Upcoming Events

Event
Boston CRE Panel: Diversity, Equity, and Inclusion
Online
12:00pm
 
REFA Golf Tournament
Dedham Country & Polo Club
9:00am
 
Hiring Diversely With Intention
Online
12:00pm
 

REFA Members,

2020 has been an unexpected year, and REFA thanks you for your continued support of our organization. 
Click on the photo below to view a special video message from the 2020 REFA Board.
REFA Board Video
GBREB NEWS

Newton Centre Realty, Inc v David Jaffe

Newton Center Realty, Inc. V David Jaffe
Massachusetts Appeals Court
No. 19-P-1082
Argued 3/3/20-Decided 6/23/20

On June 23, 2020 the Massachusetts Appeals Court decided a case of first impression in the Commonwealth regarding brokerage fees.  The question addressed was does the death of a seller terminate a real estate brokerage agreement between the seller and a broker.

Facts: 
In 2017 a seller entered into three exclusive brokerage agreement to sell two residential properties in Brookline and one in Newton.  The agreements were on standard GBREB forms.  Under each agreement the broker was entitled to a four percent commission.  The seller died and the seller’s son sold the properties independent of the broker, but within the exclusivity period of the agreements that had been properly executed.  The broker sued the Sellers estate and was unsuccessful at trial.  The case was brought up on appeal. This issue had not been decided under Massachusetts law.  

Decision: 
The agreements here created a principal-agent relationship that entitled the broker to a commission if Shirley’s (the Seller) properties were sold within the exclusivity period.  They did not confer an interest in the property.  Accordingly, Shirley’s death terminated the agency relationship, and the broker was not entitled to recover contract damages from Shirley’s estate.  The Superior Court judge properly dismissed the complaint for failure to state a claim. 
The Appeals Court upheld the lower court ruling that the death of the seller terminated the agency relationship, and the broker was not entitled to a commission.
 



Broker Fee Appeals Court Decision

New England Real Estate Journal - May Recap
GBREB NEWS

MEMBER RESOURCES

Information is rapidly changing.  GBREB will update this post as new information becomes available. There's a lot of information about government's response to COVID-19, however we have narrowed the focus of this page to issues impacting the real estate industry to serve as a resource for our members. 

Additional information, including legal advisories are available to members here .

MASSACHUSETTS EXECUTIVE ORDERS AND ADVISORIES
Reopening in Massachusetts 5/18/19
Phase 1 Re-Opening Safety Standards For Workplaces , EOHED, 5/12/20
Re-opening: Four Phase Approach, EOHED, 5/12/20
Advisory on Residential Evictions , Massachusetts Attorney General, 5/8/20
Short-term residential rentals, Department of Public Health, 3/31/20
Mortgage Loan Borrowing , Division of Banks, 3/25/20
Constuction Letter With Guidance  3/25/20
COVID-19 ESSENTIAL SERVICES  Order of  the Governor Assuring Continued Operation Of Essential Services  
Essential Services FAQ
SMOKE ORDER Smoke Alarm and Carbon Monoxide Inspections for One and Two-Family Dwellings and Three to Five-family Apartment Buildings
Standing Order Housing Court
DHCD Resources For Renters and Homeowners

BOSTON EXECUTIVE ORDERS AND ADVISORIES
Rental Relief Fund
Guidelines For Open House and Apartment Showing Policy
Construction Update 5.6.20
Construction Notice 3/25/20
Construction Permitting 3/16/20

DIVISION AND AFFILIATE RESOURCE PAGES

Building Owners and Managers, BOMA Boston, BOMA International
Multifamily Apartments, Massachusetts Apartment Association, National Apartment Association   
REALTORS, Greater Boston Association of REALTORS, Massachusetts Association of REALTORS, National Association of REALTORS
Commercial Brokers Association
Real Estate Finance Association






COVID-19

New England Real Estate Journal - April Recap

New England Real Estate Journal - March Recap

REFA Webinar Recap

COVID-19: How it’s Impacting the CRE Industry
Challenges – Implications – Best Practices

 

Presented by: Robert Allaire, CFO/Principal, Allaire Risk, LLC;

Paul AyoubPartner, Nutter; Jon DavisCEO & Founder, The Davis Companies;

Wendy FiscusPartner, Nutter; Robert Palter, Senior Partner, McKinsey & Company,

Claudia Piper, Webster Bank, 2020 REFA President, Navjot SinghSenior Partner, McKinsey & Company, 
John WolffSVP/Real Estate Market Executive, Commercial Real Estate Banking, Bank of America

 

Top Takeaways from our Speakers:

 

Confusion about construction projects with City and State Regulations in conflict. 130 City of Boston construction projects stopped with $7 billion in value. 

 

Construction is struggling with supply chain issues. Chinese factories have largely been open for the last week or two. Some Canadian factories are now getting back up and running if they have contractual obligations that pre-date the crisis that they need to fulfill. 

 

Capital Availability coming into the crisis was very strong in the US banking system and has been available through the banks as businesses and consumers tap credit lines without issue.  That said, capital will become more precious as this downturn persists in length and bank earnings decline from recessionary factors.  

 

Debt funds will be severely impacted in the current environment due to higher exposure to impacted asset classes including hotels and retail and potential mark to market/covenant issues from funding sources; and loss of ongoing funding sources from banks and the CLO market.

 

CMBS has been impacted with new loan originations and issuance essentially shut down; will be on the sidelines until market certainty improves and bond buying resumes

 

Pricing of CRE Capital has widened considerably for both public and private debt and loan markets.  Price discovery in process although there are fewer transactions so spread and floor requirements vary considerably. New loan originations in general will likely require significant spread increase of 100bps +/- with floors of 75bps+/-.

 

Regulatory Assistance: Interagency guidance from federal regulators this week encourages financial institutions to defer payments on loans impacted by COVID0-19 for up to 180 days.  This guidance allows banks to work with borrowers who will have troubles meeting their requirements due to COVID-19, especially on hotel and retail loans, without these loans being accounted for as Troubled Debt Restructures (or impaired).  Loans must be current prior to the crisis to be eligible for this type of modification and payment relief

 

Pandemics typically do not fall into Business Interruption Insurance.  Landlords may also try to make claims under other sections of their insurance policies. 

 

Force Majeure: There is only a small amount of case law on the subject of Force Majeure over the past 100 years and cases do not relate to pandemics.  For any claim, the language must be closely reviewed to determine applicability.  A governmental shutdown of construction sites would likely qualify as an unanticipated event beyond the reasonable control of a party.  Even if a contract does not have express Force Majeure language, the common law doctrines of frustration of purpose and impracticability may apply.  Keep in mind that even if Force Majeure does apply, that may only permit a delay in performance and not an excuse to performance. 

 

Use of technology is at an all-time high, this event will drive further adoption.  Challenges come with technology including privacy issues, less social interactions. Relationships will still prevail. 

 

Anticipating a Q4 Recovery for CRE. 

REFA COVID-19 Webinar Recap

COVID-19 Update from REFA


We are thinking of all of those impacted by COVID-19. As we navigate through these challenging times, we would like to help be a resource for our members and the community.


We ask that you follow guidelines that are recommended by the local and federal government. Resources can be found here: MassGovCDCWHO.



What Can We Do?

To assist those less fortunate, we hope you will consider supporting our Charitable Partners, Rosie's Place, HomeStart, and FamilyAid or your local food bank.



Helpful Tips to Stay Healthy:

- Wash your hands

- Keep your hands away from your face

- Cover your mouth/nose with a tissue when you cough or sneeze

- Practice Social Distancing

- Work from home



Doing Our Part

As a reminder, REFA in-person meeting and events will be postponed until further notice.


The REFA Team and GBREB Staff have the option to work from home until approximately March 27th and we will update members with any information as needed. The best way to contact us is via email, but we will be checking our voicemails with limited access.


Our top priority is our members staying safe. REFA will do our part in keeping you informed with any updates we receive via email communications and twitter.


*If you have registered for an upcoming event prior to April 17th, you should have heard from the REFA staff about next steps. We will continue to update members with information about future events.


Stay safe and healthy!




Copy of Copy of REFA COVID-19 PREPAREDNESS AND RESOURCES

COVID-19 Update from REFA


We are thinking of all of those impacted by COVID-19. As we navigate through these challenging times, we would like to help be a resource for our members and the community.


We ask that you follow guidelines that are recommended by the local and federal government. Resources can be found here: MassGovCDCWHO.



What Can We Do?

To assist those less fortunate, we hope you will consider supporting our Charitable Partners, Rosie's Place, HomeStart, and FamilyAid or your local food bank.



Helpful Tips to Stay Healthy:

- Wash your hands

- Keep your hands away from your face

- Cover your mouth/nose with a tissue when you cough or sneeze

- Practice Social Distancing

- Work from home



Doing Our Part

As a reminder, REFA in-person meeting and events will be postponed until further notice.


The REFA Team and GBREB Staff have the option to work from home until approximately March 27th and we will update members with any information as needed. The best way to contact us is via email, but we will be checking our voicemails with limited access.


Our top priority is our members staying safe. REFA will do our part in keeping you informed with any updates we receive via email communications and twitter.


*If you have registered for an upcoming event prior to April 17th, you should have heard from the REFA staff about next steps. We will continue to update members with information about future events.


Stay safe and healthy!




Copy of REFA COVID-19 PREPAREDNESS AND RESOURCES

COVID-19 Update from REFA


We are thinking of all of those impacted by COVID-19. As we navigate through these challenging times, we would like to help be a resource for our members and the community.


We ask that you follow guidelines that are recommended by the local and federal government. Resources can be found here: MassGovCDCWHO.



What Can We Do?

To assist those less fortunate, we hope you will consider supporting our Charitable Partners, Rosie's Place, HomeStart, and FamilyAid or your local food bank.



Helpful Tips to Stay Healthy:

- Wash your hands

- Keep your hands away from your face

- Cover your mouth/nose with a tissue when you cough or sneeze

- Practice Social Distancing

- Work from home



Doing Our Part

As a reminder, REFA in-person meeting and events will be postponed until further notice.


The REFA Team and GBREB Staff have the option to work from home until approximately March 27th and we will update members with any information as needed. The best way to contact us is via email, but we will be checking our voicemails with limited access.


Our top priority is our members staying safe. REFA will do our part in keeping you informed with any updates we receive via email communications and twitter.


*If you have registered for an upcoming event prior to April 17th, you should have heard from the REFA staff about next steps. We will continue to update members with information about future events.


Stay safe and healthy!




REFA COVID-19 PREPAREDNESS AND RESOURCES

New England Real Estate Journal - February Recap

IMPORTANT MESSAGE ABOUT MEETINGS AND EVENTS

Given the increased concerns and circumstances around the Coronavirus, and in response to Governor Baker's State of Emergency and other recommendations, we wanted to share our plans for REFA events and committee meetings. 

To ensure the safety and well-being of our members, all REFA events will be cancelled or postponed through Friday, April 17th. All committee meetings will be held via conference calls until further notice. We will continue to monitor both state and health official recommendations and will communicate scheduling changes with our members. All updates will be share with our membership via email and on our social media sites. 

The REFA Team will be in contact with Committees about next steps and meeting information. 

*If you have registered for an upcoming event prior to April 17th, you will be contacted shortly regarding alternative plans and next steps*

In the interim, you are encouraged to utilize the following resources for important Coronavirus updates:
BOMA International
CDC
WHO
MassGov

 

 

IMPORTANT MESSAGE ABOUT MEETINGS AND EVENTS

Upcoming Events

Event
Boston CRE Panel: Diversity, Equity, and Inclusion
Online
12:00pm
 
REFA Golf Tournament
Dedham Country & Polo Club
9:00am
 
Hiring Diversely With Intention
Online
12:00pm