabilize the business and real estate assets, and maintain property, plant and equipment until a transfer of ownership is complete.
In one notable case in Glendale, California, I worked to turn around a partially completed condominium project that was 50-60% completed. The biggest problem I faced there was in trying to keep transients from setting up camp inside the buildings and an underground parking structure. For a time, we had several different squatters who occupied the space, which created both health and safety issues, as well as liability concerns.
Keeping a property locked and secure while it is vacant and awaiting transfer of ownership, otherwise known as defending a property, is always a constant battle, but is necessarily an important part of receivership cases involving real property. Whether it is setting up boundary fencing, boarding up windows, changing locks and hardware, or creating a 24-hour video monitoring system, the goal is to keep a property from becoming an attractive nuisance, i.e. one that attracts people and/or animals from doing things in or around the property that may result in damage or liability.
Every receivership case is unique, and every real property situation requires creative solutions. Experience matters. If you need advice or an opinion, feel free to reach out.