spacer
DJIA S&P 500 NASDAQ Market Index Charts

Cities Fight Glut of Vacant Houses

SLIDESHOW
    Previous          Next    
Judge Raymond Pianka talks with Sylvester Parsons, who is in danger of losing his home, Thursday, Jan. 24, 2008, in Cleveland. Weary of lenders and wholesalers who don't show up in his courtroom to answer to housing code violations like unsecured doors and windows on foreclosed properties, Pianka began holding trials without them. (AP Photo/Tony Dejak)
Judge Raymond Pianka talks with Sylvester Parsons, who is in danger of losing his home, Thursday, Jan. 24, 2008, in Cleveland. Weary of lenders and wholesalers who don't show up in his courtroom to answer to housing code violations like unsecured doors and windows on foreclosed properties, Pianka began holding trials without them. (AP Photo/Tony Dejak) (Tony Dejak - AP)
Cleveland residents Joyce Porozynski, left, and Charles Gliha pose for a photo taken through the broken window of an abandoned home in their neighborhood, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak)
Cleveland residents Joyce Porozynski, left, and Charles Gliha pose for a photo taken through the broken window of an abandoned home in their neighborhood, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak) (Jamie-andrea Yanak - AP)
An abandoned home in Cleveland is seen Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak)
An abandoned home in Cleveland is seen Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak) (Jamie-andrea Yanak - AP)
Property cleared out of an abandoned home in Cleveland is seen strewn about its backyard, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak)
Property cleared out of an abandoned home in Cleveland is seen strewn about its backyard, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak) (Jamie-andrea Yanak - AP)
A sign informing would-be scrap burglars that the copper has already been removed is posted in the front window of an abandoned home in Cleveland, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak)
A sign informing would-be scrap burglars that the copper has already been removed is posted in the front window of an abandoned home in Cleveland, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties,roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak) (Jamie-andrea Yanak - AP)
The inside of an abandoned home in Cleveland is seen through a broken window, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties, roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak)
The inside of an abandoned home in Cleveland is seen through a broken window, Friday, Jan. 25, 2008. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008. Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties, roughly 4 percent of its 395,000 houses. (AP Photo/Jamie-Andrea Yanak) (Jamie-andrea Yanak - AP)
Charles Gliha stands in front of the home he grew up in and inherited from his mother, Friday, Jan. 25, 2008 in Cleveland. While vacant houses, some stripped bare of aluminum siding, dot the streets, casting a gloom on their well-maintained neighbors, Gliha has not given up hope and has no plans to leave the home where he grew up. (AP Photo/Jamie-Andrea Yanak)
Charles Gliha stands in front of the home he grew up in and inherited from his mother, Friday, Jan. 25, 2008 in Cleveland. While vacant houses, some stripped bare of aluminum siding, dot the streets, casting a gloom on their well-maintained neighbors, Gliha has not given up hope and has no plans to leave the home where he grew up. (AP Photo/Jamie-Andrea Yanak) (Jamie-andrea Yanak - AP)
Discussion Policy
Comments that include profanity or personal attacks or other inappropriate comments or material will be removed from the site. Additionally, entries that are unsigned or contain "signatures" by someone other than the actual author will be removed. Finally, we will take steps to block users who violate any of our posting standards, terms of use or privacy policies or any other policies governing this site. Please review the full rules governing commentaries and discussions. You are fully responsible for the content that you post.
By JOE MILICIA
The Associated Press
Wednesday, February 6, 2008; 2:24 AM

CLEVELAND -- Judge Raymond Pianka views his courtroom as the emergency room of the foreclosure crisis.

Weary of lenders and wholesalers who don't show up to answer to housing code violations like unsecured doors and windows on foreclosed properties, he began holding trials without them.

He's put 12 companies on trial in absentia and has fined most, leaving each unable to sell any properties in the area until it pays up.

Rust Belt cities, already beaten down by a miserable economy before foreclosures began spiraling nationally, are moving to cut the number of houses left vacant when the mortgage can't be paid. At stake are valuable tax dollars and the survival of neighborhoods.

County treasurers and mayors are filing lawsuits and developing land banks to buy distressed properties and either demolish them or repair and sell them. Buffalo, N.Y., brings property owners and lenders together in court on monthly "Bank Days" to find solutions for cleaning up vacant homes.

"It's not a matter of if we do it. It's a matter of when we do it," City Councilman Tony Brancatelli said of the land bank planned in Cleveland.

"We can't afford to miss this opportunity. The countywide land bank is going to be a great opportunity for us to seize real estate. We have to stop the cycle of abandonment," he said.

A record-setting number of foreclosures nationally has helped drive down the U.S. economy. A report commissioned last November by the U.S. Conference of Mayors projected that 361 metropolitan areas would take an economic hit of $166 billion in 2008.

Cuyahoga County, which includes Cleveland, has about 17,000 vacant foreclosed properties _ roughly 4 percent of its 395,000 houses. Baltimore has 16,000, up from 12,300 in 2000.

"The homeowner just assumes, well the bank's going to take my house, but the bank can make the economic decision not to take the house," said Cindy Cooper, a Housing Court prosecutor in Buffalo. "Then that leaves two parties walking away, each one thinking that the other is going to take care of the house."

Pianka still lives in the neighborhood where he grew up and knows firsthand the blight of houses with boarded-up windows.

"The scrappers are taking the jewelry off the corpses that are left," he said from his 13th-floor office which overlooks frozen Lake Erie.


CONTINUED     1           >

More in Business

Time Space Economy

Time Space Economy

Explore economy news through text and photos from around the world.

WashBiz Blog

Local Companies

Post editors and writers keep you informed about the region's business community.

Economy Watch

Economy Watch

Stay updated with the latest breaking news about the financial crisis.

© 2008 The Associated Press