Renal Alliance Makes Second Memphis Purchase

Franklin, Tenn.-based National Renal Alliance LLC has bought a vacant lot at 1200 Marlin Road in Whitehaven and filed a $1.3 million loan with First State Bank for the property. National Renal Alliance, which provides nephrology and dialysis services, bought the property in a special warranty deed for $200,000 from Marlin Lacey Mosby via Regions Bank.

The 1.39-acre parcel of land is on the northwest corner of Marlin and Pace roads, near the intersection of East Raines Road and Elvis Presley Boulevard.

It’s the second purchase National Renal Alliance has made in Memphis this year. In July, the organization bought an 18,482-square-foot commercial building at 1333-1341 Poplar Ave. from Loeb Realty for $500,000, filing a $1.5 million loan on the property.

The company doesn’t have any facilities in Memphis, but it does have four locations in Middle Tennessee. M. David Skelton, chief financial officer for National Renal Alliance LLC, signed the trust deed with First State Bank. The transaction also included a collateral assignment of rents and leases.

Calls to the company for comment on its plans for the Memphis market were not immediately returned.

Source: The Daily News Online & Chandler Reports

County Commission To Consider Bass Pro

The Shelby County Board of Commissioners will vote today on a development agreement for Bass Pro Shops at The Pyramid, a vote that comes on the heels of a negative recommendation from the commission’s Economic Development & Tourism Committee last week.

The vote is expected to be close but is a prerequisite for the development agreement, which needs the approval of both the city and county governing bodies. The agreement would give Bass Pro another year to sign a lease for The Pyramid. The City Council already has given its OK to the agreement.

The meeting today will begin at 1:30 p.m. at the Shelby County Administration Building, 160 N. Main St.

Plan Could Help 1.5M Keep Homes, FDIC Says

Publicly breaking with the Bush administration’s official stance, the Federal Deposit Insurance Corp. proposed Friday to use $24 billion in government funding to help 1.5 million American households avoid foreclosure.

The FDIC posted the plan on its Web site two days after Treasury Secretary Henry Paulson rejected the idea of using money from the $700 billion bailout of the financial industry to pay for such a proposal. A Treasury spokeswoman declined comment Friday.

The agency’s plan would guarantee 2.2 million modified loans – mainly risky loans made to borrowers with weak credit or small down payments – through the end of next year. Borrowers would get reduced interest rates or longer loan terms to make their payments more affordable.

“If we can avoid those foreclosures, then you will get more stability in the housing market,” Michael Krimminger, a senior

adviser to FDIC Chairwoman Sheila Bair, said in an interview Thursday.

The FDIC says the government’s backing will make the lending industry more willing to modify loans because taxpayers will absorb half of the losses if the borrower defaults again. Also, loan servicing companies, which collect and distribute mortgage payments, would be paid $1,000 for each loan they modify.

Even if a third of borrowers default again on their modified loans, 1.5 million homes would still be saved, the FDIC says. Under the

agency’s plan, monthly payments shouldn’t total more than 31 percent of homeowners’ pretax monthly income.

The FDIC says its plans should apply to an estimated 4.4 million loans that are likely to become delinquent through the end of next year. That estimate excludes loans held by mortgage finance companies Fannie Mae and Freddie Mac, which on Tuesday launched their own loan modification program modeled after the FDIC’s effort at failed IndyMac Bank.

The agency has been an aggressive proponent of efforts to alleviate the foreclosure crisis. FDIC officials sounded early warnings about a rise in defaults among risky loans, and have repeatedly reaped praise from Congressional Democrats.

Freddie Seeks Gov’t Aid After $25.3B Loss

Freddie Mac is asking for an initial injection of $13.8 billion in government aid after posting a massive quarterly loss.

The mortgage finance company is making the first request to tap the $200 billion promised by the Treasury Department to keep it and sibling company Fannie Mae afloat after the two were seized by federal regulators more than two months ago. Freddie Mac said it expects to receive the money by Nov. 29.

The McLean, Va.-based company posted a loss Friday of $25.3 billion, or $19.44 per share, for the third quarter.

The results compare to a loss of $1.2 billion, or $2.07 a share, in the year-ago period. Analysts were looking for a loss of 89 cents per share for the latest quarter, according to Thomson Reuters.

The loss was mainly due to a $14.3 billion charge to reduce the value of tax assets, but also was driven by $9.1 billion in writedowns on mortgage securities, and $6 billion in credit losses due to soaring mortgage delinquency rates and foreclosures.

Freddie Mac said that rising unemployment rates, tightening credit and deteriorating economic conditions “contributed to a substantial increase in the number of delinquent loans,” including prime loans made to borrowers with strong credit.

“Continuing home price declines and growing unemployment are now affecting behavior by a broader segment of mortgage borrowers,” the company said in a Securities and Exchange Commission filing.

Freddie Mac’s overall delinquency rate rose to 1.22 percent, from 0.9 percent at the end of June, and 0.5 percent a year earlier. The number of foreclosed properties that Freddie Mac holds rose to 28,000 from 22,000 in June.

TVA to Reduce Rates Beginning in January

The Tennessee Valley Authority reported last week that it was decreasing its fuel cost adjustment effective Jan. 1.

Residential consumers can expect a decrease ranging from $4 to $8 in their monthly power bills, the agency reported. Reductions in natural gas prices and purchased power allowed the agency to make the reductions, said Kim Greene, TVA chief financial officer, in a statement. However, Greene said coal prices remain high.

About 60 percent of TVA’s power supply comes from fossil fuels, primarily coal, the agency reported.

Student’s Trial Delayed In Palin Hacking Case

A federal magistrate has postponed the trial of the son of a Tennessee state lawmaker charged with breaking into the e-mail account of former Republican vice presidential candidate Sarah Palin.

Both federal prosecutors and defense attorneys want more time to prepare for the trial of 20-year-old University of Tennessee student David Kernell of Knoxville, saying they will need computer experts to understand the evidence against Kernell. He is the son of state Rep. Mike Kernell, D-Memphis.

U.S. Magistrate Judge Clifford Shirley agreed Friday to move the trial from next month to April.

Defense motions to dismiss the case and stop referring to Kernell as a “hacker” won’t be heard until March.

Kernell is accused of tapping into Palin’s personal e-mail account in September, resetting her password and posting his exploits on the Web.

Lenny’s Launches Anniversary Sweepstakes

Memphis-based Lenny’s Sub Shop launched a 10th Anniversary Scratch-and-Win Sweepstakes on Sunday that will include a $100,000 grand prize.

The campaign is engineered by Chicago-based Robust Promotions and will distribute the Scratch-and-Win cards at all 180 Lenny’s Sub Shops nationwide for an estimated three to four weeks.

Prizes will include free fountain drinks, sub sandwiches, party platters for 10 and gift cards up to $500.

To register for the $100,000 grand prize, customers must visit www.lennys.com to register a unique code from their Scratch-and-Win game card. The winner of the jackpot will be announced at the end of January.

Lenny’s describes the sweepstakes as an economic stimulus package to its loyal customers.

Customers can redeem their winnings through Jan. 15.