For the most part, landlords had little problem collecting April rents but the situation is changing for renters as the economy staggers under Covid-19.
In Chapter 11, the debtor will usually seek permission to use the income generated by the property. But if the license to use rents was terminated prior to bankruptcy, the rental income no longer is considered property of the debtor.
In these unprecedented times, both Freddie Mac and Fannie Mae have been an unwavering source of capital, and are still actively lending and closing on transactions at aggressive rates below 3%.
Shelter-in-place orders caused a sudden shift which has resulted in a demand surge across certain industries, with an emphasis on the crucial role that logistics real estate plays in everyday life, says a Prologis report.