Am Law 200 firm Thompson Hine has brought aboard a seven-lawyer real estate finance and development team in its home Cleveland office from Ohio rival Porter Wright Morris & Arthur.

Partners William Weir, David Lewis, Allyson O'Keefe and Christopher Diehl and three associates officially made the move from Columbus-based Porter Wright on Saturday. The group offers particular expertise advising lenders and developers on the use of various types of tax credits.

Weir, who spent the last 36 years at Porter Wright, said that the recent rapid growth of the practice prompted him and his colleagues to start thinking about strategies to secure additional support.

"We really didn't have any plan to move, only but to figure out how to work to grow our practice over there," he said. But exclusive discussions with Thompson Hine several months back changed the equation. 

"They had a huge developer-side practice. They also had more depth in tax credits and straight commercial construction lending," continued Weir, whose own focus is representing banks, insurance companies and other financial institutions in real estate lending

Thompson Hine's offices in Atlanta and New York were also attractive, as was the fact that the firm already worked with mutual client Key Bank.

The group's work extends far beyond northeastern Ohio, with projects including a $300 million lifestyle center in Phoenix, a $260 million lifestyle center in Los Angeles, a $290 million office, retail and multifamily housing development in Dallas, and a $190 million office, retail and multifamily housing development in Philadelphia. This national work also involves advising clients on the use of low-income housing tax credits , new markets tax credits and historic tax credits.

Thompson Hine managing partner Deborah Read said that while her firm had some expertise in tax credits, the new arrivals offer a significant enhancement, particularly in historic credits.

"Tax credit practices are unique," she said. "They're not something somebody can dabble in, and these folks go long and deep in that area."

The skill set, which allows clients an alternative strategy for financing real estate projects, is likely to be increasingly important with growing uncertainty about the appetite of banks and insurers for lending.

"We look at this as absolutely an investment in the future," Read said. "This group spans a number of decades. The people we're adding are in their 60s, their 50s, their 40s and their 30s."

Weir praised both his old and new firms for their support in facilitating the transition amid the  coronavirus crisis.

"I obviously would not have picked moving firms in the middle of the pandemic, but the train had left the station before the pandemic hit with full force," he said. "We couldn't have been more pleased with the help that Porter Wright shared with getting the files over here and the process that Thompson Hine had in place."

Asked for comment about the departures Wednesday, Porter Wright managing partner Bob Tannous said that he and his colleagues "truly wish them the best at their new firm."

"We assure that this departure in no way disrupts the services we provide to our clients in the Cleveland area and across the country," he added. "At this time, we are focused on our commitment to partnering with our clients as we all navigate the impact of COVID-19."

According to Weir, his team has only seen two projects pushed to the middle or late summer, and zero cancellations, but the crisis is still in its early stages.

"Any project that has a hospitality component is on the shelf. Luckily we don't have any of those projects," he said. "Anything with retail, I think those are going to come under additional scrutiny before they decide to go forward with some of those projects. So far what we've been told by the banks is, 'It's on a case-by-case basis.'"

And Read said that the firm is navigating an environment where clients still need work done even if their ability to pay for it promptly is compromised. Some have asked to be put on a 180-day cycle or warned that they won't be able to make payments until the 4th quarter. The firm's priority is working with clients to accommodate them, but that means thinking carefully about the firm's own finances.

"We're looking at anything that any good business would consider. That includes all options to reduce expenses and preserve cash," Read added.

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