VARIANT HOLDING COMPANY

Case Highlights

• Managed and operated 26 multi-family properties with more then 8,000 units
• Successfully confirmed a plan for 35 debtors
• Paid creditors at the operating level in full

Case Narrative

Variant Holding Company (“Variant”) owned and operated 26 highly-distressed multi-family properties with more then 8,000 units in six states. A member of DSI was appointed Chief Restructuring Officer for 35 entities to manage the restructuring and sale process. DSI was able to negotiate a settlement with the mezzanine lender as well as obtain debtor in possession financing. The additional funding was utilized to stabilize the debtors’ operations and increase occupancy. The DSI team implemented accounting controls and developed a budgetary process that provided financial controls for a complex operation. DSI was able to obtain the cooperation of the property level lenders and creditors as well as the mezzanine lender and creditors at the non-operating entity level. Through this cooperation, DSI was able to direct an integrated sales effort that led to more than $265 million in property sales and payment in full to the property level creditors and lenders, including a significant recovery to the mezzanine lender.