Opportunistic real estate investors will increasingly turn to Section 363 bankruptcy sales in the months ahead as they position themselves for the future, said Jeff Hubbard, Senior Managing Director of the Structured Investment Sales Division at A&G Real Estate Partners, during a recent webinar sponsored by law firm Herrick, Feinstein LLP.

With respect to investment opportunities in bankruptcy sales, Hubbard pointed to a key difference between the Great Financial Crisis and the economic challenges triggered by Covid-19. “The positive thing about the market today is, you have plenty of liquidity and available credit generally, unlike in 2008, so investors will have the money to pursue deals.”

Moreover, in today’s highly uncertain environment, all parties of interest—from buyers, debtors and courts, to secured and unsecured creditors—are seeking certainty, Hubbard told the audience. “Bankruptcy sales, precisely because they are so carefully structured, give you exactly that with respect to key factors such as timing and market value,” he said. “It’s why I’m advising real estate investors to look to the bankruptcy process for available opportunities across all asset classes.”