A defined process. Conflict clearance, scope alignment, order entry, and operational takeover — with the servicer and borrower’s counsel aligned on expectations from the start.
Servicer or lender counsel contacts Allencrest with the property, loan, and situation summary. Initial conflict check completed within 24 hours.
Proposed scope (preservation vs. sale-track), reporting cadence, fee schedule, and staffing presented. Draft engagement letter circulated.
Proposed receivership order drafted with counsel, specifying powers, bond, scope, duties, and reporting. Coordinated with the borrower where consensual.
Order entered by the presiding court. Bond posted. Allencrest Receivership Services LLC formally accepts the appointment.
On-site within 72 hours of appointment. Possession established. Insurance, banking, PMS, and brand contact transitions initiated. Day-1 status report to servicer.
Weekly and monthly reporting cadence established. Stabilization milestones tracked. Disposition strategy supported when directed.
| Fee component | Basis | Notes |
|---|---|---|
| Receivership fee | Monthly, based on property scale and complexity | Tiered by room count and operational intensity |
| Management fee | % of gross revenue, at property level | Paid to Allencrest Hospitality Operations LLC under hotel management agreement |
| Disposition fee | Only if acting as the sale-track receiver, at closing | Subject to court approval; market-based |
| Reimbursable expenses | Actual cost, at billing rate | Travel, third-party fees, technology subscriptions |
| Success fee | Discretionary, outcome-based | Only where specifically requested by the servicer and approved by the court |
Receivership Services operates with an information wall from Allencrest Group LLC and Allencrest Hospitality Fund I LP. Receivership Services does not acquire properties from its own receivership engagements, and does not provide or accept acquisition information that would create a conflict of interest.
Before accepting any engagement, we run conflict checks against current and historical Allencrest portfolios, known counterparties, lenders, and insiders. Any potential conflict is disclosed in writing before court submission.
Important. The engagement description above is illustrative. Actual scope, powers, duties, bond, and fees are governed by the specific order of appointment entered by the presiding court and the engagement letter executed with the engaging party.