SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
No traction

Tuesday, Jan 28, 2014

* Maybe it’s because this Tribune story appeared a few days before Christmas, or maybe because the Tribune is no longer an AP member its stories aren’t being picked up by other papers like they used to, but it’s fascinating to me that this piece has gained absolutely zero traction

State Sen. Bill Brady’s homebuilding business has been sued twice for defaulting on loans worth millions of dollars since his last run for governor, including one case playing out in court as he seeks the 2014 Republican nomination.

Brady has built his political career in part on the success of his family’s Bloomington-based real estate development business, and he blames the recession that battered the housing market for the financial troubles that emerged as he launched his bid to unseat Democratic Gov. Pat Quinn in 2010.

The family business has continued to struggle. Just weeks before the March primary election, Brady is due in court in Bloomington for a status hearing on a $2.38 million loan default lawsuit filed against him, his brothers and several of their development companies after they failed to make good on a series of loans.

Last year, Brady resolved a $1.7 million default case in Champaign County Circuit Court by selling some of the mortgaged properties to a campaign contributor.

* Bill Brady and his family build houses. The national economic collapse wiped out a whole lot of home builders.

In May of 2011, just 726 single family housing building permits were issued in the entire state of Illinois. Things have improved a little, but not much. Just 1,011 permits were issued last May. Take a look, for instance, at this new report on “zombie properties” in Cook County to see how bad things still are.

So, I don’t really fault him for his family company’s troubles. Frankly, it’s even a little amazing to me that his company remains a going concern.

* And maybe that’s what’s really behind the lack of publicity here. Things sometimes happen to businesses that cannot ever be controlled by the businesses themselves. And if that’s the case, is this really an issue?

- Posted by Rich Miller        


25 Comments
  1. - cod - Tuesday, Jan 28, 14 @ 10:48 am:

    Many developers and builders did not default after the crisis because the Fed reduced interest rates to the point that it cost banks almost nothing to extend loans indefinitely.

    The builders and developers that did default were very often the ones who went way out on a limb to the highest degree of leverage so they could maximize returns.

    I dont know the specifics of Brady’s financial problems are, but I would not be so quick to exonerate his business practices. We need to see those details before we judge.


  2. - RINO - Tuesday, Jan 28, 14 @ 10:48 am:

    It’s a testament to their business skills that he and his family have been able to keep their construction business afloat. As a developer, myself, I’ve experienced the heavy handed ness of banks during the Great Recession…calling loans, requiring a 30% or more pay down of loans before refinancing, when you can’t sell properties to get the funds to meet their demands. I didn’t stay afloat, I salute those who have.


  3. - MrJM - Tuesday, Jan 28, 14 @ 10:49 am:

    Frankly, it’s even a little amazing to me that his company remains a going concern.

    Brady : Building :: Giannoulias : Banking

    – MrJM


  4. - walker - Tuesday, Jan 28, 14 @ 10:52 am:

    I just hope, when the attacks come, he doesn’t pull a Giannoulias, or a Christie, and say “I really have nothing to do with this kind of thing in our business.”

    He cannot have it both ways, uninvolved, but “bringing my business skills to government.”

    Just take the heat, and acknowledge the struggles of your company in this economy.


  5. - wondering in Lake County - Tuesday, Jan 28, 14 @ 10:54 am:

    He was a minority investor/partner in those entities. It doesn’t seem his financial exposure is enough to disrupt personally. Differing from BR, he and his family knowingly are dealing with issues in court, not claiming ignorance. Anybody that has/had exposure to real estate development is lucky to have survived.


  6. - Frank - Tuesday, Jan 28, 14 @ 10:55 am:

    The fact that this story hasn’t picked up traction is a sign that his campaign hasn’t picked up any either. If Rauner ends up with a poll in the closing stages of the campaign that shows Brady is his biggest threat, you can bet we’ll see this story surface in attack ads.


  7. - PoolGuy - Tuesday, Jan 28, 14 @ 11:01 am:

    Thanks Rich for posting, glad I got to read an article on zombie properties. never heard that term before.


  8. - wordslinger - Tuesday, Jan 28, 14 @ 11:02 am:

    It’s not an issue to me. We all got whacked when the bubble burst.

    From what I’ve read, Brady took sensible risks as all builders do. He wasn’t recklessly scamming and scheming with no regard to the lives of others.

    It was the reckless and immoral banksters who took money off the table before the crash, and got made whole on the taxpayer dime afterwards.

    Rather than Brady, Alan Greenspan and the other enablers who held a public trust should be answering to a judge.

    Eventually, they will have to, as we all will, and I trust that ultimate truth weighs on them every moment of ever day.


  9. - Drallid - Tuesday, Jan 28, 14 @ 11:08 am:

    I wonder if Bill Brady will do for Illinois what he has done to his families business — drive it into the ground?


  10. - NON STORY NO TRACTION - Tuesday, Jan 28, 14 @ 11:13 am:

    Brady is a non-story in this election. The press would rather write about BR because he is a new character in politics and with better headlines to make and the one who has a chance to beat Q. Brady had his day and the press realizes it, it is no fun to write about him anymore.

    If Brady’s lawsuit is an issue he should come clean by himself. He would at least then get some free press time, because we know he has no $$$$ for TV.


  11. - olddog - Tuesday, Jan 28, 14 @ 11:24 am:

    @ NON STORY NO TRACTION 11:13 a.m. –

    Nice job of slipping your talking point into a subordinate clause. Subtle. But you might want to know that some of the people who read the comments on a blog have a thing about SHOUTING in capital letters …

    http://answers.yahoo.com/question/index?qid=20110827084452AA6TkCO


  12. - Fred Derf - Tuesday, Jan 28, 14 @ 11:27 am:

    “Things sometimes happen to businesses essentially that cannot ever be controlled”
    Like old people dying in a nursing home?


  13. - Anonymous - Tuesday, Jan 28, 14 @ 11:28 am:

    “We all got whacked when the bubble burst.”

    Thankfully, Rahm Emanuel was providing needed supervisory oversight as a mortgage industry regulator… oh, never mind.


  14. - NON STORY NO TRACTION - Tuesday, Jan 28, 14 @ 11:32 am:

    @Old Dog……When I shout you will hear me. There were no capitals in the message…..

    But is see you don’t comment on the content of the passage. The facts speak pretty loudly for themselves.

    If I insulted you I’m sorry. If RM thinks I did something wrong he would delete my passage or at least ask me not to do it again.


  15. - PublicServant - Tuesday, Jan 28, 14 @ 11:47 am:

    Oh I don’t know. Rauner’s commercial buys I’m sure will mention it at some point. If he wasn’t aware of Brady’s troubles, and I agree with you that it really isn’t Brady’s fault, he sure is now. You may ne getting a thank you note from the trash-shovelers for Bruce.


  16. - Hans Sanity - Tuesday, Jan 28, 14 @ 11:49 am:

    I see it as an issue, but not so much so much in regards to the credibility of the Brady campaign.

    I question the value of new housing as a positive economic indicator. It’s more about population movement and shifts, especially with national fertility rates lower than replacement fertility.

    Communities based on new housing by luring non-immigrant populations from one area to another — urban core to outer metro area or vice-versa — are tough to sustain, especially environmentally.

    Instead of competing for the supposed attention of the world business in some PR rating system, I’d like to see candidates welcome international immigrants while continuing to get specific about maintaining and improving the quality of life for IL voters — roads, transportation systems, protection of water & natural resources, education, growth in agricultural products.


  17. - Rich Miller - Tuesday, Jan 28, 14 @ 11:50 am:

    === You may ne getting a thank you note from the trash-shovelers for Bruce.===

    LOL

    I’ll put it with all the hate mail they’ve been sending. :)


  18. - Judgment Day - Tuesday, Jan 28, 14 @ 11:50 am:

    Down in the Bloomington-Normal area (which is a fairly well off area, btw), Brady Homes isn’t the only builder. There’s already been a number of builders who are gone - It’s actually more of a story that they are still afloat.

    Beyond the builders, it’s the subs who are getting wiped out. That’s where the real problems are. When subs got to sell their tools just to keep the lights on and make partial payments on way overdue bills, you know it’s bad.

    Not likely to get better anytime soon.

    Btw, check around and see what has happened to staffing in both Code Enforcement/Building Departments in both villages, cities, and counties. That tells you the tale. Cutbacks are also occurring there.


  19. - olddog - Tuesday, Jan 28, 14 @ 12:04 pm:

    @ NON STORY NO TRACTION === There were no capitals in the message…..But is see you don’t comment on the content of the passage. ===

    Are there any capital letters in your screen name? As far as the substance of your post at 11:13 a.m., see my post at 11:08 a.m. I didn’t think I needed to repeat myself.


  20. - NON STORY NO TRACTION - Tuesday, Jan 28, 14 @ 12:12 pm:

    @olddog

    you don’t have a post at 11:08am…….


  21. - Pot calling kettle - Tuesday, Jan 28, 14 @ 12:16 pm:

    It’s relevant if Brady makes it relevant. It all comes down to how he touts his personal experiences with respect to his ability to and style of governing. He can turn it into somewhat of a positive by letting people know what happened, why, and how it informs his governing agenda. On the other hand, if he chooses the “I’m a successful businessman, let me bring that success to the Gov’s office” route, he’s setting himself up.


  22. - olddog - Tuesday, Jan 28, 14 @ 12:46 pm:

    @ NON STORY etc. 12:12 pm === you don’t have a post at 11;08am ….. ===

    If you’re going to troll for your candidate, you might want to read the comments. Will it help if I copy and paste it for you? Here:

    - olddog - Tuesday, Jan 28, 14 @ 11:08 am:

    How much traction are the stories on Rauner’s business dealings getting? Business reporting has always been a weak point, not just in Illinois but everywhere, and it doesn’t seem like it’s getting any better.


  23. - Juvenal - Tuesday, Jan 28, 14 @ 2:21 pm:

    In Brady’s Defense:

    His base doesnt care.

    he addressed this in 2010 pretty effectively by portraying his business as the victim of the Great Recession, which was pretty effective, and would be effective again I think.

    That said:

    To anyone expecting “the media” to vet primary candidates: Scott Lee Cohen.

    The part of the Tribune story that caught my eye was the sale of mortgaged properties to a campaign contributor to bail out his business. That deserves followup.


  24. - cod - Tuesday, Jan 28, 14 @ 3:11 pm:

    The story may have little public traction right now because there just isnt enough detail, but if I were Gov. Quinn’s campaign manager, I would assign someone to investigate the details for potential use in the future when he runs against Brady again.

    Some developers stiff their subcontractors and even their home buyers when they are in financial trouble, and there may be some media-worthy dirt somewhere. If there are any bankruptcies that resulted from Brady’s financial dealings, there will be lots of publicly accessible paper trails that remain afterwards.

    Or he may be squeaky clean, a developer with integrity who cares. There are as many of those as of the other type.


  25. - CYR - Tuesday, Jan 28, 14 @ 5:16 pm:

    Not an issue at all. The trib has tried to find stuff with this before. All they have is home builder struggles after housing market crash, WOW who da thought. Even the debtors say there is a good working relationship. This isn’t a wrongful death law suit with a billion in punitive damages, or an SEC accounting scandal or paying someone who has the influence to award you a 50 million dollars of state funds. The Trib tries to go after Brady again before ever touching rauner.. what a joke.


TrackBack URI

Sorry, comments for this post are now closed.


* Twitter suspends parody account @peoriamayor
* Lesson learned: Don't 'Leave'
* Fitch affirms Illinois GO Bond rating
* BGA: Rauner firm holds state contracts; political round-up
* Question of the Day
* CAPTION CONTEST!
* Morning Shorts
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

          
        * Fix These 5 Email Marketing Missteps Right Now
        * Hands-on with Flickr 3.0, with new features that make Flickr cool again
        * 3D-printed Nokia tech. In chocolate!
        * New Facebook for iPhone Lets You Reply to Comments on Pages
        * Twitter Beta for Windows Phone 8.1 brings back some integration features
        * iPhone contributes to GS5 success with trade-ins on the rise
        * CONTRA: Evolution now free on Android, still with IAP

        * 7 Incognito Wearables You'd Never Guess Were Gadgets
        * LinkedIn Publishing Platform: What Marketers Need to Know
        * Advertisers Reportedly Spending More Money On Bing Now
        * Azeroth Choppers Episode 1 Is Now Live
        * Additional iPhone 6 Concept Renders Surface
        * Optical Zoom To Hit HTC Handsets By Next Year
        * Marissa Mayer Looking To Get Apple To Use Yahoo For iOS Default Search

        * White Sox have had Rangers' number
        * Sale K's 10, but White Sox edged by Red Sox
        * Alexei sets White Sox record with 16-game streak
        * Sale K's 10, but White Sox stifled by Lester
        * White Sox 1, Red Sox 3: Classic pitchers duel blown by bullpen
        * Red Sox 3, White Sox 1: Classic pitchers' duel blown by bullpen
        * Danks-Nieto battery is clicking for White Sox


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        April 2014
        March 2014
        February 2014
        January 2014
        December 2013
        November 2013
        October 2013
        September 2013
        August 2013
        July 2013
        June 2013
        May 2013
        April 2013
        March 2013
        February 2013
        January 2013
        December 2012
        November 2012
        October 2012
        September 2012
        August 2012
        July 2012
        June 2012
        May 2012
        April 2012
        March 2012
        February 2012
        January 2012
        December 2011
        November 2011
        October 2011
        September 2011
        August 2011
        July 2011
        June 2011
        May 2011
        April 2011
        March 2011
        February 2011
        January 2011
        December 2010
        November 2010
        October 2010
        September 2010
        August 2010
        July 2010
        June 2010
        May 2010
        April 2010
        March 2010
        February 2010
        January 2010
        December 2009
        November 2009
        October 2009
        September 2009
        August 2009
        July 2009
        June 2009
        May 2009
        April 2009
        March 2009
        February 2009
        January 2009
        December 2008
        November 2008
        October 2008
        September 2008
        August 2008
        July 2008
        June 2008
        May 2008
        April 2008
        March 2008
        February 2008
        January 2008
        December 2007
        November 2007
        October 2007
        September 2007
        August 2007
        July 2007
        June 2007
        May 2007
        April 2007
        March 2007
        February 2007
        January 2007
        December 2006
        November 2006
        October 2006
        September 2006
        August 2006
        July 2006
        June 2006
        May 2006
        April 2006
        March 2006
        February 2006
        January 2006
        December 2005
        April 2005
        March 2005
        February 2005
        January 2005
        December 2004
        November 2004
        October 2004

        Blog*Spot Archives
        November 2005
        October 2005
        September 2005
        August 2005
        July 2005
        June 2005
        May 2005

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * Funding for Illinois school education under fire..
        * Gov. Quinn announces $4.4 million for projects .....


        * SIU to keep fall tuition for newcomers unchanged
        * 2 killed in Quincy fire identified as man, son
        * Wallenda scouts Chicago sites for tightrope walk
        * Man said to be homesick for prison gets 3 1/2 years
        * Nik Wallenda in Chicago to scout tightrope walk
        * Herbalife discloses investigation in Illinois
        * Beaman files new lawsuit in ISU case
        * Environmental groups sue to stop Illiana tollway
        * Illinois gives early OK to $100M for Obama museum
        * Illinois medical marijuana rules drop gun language

        * Aurora firearm training facility suggests online courses
        * Aurora firearm training facility suggests online concealed carry courses
        * Statehouse Insider: It’s spring break time!
        * Tough tax votes loom for lawmakers
        * Judge puts off ruling in suit against Rutherford
        * Lawmakers to discuss money for Obama library
        * Illinois House committee gives early OK to $100M for Obama museum
        * Quinn promotes autism awareness at Brookfield Zoo
        * Broadcaster Samuelson named to Illinois Racing Board
        * Gun language dropped from state medical marijuana rules

        * Nik Wallenda in Chicago to scout tightrope walk
        * Michaels Stores confirms breach of as many as 2.6 million cards
        * Career Education CEO got $4.8 million in 2013
        * Environmental groups sue to block Illiana Expressway
        * Don Thompson's smoking habit


        * Free floating ethics in Cook County
        * Ex-con who robs bank to go to jail gets 3.5-year sentence
        * Wallenda says Willis Tower not suited for high-wire act
        * CTA plans L overpass at Belmont to eliminate bottleneck
        * Analysis: Pension reform to cost workers $55 million by 2025
        * City misses chance to share in $2.2 million fraud judgment
        * Democrats say data show schools suffer if tax rate trimmed back
        * 12-year-old boy shot in Altgeld Gardens neighborhood
        * UIC, faculty union reach tentative agreement
        * Even casual marijuana use can alter the brain, new study shows


        * 12-year-old boy, 6 others wounded in separate South, NW Side shootings
        * Teen pulled from Crystal Lake pond
        * CTA: 16 buildings need to be razed for Belmont 'L' overpass
        * Lawsuit filed over traffic stop caught on police video
        * Elderly bank robber sentenced to prison
        * Northwest Indiana mayor, wife and step-daughter indicted
        * Environmental groups file suit to stop $1.3B Illiana toll road proposal
        * Sheriff pushes probes of policing woes in suburbs
        * Vanecko attorneys seek to dismiss lawsuit by David Koschman's mother
        * Emanuel defends Claypool's controversial CTA hires


        * Nine Illinois lawmakers vote to fund Obama library - but only five members in attendance
        * WBEZ's Student Stories
        * Interview: John Tinker & The Landmark Case On Students' Right To Free Speech
        * State Legislation Hints At Marijuana Legalization
        * Plan Threatens Proposed Downstate Casinos
        * Raising Gax Tax "Unwise," Says Quinn, But Offers No Other Ideas
        * How Much Would Your School District Lose?
        * Illinois Senate Joins Push For U.S. Constitutional Convention
        * Study: Pre-K Education Provides For Economic Growth
        * The Vanishing Millionaire Tax


        * Our Opinion: Local schools stand to lose in tax debate
        * Dave Tretter: MAP funding critical to Illinois’ success
        * Aurora firearm training facility suggests online concealed carry courses
        * Judge puts off ruling in suit against Rutherford
        * Illinois House committee gives early OK to $100M for Obama museum
        * Gun language dropped from state medical marijuana rules
        * Bernard Schoenburg: Scherer got more than $90,000 from Madigan in primary
        * Bernard Schoenburg: Scherer got more than $90,000 from Madigan in primary
        * Tom Bertrand: Poverty grants contribute to inequality among Illinois schools
        * Report: Big cuts to state aid for schools if income tax increase expires


        * Advisers: 'Champions for our students'
        * A forecast to write home about
        * Scott County offers to test water, seal wells
        * Michelle Obama: High school diploma is not enough
        * Vehicle burglarized in Carbondale
        * S.I. Women's Connection to host luncheon
        * Hospice to present mystery dinner
        * JALC students awarded scholarships
        * Old King Coal festival coming in May
        * Unity Christian School presents 'American Ideal'


        * The 10th District money race
        * Aurora Democrat calls out IHSA
        * Lawyers: Ill. hazing law vague, unconstitutional
        * Ill. House OKs lower-cost hunting bill for seniors
        * Quinn’s running mate takes new consulting job

        * Lewis lauds Dirksen's role in civil rights...
        * Schock opponent Darrel Miller speaks to te...
        * Congressman Wants IRS Official Prosecuted ...
        * Representative Aaron Schock on Tax Reform ...
        * Schock: IRS official should be prosecuted ...
        * Aaron Schock selfies from the audience at ...
        * Susan G. Komen Global Race for the Cure® A...
        * Lipinski seeks artistic submissions - The ...
        * Schock Praises Illinois Counties for Top N...
        * Schakowsky in Tokyo for Aspen Institute co...

        * Loading Koch Industries Website Too Many T......
        * Maryland and DC among worst for food aller......
        * Cleveland State University to reestablish ......
        * Convicted political boss Al Sanchez runnin......
        * Candidates make last filings for local, st......

        * Illinois Lt. Gov. Simon opposes pension le......
        * Dillard Odd Man Out on Pension Deal Reaction...
        * Sen. Mark Kirk sides with Rauner on pensio......
        * Governor's race infighting threatens pensi......
        * SCHOONERS - Home of Everyone's Favorite Be......

        * Tweeting Chicagoland | Episode 7: Tripling Down
        * If Only Adam Eaton Could Pitch
        * The Week In Chicago Rock
        * Beachwood Photo Booth: Bartender Man
        * Flip, Flop, Repeat
        * What do Obama/Yoda have in common
        * Red Line meeting next month and other thoughts on transit plans
        * Conan: Bill Tull's Budget Easter tips
        * Applications For US Jobless Aid Edge Up To 304,000
        * War Of Words In Northwestern-Athletes' Union Fight


        * Illinois filmmakers invited to enter state’s Shortcuts competition - 7th year for Illinois Film Office contest honoring local talent
        * Injured Worker Charged with Workers’ Compensation Fraud - Defendant Lied Under Oath to IWCC Arbitrator in an Attempt to Obtain Benefits
        * State-wide Veterans Service Offices Will Be Closed for Annual Training
        * Liquor Control Commission March Underage Compliance Report
        * Governor Quinn Releases First-Ever Illinois Bike Transportation Plan - Plan Formally Makes Bicycles Part of Illinois’ Long-Range Transportation Vision




            Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller