Bedell Cristin advises on the £1.15 billion White Tower 2006-3 plc CMBS transaction

Alasdair Hunter led the Bedell Cristin team in Jersey and Guernsey advising CB Richard Ellis Loan Servicing Limited as special servicer of the £1.15 billion White Tower 2006-3 plc CMBS transaction. The strategy for the realisation of the assets backing the securitisation was complex because of the diversity of the property holding structures and associated security package. Properties were held through Jersey limited partnerships, a Jersey company, a Guernsey property unit trust and a Jersey property unit trust. By achieving a sale of units in both the Jersey and Guernsey property unit trusts rather than a sale of the properties themselves, the special servicer was able to obtain higher purchase prices for the relevant properties reflecting the seller's share of the stamp duty savings.

In addition to extensive security review, seller due diligence review and security enforcement work, we were required to assist with the Jersey aspects of the English administration of a number of Jersey incorporated property holding entities.

We are retained by a special servicer on a further CMBS transaction and expect that given the maturity profiles of current CMBS transactions of UK property there may be further opportunities ahead.