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WEEK OF MONDAY, MARCH 27, 2017
financial
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A Publication of The Warren Group
CREInsider
LEMON LOANS
The
Nationwide Trends
A SUPPLEMENT TO BANKER & TRADESMAN SUBURBAN STRATEGY
Prompt State Check In On Auto Loans
N2 Corridor Is Ready For Its Next Act
OCABR Finds No ‘Rampant Abuse’ At MA Dealerships
Northland, Normandy Have Big Plans For District BY STEVE ADAMS BANKER & TRADESMAN STAFF
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BY LAURA ALIX BANKER & TRADESMAN STAFF
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n Newton, the city of 13 villages, Northland Investment Corp. is drawing up plans to build a 14th virtually from scratch. The Newton-based development firm spent over a decade assembling the 28-acre site on the edge of the Upper Falls neighborhood. With the recent departure of shoe manufacturer Clarks North America’s offices to a build-to-suit headquarters in Waltham, Northland’s large-scale redevelopment plans call for contemporary office space, stores and restaurants and nearly 1,000 multifamily units. In Needham, Normandy Real Estate Partners is set to begin the next act in its redevelopment of a post-war industrial park. After landing the TripAdvisor headquarters as its marquee corporate presence
share from 29 percent in 2015, and the average loan for a new vehicle climbed to 68 months. Experian, which defines scores under 600 as either subprime or deep subprime, said recently that loan balances in those categories had risen 8.62 percent and 14.57 percent, respectively, on a yearover-year basis. Though prime and super-prime borrowers still capture over half the market, those kind of trends are bound to pique a regulator’s attention. Here in Massachusetts, the Office of Consumer Affairs and Continued on Page 10
otential warning flags cropping up in the auto finance market nationwide are prompting state regulators to take a closer look at auto financing here in Massachusetts. Auto loan balances climbed by $22 billion in the fourth quarter and delinquencies crept upward. Average loan amounts climbed to $30,000 for new vehicles and $19,000 for used, and loan terms also increased. Loans with terms between 72 and 84 months increased to 32 percent of market
Continued on Page B4 USED AUTO LOAN TERMS
NEW AUTO LOAN TERMS
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President’s ‘Skinny’ Budget Cuts Could Be Bad For Housing Market
Q4 15
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UNFRIENDLY BUDGET
Q4 16
35 30 25 20
Trump Seeks To Cut HUD Budget, Eliminate CDBG Funding
15 10 5
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BY JIM MORRISON BANKER & TRADESMAN STAFF
CONTENTS
In Person ������������������������������������������������������������������ 7
Classified Sections ������������������������������������������������� 13
Points ����������������������������������������������������������������������� 4
Residential �������������������������������������������������������������� 8
CRE Insider ������������������������������������������������������������ B1
resident Donald Trump’s recently released “skinny” budget, while a long way from being enacted, is a step in the direction of fulfilling his campaign promises. In addition to providing for increases in defense spending and immigration enforcement as well as increases in funding for violent crime prevention and addressing opioid abuse, the budget takes a $6.2 billion (13.2 percent) bite out of the budget for Housing and Urban Development (HUD). The proposed budget only addresses discretionary spending. The full budget is ex-
By The Numbers ������������������������������������������������������� 6
Banking & Lending ������������������������������������������������ 10
Records Section ������������������������������������������������������ C1
Continued on Page 8
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49-60 MONTHS
61-72 MONTHS
73-94 MONTHS
49-60 MONTHS
61-72 MONTHS
73-94 MONTHS
Source: Experian Automotive