In Law360, Where Ceding Control in Joint Ventures Heightens Developer Risks
Partners Michelle McAtee and Sheila Kailus and Special Counsel Abe Salander authored an article for Law360 examining the risks that developers face when ceding control in joint venture restructurings. The article analyzes the end of the "extend-and-pretend" era in commercial real estate by explaining how $76.6 billion in CMBS debt reaching hard maturity in 2026 is driving a shift from traditional refinancings to equity recapitalizations.
Michelle, Sheila, and Abe note that in distressed or underperforming projects, governance concessions negotiated under liquidity pressure can determine whether developers participate in the recovery or are removed under provisions which they granted without adequately considering their long-term implications.
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© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.
Partners Michelle McAtee and Sheila Kailus and Special Counsel Abe Salander authored an article for Law360 examining the risks that developers face when ceding control in joint venture restructurings. The article analyzes the end of the "extend-and-pretend" era in commercial real estate by explaining how $76.6 billion in CMBS debt reaching hard maturity in 2026 is driving a shift from traditional refinancings to equity recapitalizations.
Michelle, Sheila, and Abe note that in distressed or underperforming projects, governance concessions negotiated under liquidity pressure can determine whether developers participate in the recovery or are removed under provisions which they granted without adequately considering their long-term implications.
Related Lawyers
Related Capabilities
© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.
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