Dealing with Senior Lenders in an EB-5 Investment
Panelists: MICHAEL GIBSON, JOHN TISHLER, RONALD FIELDSTONE, ROHIT KAPURIA, RUPY CHEEMA
For EB-5 investors, the involvement of a senior lenders has advantages and disadvantages.
Benefits to Investors include:
Diligence and underwriting by an institutional lender
Credit underwriting, completion guarantee, etc.
Draw procedures during the construction period
Disadvantages to Investors include:
Subordination of lien and reduction of cash flow available for repayment
Limited flexibility in restructuring or workout scenario
