O'Brien Commercial

Pure. Tenant and Corporate Representation.

Defeasance

Since most commercial real estate loans cannot be paid off early, defeasance is a process that replaces the collateral in order to allow the borrower to sell or refinance the property.  The borrower uses the proceeds from a sale or refinance to purchase a portfolio of U.S. Treasuries or high quality bonds that are sufficient to make all of the remaining loan payments.

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