A Financial Navigation Guide to Brownfield RedevelopmentIn a perfect world, business models for brownfield projects would be one-size-fits-all. Dream on, say brownfield financing experts, as the industry faces a perfect financial storm of tight credit, the stagnant real estate market and a recession to boot. Whatever economic models brownfield developers used to use for assessing contaminated sites, “they threw away,” says Craig Carbrey, president and co-founder of EnviroFinance Group in Sacramento, Calif. “We have our own internal loan economics model, and we have to modify it all the time—everything’s too variable anymore.” "We can start to see layering of all the various [financial] incentives out there, which really add up..." Scott Beckerman, Senior Vice President, Comerica Bank, Detroit “The over-supply [of real estate] in the market, combined with depressed values, makes all deals rather difficult to do. [Being a] brownfield, unfortunately, layers another bit of complexity on top of it,” adds Scott Beckerman, senior vice president…Log In to Read Full Article
RACER Trust’s Proving Ground Stimulates Efficiency
Judge Robert Gerber, sitting in the U.S. Bankruptcy Court for the Southern District of New York, signed an order in effect creating RACER Trust in March 2011. RACER — for Revitalizing Auto Communities Environmental Response — was handed a portfolio of more than 300 properties scattered over 89 locations in… Read more
Water, Water Everywhere?
While in the following pages I will recount a number of serious localized water shortages, I can tell you at the outset, this will not be another gloom-and-doom scenario to which you are treated daily in your local and national news sources. Now, in my 54th year of professional effort… Read more