Cuyahoga Land Bank Board President and Cleveland Councilman Tony Brancatelli as well as Cuyahoga Land Bank Board Member and Cleveland Chief of Regional Development Chris Warren joined Ohio Attorney General Mike DeWine at a press conference on Friday, February 10th in front of a foreclosed, abandoned home on E. 144th Street in Cleveland. They gathered together for DeWine’s announcement of his commitment to spend a portion of the money resulting from a 49 state settlement with the nation’s five largest mortgage lenders and servicers on demolition.
The $26 billion settlement agreement took place between 49 State Attorney Generals and Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial. $335 million of that settlement is expected to go to Ohio. DeWine said settlement dollars will be directed to four areas:
-$102 million for Ohio borrowers seeking direct relief, including loan modifications;
-$44 million for victims of mortgage abuse who lost their houses between Jan. 1, 2008 and Dec. 11, 2011;
-$90 million in refinanced loans for those who owe more than their house is worth; and,
-$97 million for ongoing efforts in neighborhood revitalization, foreclosure and fraud prevention.
At the press conference in Cleveland, DeWine committed to working with organizations like the Cuyahoga Land Bank to spend $75 million specifically on demolition. He expects millions of that chuck to come to Cuyahoga County and hopes to leverage the money with local matches.
“I think Ohio is leading this effort to fight foreclosure,” said DeWine. “No other state has made this kind of commitment to demolition.”
Ohio Attorney General looks to Land Bank as potential partner to help make use of $355 million to come to Ohio as a result of a 48 state settlement with 5 largest mortgage lenders
