Receivership Roles Becoming More Specialized

(Save the date: RealShare Medical Office Buildings comes to the Four Seasons in Scottsdale, AZ, November 7 -8 )

LOS ANGELES-Agents of the court—not of the parties involved in a dispute—receivers play a unique role in commercial real estate. The appointment of the receiver is an ancillary proceeding concerned with the preservation of a property whose owner has been either temporarily or permanently removed from taking care of that property (as in a delinquent borrower or foreclosure situation), in which case the preservation falls under the aegis of the lender and the court. The receiver is thus entrusted by both to protect and preserve the asset, and in some cases to manage or dispose of it in the best manner possible and for the best interest of all parties concerned.