A look at stories across HousingWire's weekend desk, with more coverage to come on bigger issues:
A housing development strategy released by an organization called Sustainable Communities Strategy is ruffling some feathers in the real estate development world with many believing it has the potential to stymie single-family residential development in the San Francisco Bay Area while favoring high-density housing developments.
John Burns Real Estate Consulting released a report saying "one size will not fit all in the San Francisco Bay Area." The report claims a recent study released by Sustainable Communities Strategy is biased based on the fact that it favors the idea of increased demand for high density housing over conventional single-family, suburban homes.
In its local market building intelligence report, John Burns Consulting wrote, "Developed by the Association of Bay Area Governments, these guidelines would mean that future single family builders in the Bay Area would bear the brunt of a strong movement toward high density development. While the goal - to limit pollution through transportation policies - is a worthy one, getting there by way of the SCS proposal is a well-intentioned impossibility that would leave little room for traditional housing stock."
Mortgage debt buyer BlackRock is one of a few firms turning to corporate debt after growing frustrated with the yields on benchmark government bonds, Bloomberg news wrote this weekend.
The report claims BlackRock, which has been involved in the acquisition of mortgage debt, is tired of government bonds that pay close to zero percent, so they're turning to corporate debt, according to Bloomberg.
The Federal Deposit Insurance Corp. announced the closing of five U.S. banks on Friday. First, the regulator announced the Second Federal Savings and Loan Association of Chicago was shut down. Hinsdale Bank & Trust Co. assumed all of the bank's deposits. In March, the bank had $199.1 million in total assets and $175.9 million in total deposits.
In Kansas, regulators closed Heartland Bank in the city of Leawood. Metcalf Bank in Lees Summit, Mo., ended up assuming all of the bank's deposits.
Then, in Georgia, the FDIC shuttered the doors of First Cherokee State Bank in Woodstock. Community & Southern Bank out of Atlanta assumed all of First Cherokee's deposits. Georgia, which has been racked by bank failures in recent years, also saw the closing of Georgia Trust Bank out of Buford. Its deposits also were transferred to Community & Southern Bank.
In addition, The Royal Palm Bank of Florida in Naples, Fla., was shut down. The deposits were transferred to the First National Bank of the Gulf Coast. The bank is the 34th FDIC-insured bank to fail this year and the 5th in Florida. This closing alone will cost the bank $13.5 million.