Have you entertained restructuring the 2nd you have on the property and increase the loan amount? 

Proc. 93-27 defines a capital interest as an interest that would give the holder a share of the proceeds if the partnerships assets were sold at fair market value and  then the proceeds were distributed in a complete liquidation of the partnership"There may be ways to restructure for more favorable consequences but you would have talk to someone closer to the matter and with that particular skillset. 

That is also an opportunity for the owner to restructure the lease also so it's a dance where both parties are trying to get something of value.Someone could try to negotiate a clause that says tenant will replace certain items once they hit their life average expectancy or sooner instead of repair but likely they will balk at it. 

If the units are side-by-side and have separate yards and driveways, and you're restructuring the leases and rent anyway to put the heating costs on the tenants, consider putting the lawn and snow on them as well.

I am an attorney for a small firm that specializes in helping buyers and lenders restructure distressed land deals.

David, meeting with the bank next week to discuss restructuring the loan.

For example, if you're having to deal with maintenance issues, maybe try to restructure a lease and push those on to the tenant, or maybe the rent is too low, or maybe the property isn't worth holding and it's time to sell.  

I would consider restructuring if I were you; minimal experience (relative to others in the space) means that you need to find a way to make your offer more appealing, on top of other things.

While secondary market loan servicers do not really intervine when a problem poped up, we did, to the extent of paying off any loan or obligation or restructuring it.

I had a conversation with 1 high net worth individual, and he was not worried at all....he had an attorney who had restructured his home & personal assets in such a way where his lates, NOD, even foreclosure wouldnt impact him or his credit personally.Now this was more than 13 years ago, and I myself was going through 1 of the most toughest times in my life.