We held the second meeting of our back leverage forum last week with 40 or so actual and potential providers and users and advisers participating. We are grateful to Phil Abbott and Fieldfisher for hosting us and to the Fieldfisher team and Sabah Nawaz and Nick Shiren at CWT for steering this initiative. Key actions planned for the coming months include:
- Exploring whether we can usefully articulate the importance of, and issues around, the analysis as to whether these transactions are “securitisations” for regulatory purposes
- Developing standard language for certain commonly used clauses, with a view to providing the market with a potential short-cut for negotiating them
- Considering whether the form of reliance letter a working group led by Ruth Harris of Ashurst a few years ago (or elements of it) might assist the back leverage market
- Planning a structured series of events for our wider network, as well as potentially more targeted programming, to share insights and improve understanding of this increasingly important component of the UK and European real estate financing market.
This is already a large group with plenty of volunteers for the above work streams, but if you are not already involved and are willing to participate actively, please let Peter know, including a brief explanation of how you would like to contribute.