Special Situations

Arrivato LLC and closely aligned colleagues pursue quantifiable scenarios supported by tangible assets.  Capabilities include deploying debt, acquiring, or strategically partnering pursuant to special situations, distress, event-driven, or bankable transactions that require a quick close.

While we have the liquidity to pursue various size transactions, it is more important in that we possess the trust and track record working within the special situations and distress market for over 15 years.   This positions us uniquely in the market with tremendous resources and allows us to add a lot of value through experience.

Transaction Size: $500,000 to $100 million (cost of capital, terms, and structures on a per scenario basis)

We do not seek brokered transactions that have made the proverbial rounds.  Well-trafficked transactions are not our cup of tea.     

Here is what excites uscompelling situations that either nobody else has seen and/or a unique, high-barrier-to-entry position or access to information that is unknown to the general public.

Actively seeking to attract real estate, businesses, and note portfolios experiencing technical dislocations, but uniquely situated within their market experiencing the following:

  • Distress and/or bankruptcy
  • Require balance sheet restructuring
  • A clear pathway for operational turnaround
  • A complex strategic plan that strains existing resources
  • Severe underperformance due to overwhelmed leadership
  • Deficient marketing capabilities
  • Insufficient infrastructure to pursue positive event-driven scenarios within the supply chain.

These transactions involve both real estate and agnostic business scenarios.

The real estate scenarios include:

  • Entitled master plan, mixed-use, multi-family, or residential lot sub-divisions
  • Multi-Family
  • Industrial
  • Warehouses
  • Office
  • Shopping Centers
  • Self-Storage
  • Hotels
  • Golf Courses
  • Other Esoteric Assets

The business scenarios include:

  • Manufacturing
  • Telecom/Wireless
  • Logistics
  • Data Centers
  • Transportation
  • Intellectual Property
  • Government Contracts
  • Restaurant Supply Chains
  • Franchisors
  • Agriculture (organic, protein, crops)
  • Delivery Services
  • Equipment Rental
  • After-Market Aircraft Parts
  • Healthcare Financial/Payment services
  • Structured Settlements
  • Distribution
  • Media
  • Acquisition of a Local Bank
  • Consumer Finance

Additional scenarios include:

  • Municipal and state governments requiring immediate liquidity in response to disasters or pandemics
  • Sale of receivables beyond the limits of traditional A/R lenders
  • Single-Family Home rental portfolios
  • Other esoteric asset-based scenarios across a wide range of sectors.

The following represents common scenarios that would be compelling:

  • Restructuring a company’s overleveraged balance sheet and exiting them from a bank loan
  • Recapitalizing and strategically supporting mature companies that lost their top client
  • Purchasing debt from lenders seeking an exit strategy
  • Providing working capital to scale a company by aligning deep into their supply chain
  • Rescue capital for companies that were healthy prior to the pandemic and now cannot cover their burn rate
  • Acquiring intellectual property
  • Working with a regional bank to restructure their loan portfolio or address other internal challenges
  • Working with borrowers that have had their loan terms re-traded and need a quick close elsewhere
  • Municipalities with special projects backed by investment grade credit
  • Loans using television royalties as collateral via their guaranteed cash flow
  • Businesses that are growing too fast or struggling to catch up on previous challenges beyond the comfort level of their current asset-based lender

Case Studies:

  • Note acquisition of distressed entitled land site zoned for multi-family development from a regional bank.
  • Discreet acquisition of a loan portfolio from a large bank seeking to reduce their exposure in a specific real estate asset class.
  • Buying out a bank note from a construction loan during the middle of a real estate development project.
  • Acquiring debt from an existing lender for a metal manufacturing company in bankruptcy and forming a joint venture.
  • Provided a quick close loan for a delivery services company to acquire additional trucks due to rapidly increasing demands.
  • Acquired a 2,200 residential lot portfolio from a regional bank that foreclosed on the previous developer.
  • Provide a debt/equity structure to turnaround an equipment rental company whose finances were improperly drained by previous management.
  • Led the restructuring of a protein producer that had a troubled balance sheet and inefficiencies within their business model, including the buyout of its bank note.
  • A sale-leaseback for a municipality purchasing equipment to implement 5G infrastructure.
  • Provided an asset-based refinance against real estate and equipment for a logistics company with compelling growth contracts whose revenues were compromised by the delayed arrival of new servers.
  • Acquiring a mismanaged cell tower portfolio that was backed by contracts with investment-grade carriers.
  • Supported a smaller manufacturer who was seeking to outright acquire a larger distressed company in the same sector in which he already held a small equity stake.
  • Provided an asset-based lending and partnership to handle a complex transaction involving the acquisition of aircraft to sell parts and engines in the aftermarket sector.
  • Acquired the debt and restructured operations of an advertising company following multiple mergers that were incompatible.
  • Purchased the note for a produce company that was overleveraged and provided a secured credit facility to improve the company’s purchasing capacity.
  • Recapitalizing a portfolio of single-family fix and flip loans after their securitization efforts fell through.