[EMAIL PROTECTED] wrote:

> [from GDL post] In addition, we have to engage lenders in some of these 
> discussions.  Lenders have absolutely no interest in a building's occupancy 
> once they foreclose--they would rather the building sit empty, shut off the 
> water, etc., until it is sold.  We need incentives for lenders to maintain 
> the building as an occupied building after foreclosure and to work to get it 
> sold quickly rather then letting it sit empty and possibly decline further.
>  
> Rebuttal: Keith [Reitman] says, Lenders have absolutely EVERY interest in a 
> building's occupancy after they foreclose. Why would a lender left holding 
> the debt for a property a borrower ran from want "...the building ...(to)sit 
> empty, ...(to)shut off the water, etc., until it is sold(?)"Water shut off 
> and abandonment leads to board up, break in, arson, freeze damage, and many 
> other perils that lead to condemnation, speedy depreciation of  lenders 
> collateral and possibly a vacant lot/total loss. I do presume this type of 
> outcome more likely in North Phillips then Kenwood but I haven't seen to many 
> abandoned sites in Kenwood lately.

Sadly, we are currently seeing a bank/lender "abandon" a building in 
Hawthorne after a foreclosure, despite our ability to manage it, bring 
it up to code, pay water bill, etc. (prior to foreclosure we were 
appointed to keep the building habitable).  The lender just wants it off 
its bad debt list and will dump it as soon as possible, though with 
their red tape sooner is not typically soon enough.  Now it is vacant 
(the bank gave the tenants notices to move, something we could do little 
about) the water is off, no one is monitoring it, and who knows what 
will happen.  Let's see if this property goes down or someone comes 
forward to purchase and rehab soon.  I'm pessimistic and disappointed.

Gregory Luce
North Phillips

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