B-Notes Under Pressure: Frequently Asked Questions Regarding B-Note Holder’s Right to Replace a Special Servicer

March 26, 2009
The ongoing credit crisis and deterioration of the commercial real estate market have significantly increased the number of distressed commercial real estate loans. In this environment, it is critical for B-Note Holders to understand their legal rights. This update, the second in a series addressing frequently asked questions on the ownership of B-Notes in A/B Loans that have been securitized, examines the rights of a B-Note Holder to replace the Special Servicer with respect to an A/B Loan.