A real estate expert witness advises on a case involving bankruptcy protection. Plaintiff is the trustee of the bankruptcy of the owner-debtor of a two-story residential building and the land it occupies and its real estate management company.
A creditor has asserted a first mortgage interest against the property securing an indebtedness purportedly owed to it by the debtors totaling more than $40 million, plus accruing fees, expenses and interest. The creditor commenced a foreclosure proceeding.
Both debtors sought Chapter 11 bankruptcy protection. The bankruptcy trustee is restructuring debts and liquidating assets.
Question(s) For Expert Witness
1. What is the condition of the real estate market in the area of the subject property?
2. What is the value of the units if offered as condominiums?
Expert Witness Response
The real estate market in this area continues to be strong despite recent downturns in the economy. Over the last year, any aged inventory has been purchased at prices supporting a stable in improving market. It is our opinion that this trend will continue as there is a strong demand for homes in this very popular area.
The luxury rentals at issue in this case are units that offer all of the features that buyers are looking for. From the new kitchens outfitted with granite counters, stainless steel appliances, Italian ceramic and hardwood floors, Anderson Windows and solid wood new doors and moldings, these units will command a relatively higher sales price due to their total renovated look.
The location is right across the street from a park that affords a great expanse of ball fields, bicycle and pedestrian tracks, basketball courts, playground, tennis courts, paddleball courts, bocce ball courts and most importantly a new state of the art senior center.
After careful consideration of the units to be offered as condominiums, it is our opinion that the one bedroom/one bath units would be valued at $399,000 and two bedroom/one bath units would be valued at $499,000.
The expert has been a real estate broker for more than 20 years and has managed similar projects. The expert’s firm has been selling cooperative and condominium units since its inception.
About the author
Kristin Casler
Kristin Casler is a seasoned legal writer and journalist with an extensive background in litigation news coverage. For 17 years, she served as the editor for LexisNexis Mealey’s litigation news monitor, a role that positioned her at the forefront of reporting on pivotal legal developments. Her expertise includes covering cases related to the Supreme Court's expert admissibility ruling in Daubert v. Merrell Dow Pharmaceuticals Inc., a critical area in both civil and criminal litigation concerning the challenges of 'junk science' testimony.
Kristin's work primarily involves reporting on a diverse range of legal subjects, with particular emphasis on cases in asbestos litigation, insurance, personal injury, antitrust, mortgage lending, and testimony issues in conviction cases. Her contributions as a journalist have been instrumental in providing in-depth, informed analysis on the evolving landscape of these complex legal areas. Her ability to dissect and communicate intricate legal proceedings and rulings makes her a valuable resource in the legal journalism field.
