Banker & Tradesman November 16, 2015

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7 DAY FREE TRIAL | VISIT WWW.TRYRERS.COM TODAY! Est ab li s h e d 1 8 7 2

the

financial

www.bankerandtradesman.com

WEEK OF MONDAY, NOVEMBER 16, 2015

services

and

real

estate

weekly

for

massachusetts

A Publication of The Warren Group SECOND WAVE

BY LAURA ALIX | BANKER & TRADESMAN STAFF

Q3 Q1

T

Act to Protect and Preserve Homeownership passed Nov. 2007

Q2 Q3 Q4 Q1

2007

Q2 Q3 Q4 Q1

2008

he cost of compliance may be driving merger activity among credit unions today, but acquiring institutions say those deals you see in the headlines are less about acquisitive strategy and more about perpetuating a 100-year-old philosophy. Webster First Federal Credit Union in Worcester in May joined forces with Bostonbased Industrial Credit Union. Its acquisition of ICU gives Webster a solid foothold in the city of Boston and bumps it up to around $821 million in assets. Or consider the $1.5 billion Metro Credit Union’s acquisition of Malden City Employees Credit Union last month. That deal Continued on Page 8

= Auctions

= Petitions

Q2 Q4

2006

Industry Losing 300 Institutions Per Year

Q1

2005

Regs, Compliance Costs Drive CU M&A Activity

TRACKING A CRISIS

Q2 Q3

1,904

Q4

90-Day Right to Cure, May 2008

4,916

Majority Of New Foreclosures At Least Five Years Delinquent

Q1

Transit Drives Apartment Boom

BY JIM MORRISON BANKER & TRADESMAN STAFF

Q2

4,871

Q3 Q4 Ibañez ruling Jan. 2011

Q1

2011

C

Q3 Q1

BY STEVE ADAMS | BANKER & TRADESMAN STAFF

Q2

1,649

Q3

Bevilacqua ruling Oct. 2011

Q4 Q1

2012

Q2

3,400

Q3 Q4 Q1

2013

abot, Cabot & Forbes CEO Jay Doherty saw an opportunity to build a southern bookend to the 428-unit Atmark luxury apartment complex that his development company completed in 2013 near the MBTA’s Alewife station. This time Doherty focused on an industrial parcel across the street from Quincy Adams, the next-to-last station on the opposite end of the Red Line. Boston-based CC&F is building 180 apartments designed to appeal to young professionals with lower rents than downtown Boston and prime public transit access. Same strategy, different stop. “When I entered the business, Route 128 was America’s technology highway,” Doherty said. “Now it’s the Red Line.” Doherty and other multifamily developContinued on Page 9

Q2 Q4

2010

Developers Follow Red Line To Quincy

2009

CAR-FREE COMMUTES

Q2 Q3

Eaton ruling June 2012

Q4 CONTENTS By The Numbers ������������������������������������������������������� 6 In Person ������������������������������������������������������������������ 7

Q1

2014

Points ����������������������������������������������������������������������� 4

Residential ������������������������������������������������������������ 10 Classified Sections ������������������������������������������������� 13 Records Section ������������������������������������������������������ B1

2015

Commercial & Industrial ������������������������������������������ 9

Q2 Pinti ruling July 2015

Q3 Q4

Banking & Lending �������������������������������������������������� 8

MASS. FORECLOSURES CONTINUE TO CLIMB AS WINTER CLOSES IN

Q1 Q2 Q3

D

espite a nationwide drop in foreclosures, Massachusetts’ rate continues double-digit growth, according to data from The Warren Group, publisher of Banker & Tradesman. Foreclosure attorneys blame the government, the government blames the banks and the banks blame mortgage companies – and while there’s no resolution on who is responsible, there may soon be a remedy for some of the titles caught in the fallout. Once upon a time – before the crash – a foreclosure in Massachusetts took about six months to move from petition to auction. In the midst of the crash, an Act to Protect and Preserve Homeownership was passed. One key provision of it – the 90-Day Right to Cure – took effect in May 2008. That and other factors caused the timeline for the first two steps in the state’s foreclosure process to balloon to more than two years. Post-crisis came a wave of case law and legislation; while the numbers of petitions filed declined sharply in 2012, by 2013, lenders sat out of the game almost entirely, waiting for resolution and guidance. That resolution occurred last year and this year, and the numbers of petitions are climbing again – but the process still takes about 15 months. The second quarter 2015 spike will come to auction just in time for next year’s spring market. Mark V. Cirignano of Resilient Investments buys, sells and rents foreclosed-upon properties and said the spike in foreclosures comes at a time of year he normally sees foreclosure activity slow down. He thinks recent court decisions like Pinti v. Emigrant Mortgage and others, which made it easier for homeowners to seek the reversal of their foreclosures, is making banks want to get those properties off Continued on Page 9

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