The Real Deal Miami

Banks assert control

September 08, 2009 11:12AM

Banks at risk for big losses on South Florida condo projects are stepping into the process earlier to avoid the long and costly foreclosure process. Banks such as BB&T Bank and Comerica have branched out from their core operations, controlling developer build-outs and providing brokering and closing advisory services. They have little alternative, in some sense, as regulators clamp down on loan extensions. Some of this activity has been prompted by the forced acquisition of failed banks, but it’s also a recognition that lenders can’t remain static in the midst of an ongoing financing crisis.