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Bankruptcy Stay Delay Calculator

Bankruptcy stays stop collection. This calculator sizes the delay cost.

$
%
$

Total stay cost

$12,340

Unpaid rent

$7,840

Total loss (unpaid + legal)

$12,340

How the math works

Stay cost = unpaid rent portion during stay + legal cost to lift.

A 4-month stay on a $2,800 unit at 30% collection = $7,840 unpaid + $4,500 legal = $12-13k total. Bankruptcy filings spike during economic stress — reserve 5-10 bps of portfolio rent for potential BK exposure on workforce housing.

How to Use

  1. Enter stay duration months.
  2. Enter monthly rent.
  3. Enter partial collection % during stay.
  4. Enter motion-to-lift legal cost.
  5. Read stay delay cost.

Frequently Asked Questions

Automatic stay?

Triggered immediately on BK filing. Halts all collection, eviction, foreclosure activity. Landlord can proceed only after court grants lift-stay motion (30-90 days). Applies to BK Ch 7, 11, 13.

Residential vs commercial?

Residential rent: post-petition rent must be paid current or stay lifts quickly (15-30 days). Commercial: often continues for extended period during reorganization (Ch 11). 120-day default assumption period.

Post-petition payments?

Debtor must pay post-petition rent as 'administrative expense'. Pre-petition arrears become unsecured claims (pennies on dollar typically). Landlord should keep clean ledger separating pre/post petition for claim filing.

Who owns this risk — sponsor or lender?

Construction risks are typically shared: hard-cost overrun owned by sponsor (via completion guaranty), soft-cost and delay risks shared per contract, force-majeure excused but bears owner carry cost. Document risk ownership in the loan agreement and GC contract before closing. Disputes get expensive when roles are unclear. Institutional deals spell out every allocation in writing.

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