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Bankruptcy judge rejects Charles Street’s repayment proposal Howard Manly
Kasib Sabir points out a problem spot on Intervale Street to mayoral candidate John Connolly during a tour of Grove Hall. Looking on are Tony Richards and Michael Williams. (Yawu Miller photo)
Connolly, Walsh compete for support from blacks, Latinos Yawu Miller In the mayoral preliminary, the challenge for any of the serious contenders was in securing and turning out their respective voter bases. The two candidates most successful in that game — Marty Walsh and John Connolly — advanced to the final election. Connolly relied heavily on the predominantly white neighborhood of West Roxbury, where he resides, Walsh on South Boston and the predominantly white precincts in Dorchester, where he lives. Between their neighborhoods live the majority of Boston’s communities of color — African Americans, Latinos, Cape
Verdeans, Vietnamese and Chinese. Add in the progressive-voting whites who populate Jamaica Plain and the South End, and you have a near-complete list of the constituencies for whom Connolly and Walsh must now contend. “The communities of color vote is a game changer,” Walsh says. Both candidates desperately need to change their game. Neither had more than a thin sliver of votes in the city’s predominantly black and Latino precincts in the preliminary. “Both candidates have a lot of work to do,” said State Rep. Jeffrey Sanchez, whose district includes parts of Jamaica Plain and a
sliver of Brookline. “The next few weeks will be very interesting.” To reach black, Latino and Asian voters, the candidate will have to speak to their issues, Sanchez says. That means they will have to address a wide range of issues, including crime, educational disparities and economic disparities. “There’s a lot of prosperity in this city,” Sanchez commented. “We want to make sure that prosperity is flowing in the heart of the city as well.” The tension ratchets up this week as key community groups and individuals make endorsements. At large City Councilor Felix G. Arroyo and former Election, continued to page 8
annual expenses of $770,000 to operate the center while generating Bankruptcy Judge Frank Bailey annual revenues of only $200,000. readily admitted that he wanted The $570,000 shortfall, according to give Charles Street AME to Charles Street’s plan, would come church every benefit of the doubt from charitable giving to the church. in their contentious battle with None of these figures include OneUnited Bank. repayment of debt, a point that “Given the vital mission of Judge Bailey highlighted in his Charles Street — vital to its mem- decision. In one version, Charles bers and its community — the debtor Street had proposed repaying must be afforded considerable lati- OneUnited $27,000 per month tude in achieving financial stability,” over a 20-year period. Bailey wrote in his 73-page decision “It is unrealistic to expect the last week. “The court will indulge all [center] to support debt service at reasonable efall,” Judge Bailey forts to ensure wrote. “At best it reorganization.” will help defray But not even its own expenses. Bailey could apDebt service on prove Charles the restructured Street’s plan to loan would likely repay about $5 be borne enmillion in debt tirely by Charles to the bank and Street, without other creditors. help from the As proposed, he [center].” wrote, the reAccording to payment plan Charles Street’s — Frank Bailey plan, help was would leave Charles Street Bankruptcy Judge e x p e c t e d t o “on the edge of come from Bain insolvency for Capital and the two decades — a congregation living church’s regional board, the First for its debt.” Episcopal District of the African With about $5,000 in cash and Methodist Episcopal Church, based running monthly operating defi- in Philadelphia. cits of as much as $20,000, Charles The two partners had proposed Street’s plan relied heavily on com- giving Charles Street $1.5 million, pleting its proposed Roxbury Re- half of which would come from Bain naissance Center. Located near the Capital and the other half from the church in Grove Hall, the center First District, and that money was to would then be used for events and be used to complete construction on other functions in which the church the Renaissance Center. would receive rental income to repay In exchange, the court was asked its outstanding debt. to release the First District from its But the church’s numbers were obligation as co-signer of Charles what bank officials characterized Street’s original $3.6 million conas speculative and unrealistic. The struction loan. Charles Street, continued to page 9 church estimated that it would have
“It is unrealistic to expect the [center] to support debt service at all. At best it will help defray its own expenses.
NEU expansion plans trigger big concerns Martin Desmarais This week Northeastern University goes in front of the Boston Redevelopment Authority with its new 10-year master plan for expansion and development, along with a request for a permit to start work on a new science center. Community concern has risen quickly about the amount of student housing that will be part of this plan, the lack of communication with adjacent neighbors and response to worries voiced by those neighbors.
Northeastern’s appearance before the BRA is scheduled for after the Banner goes to press on Tuesday evening. Northeastern did not return calls for comment on the proposed plan and many parties involved are holding comments until after the BRA’s response. All told Northeastern is proposing about $2 billion in construction on approximately 3 million square feet of university land, with a substantial portion of this construction in Roxbury. Expansion, continued to page 10
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Northeastern University’s new master plan proposes $2 billion in construction over the next 10 years. Neighbors of the university are concerned about the impact of expansion and an increase in students living off campus. Above: The campus of Northeastern sits next to the Whittier Street Public Housing Development in Roxbury.
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