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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: Don Earl who wrote (11332)	9/18/2008 11:44:11 PM
From: Pogeu Mahone	Read Replies (1) \| Respond to of 71475

The RTC had nothing to do with the securitization of mortgages. Once securitization came along the bank holding and servicing your mortgage was passe. So if you could not pay it was someone elses problem. I got mine, screw you. The RTC moved commercial and residential property. Being a gov`t agency they moved it not caring about prices. Most RTC deals 20 cents was what bidders would pay not a dime over , some were a whole lot better: An RTC deal: Friday, August 11, 2000 Wang Towers team shifts focus onto developmentBoston Business Journal - by Bill Archambeault Journal Staff Print Email Reprints RSS Feeds Add to Del.icio.us Digg This CommentsWOBURN--They made a lasting impression with the legendary Wang Towers deal, a building they bought for $525,000 and sold for over $100 million a few years later. Now, the development team of Dan Doherty, Brian Kelly and Tom Maher have sold their interest in Atlantic Retail Properties and started Eastern Development LLC--a move calculated to move them away from brokerage and focus on investing in retail and commercial property. "It was a matter of pursuing our personal interests," Doherty said. "It's what we enjoy doing." They sold their interest to Jim Alex and Bryan Anderson, two of Atlantic's leading real estate brokers who have been at the firm for years. Atlantic is the largest retail brokerage firm in the region, handling over 20 million square feet of commercial property for clients such as Target Stores and Staples Inc. Doherty, Kelly and Maher are principals in Eastern's 15-person office, which is being set up at 120 Presidential Way in Woburn. The team, which is privately financing the business, hopes to expand on the $500 million worth of deals that have been made separately from Atlantic since the early 1990s. One of those deals, which Doherty expects to close by the end of the year, is 33 Arch St., a 600,000-square-foot Boston office tower combined with 350 Washington St., which has 150,000 square feet of retail space. Retail tenants should be open a year from now, he said, and 33 Arch St. should be delivered in summer 2003. "We have an aggressive investment strategy we're implementing," Doherty said. Doherty and Kelly founded Atlantic in 1991, but they started making waves with personal development deals a couple of years later. When the group bought the Wang Towers in Lowell in 1994, some were skeptical. "Even at that price, people very well established in the industry thought we were not going to be successful in that project," Doherty said. "Everybody had the chance to buy that thing and it turned out to be a dynamite investment." They sold the building in 1998. Doherty said Atlantic would be well-served by its new owners. "We developed a great rapport with them and a strong respect for their capabilities," he said. "I think Atlantic will continue to prosper under their guidance." Alex and Anderson said they are excited about taking over. One of the first changes will be moving the firm from its base in Waltham to 11 Ray Ave. in Burlington next week. "We can't wait to set out on our new venture, or should I say, our old venture," Anderson said. "We're keeping all of our clients intact, but it's kind of a fresh start. I think it's going to be a positive outcome for everybody. It's an exciting opportunity." "Taking this to the next level is something Bryan and I are really looking forward to," Alex said. Mike Cantalupa, senior vice president of development for Boston Properties Inc., a Boston-based REIT, says this should be a good move. "They were in the business before and now they're in business in a different way and just a little more focused," Cantalupa said. "I assume they're well-financed because of the success they've had in the past. They hit the market right and did a great job." Reader Comments (0) Comments

To: Don Earl who wrote (11332)	9/19/2008 12:36:16 AM
From: NOW	Respond to of 71475

thank god for someone with a brain around here!

To: Don Earl who wrote (11332)	9/19/2008 2:51:00 AM
From: Gary Mohilner	Read Replies (1) \| Respond to of 71475

Don, I'm not disagreeing with much that you're saying about what happened, and I'm not looking to protect the foolish institutions that got us here. What I am suggesting is a way to clear out the glut of foreclosed homes that would eliminate much of the glut and get us back on the right track. I suppose it all begins with who will end up owning a home that's been foreclosed on, and where the financial institution that owned the loan has gone bankrupt. As I see it, even in bankruptcy others will eventually purchase the assets and the house will be in someone's portfolio at a price that's well below what the original financial institution had financed the home for. The party that now owns the home, but who's receiving nothing monthly for it would be well compensated by renting the home at rates which people could afford. Clearly the people should be qualified to take a lease, and while the idea may be to eventually permit them to buy the house, it would be at fair market value a number of years later. I agree a 20% down is wise, but if part of the rent is credited toward the purchase, perhaps after 5 years of renting 10% of the down payment is credited from the rent, thus the tenant must come up with an additional 10% and be qualified to finance the remainder. I don't know that any major govt. assistance is required to put such a program in place, but it seems that govt. is needed to make it happen. I frankly doubt if we'd be where we are if the foreclosing financial institutions attempted to work out something like a lease/purchase agreement with those foreclosed upon, and that failing tried to find another tenant. If we get rid of the glut of homes on the market, then construction may become as great as it was before all the foreclosures. Once all the dust settles I suspect the remaining companies that hold all the foreclosed real estate will have substantial equity in the properties because they acquired them for a fraction of what the initial financial organization had and when they're eventually sold, they will bring far more then what they acquired them for. In the mean time, rental income alleviates the need to put them right back on the sales market where they'll add to the glut and probably won't sell even at discount prices, just too many homes in that range. As I say, I agree with the idea that even first time buyers need to have 20% down, I just think a program that allows them to earn it while renting the home of their dreams is a smart way to do it. Gary

To: Don Earl who wrote (11332)	9/19/2008 5:46:22 AM
From: zamboz	1 Recommendation Respond to of 71475

Yep. Failure is absolutely essential in the market. How much of the worry is that the failure is too large for the common good or that it is too large for the good of the Republicans keeping the White House? We got here believing those clever Reagan quips on evil and inept government. Now failed deregulation is leading to heavy duty Socialism or, as Max puts it, Facism.