Reevaluating Retail REIT Restructurings
Gary Marsh, a partner in Troutman Pepper's Atlanta office, was published in American Bankruptcy Institute's October 2020 Real Estate Committee Newsletter for an article he co-authored with Sarah Banda, a clerk with the U.S. Bankruptcy Court (N.D. Ga.), titled, " Reevaluating Retail REIT Restructurings." They write:
"On May 15th, JCPenney announced that the company was filing for chapter 11 relief. Another in a trend of major retailers filing for bankruptcy. JCPenney’s announcement was expected, as forced closures in the pandemic exacerbated the company’s pre-COVID financial problems. However, what raised some eyebrows is the company’s plan to spin its properties into a real estate investment trust (REIT) as a part of its proposal to emerge from bankruptcy."