Update: Kim Glatt in Foreclosure!
Glatt responds, sort of
Before I ran the story of Kimberly Glatt’s million-dollar foreclosure, I sent her campaign a list of questions seeking an explanation of her default. Though I received receipt that my messages were delivered, there was no response, so I referred to the story told in official court papers and public documents and offered the usual Hoboken411 historical context.
We gave the former Judge an additional opportunity to respond, but instead she approved her own “Change of Venue” request in the form of a statement to the Hoboken Reporter. Glatt herself did not take direct questions on the default, and the answers her surrogates gave are refutable by looking at the public record.
Glatt’s campaign manager said Wednesday that the house is not Glatt’s, but her mother’s. Campaign Manager Kathy Stack said, “She was helping her parents. This is a remodification of a loan with the bank. What happened is what has happened to 900,000 families across the country. She was helping her mother with a remodification of the loan.” – Hoboken Reporter
Actually Kathy, that’s not quite true. Her mother Elizabeth may live there, but she does not own the house and has not legally owned it for many years, if at all. Elizabeth Glatt’s name is not on the deed nor is it on the $999,900.00 cash mortgage taken out on the house. Elizabeth is a tenant, not an owner. At the time of the loan origination and the missed mortgage payment that triggered the foreclosure, public records show the home was owned by Kimberly Glatt, her husband Jay B. Yacker and sister Stephanie Glatt.
Here’s the timeline:
- 12/13/2005: Ownership of 910 CPT transfers from Stephanie Glatt alone to Stephanie and Kimberly Glatt, and Jay Yacker for $1
- 6/1/2006: Kimberly and Stephanie Glatt executed a note securing the sum of $999,900.00. To secure the payment of the note, the Glatt sisters and Yacker executed a mortgage they all signed to secure.
- 10/1/2008: HSBC says the Glatts and Yacker failed to make a payment due on this date and all payments due thereafter, making the loan in default since on or about 11/1/2008.
- 2/04/2009: a deed change is recorded by Hudson County removing Kimberly Glatt and Jay Yacker from the deed, and restoring Stephanie Glatt as sole owner for the sum of $1. Oddly, the deed is dated 1/03/08 but isn’t recorded legally for over a year. Regardless, Kim Glatt and Jay Yacker continue to be responsible for the $999,900.00 mortgage, which doesn’t change despite the $1 deed transaction.
Glatt’s husband, Jay Yacker, further explained that the house was sold over a year ago by Glatt’s parents to her sister Stephanie. The parents and Stephanie continued to live in the house. But after Hoboken’s large tax increase, they were unable to make the payments for a few months, and the bank automatically began foreclosure proceedings because they were behind. — HR
The NJ real estate transaction database is easily accessible and shows the house was not sold by Glatt’s parents, but by Kim Glatt and Jay Yacker for the princely sum of one dollar to Stephanie. Where the million dollars was actually spent is not known.
Anyone familiar with the Glatt family’s Hoboken assets and wealth would also find it laughable to hear someone claim that they could not possibly muster the cash to pay the tax increase on the family homestead. This is a group that includes a dentist of long standing in town and a Judge who just bought a $3 million 3-bedroom condo on the 21st floor of the W Hotel. They may also have a bridge to sell you. Yacker continues:
Kim Glatt had co-signed for the loan, Yacker said. So she and Stephanie are in court trying to work out how to make the payments back to the bank. Yacker said that once the bank starts foreclosure proceedings, they won’t accept retroactive payments until the situation is worked out legally. Yacker said that they are “a month or two away” from working the situation out, and that the house will be saved. — HR
Banks are in the loan business, not the home ownership business. It is not common practice to foreclose simply because one month’s payment has been missed. The bank would rather you pay than they have to foreclose and sell your home. There is more to the story here that’s not being told. Glatt would not comment directly to The Reporter, but gave a brief written statement:
“Today’s posting on Hoboken411 is riddled with outright falsehoods and nuanced misrepresentations. It is an unfortunate example of how some individuals will misuse the virtue of ‘citizen journalism’ to post out-of-context information.”
Way to shoot the messenger Judge. Please elaborate on the alleged falsehoods. The 411 inbox is always open (and I pay $250 a year for a “free” Gmail account), and I have no problem with retractions when appropriate.
Next, Glatt reaches for the heartstrings:
“There are thousands of Hoboken residents who are working hard every day to make ends meet during these difficult times. They can know with absolute certainty that I can relate to their problems.”
So, now Ms. Glatt is saying her foreclosure is how she “relates” to Hoboken’s “hard working residents” during these “difficult times?” Things sure didn’t look difficult when the daily newspaper ran a picture of Glatt chillaxing on her huge couch as cascading sunshine came in through the 21st floor windows of her brand new tax-abated W Hotel apartment, but I digress…
“When voters go to the polls on Tuesday, November 3rd, they should ask themselves whether the current councilmember behind this smear can do the same.”
Judge Glatt should remember the old Law School lessons that an attorney should never ask a witness a question they don’t already know the answer to, and shouldn’t assume facts not in evidence. To assume a “current councilmember” was behind the release of this information would lead one to believe Glatt thinks either Dawn Zimmer or Beth Mason is behind this story. The irony is both Zimmer and Mason pay full city, school and county taxes on their non-tax abated homes while Ms. Glatt’s new home has a fixed PILOT protecting her from property tax increases.
The original story is after the jump, and I’m still waiting for Kim Glatt to answer these questions.
411 Exclusive: HSBC sues Glatt for nearly a million dollars
Former Municipal Judge Kimberly Glatt is in a campaign to convince Hoboken she should be handed the reigns of the city’s $121 million budget. Hoboken411 has learned the same Kimberly Glatt is in foreclosure on a nearly $1 million mortgage.
According to legal documents obtained exclusively by Hoboken411, Glatt and her attorney husband Jay Yacker are named in a lawsuit filed against them by HSBC Bank. The suit charges Glatt has been in default on a $999,900.00 mortgage on their 910 Castle Point Terrace property since November 2008. HSBC is now seeking full payment of the loan from Glatt, her sister Stephanie Glatt, and Yacker in Hudson County Superior Court.
Glatt’s 910 Castle Point Terrace property at issue
According to public records, 910 Castle Point Terrace is a 3730 square foot mansion built on Hoboken’s “Yellow Brick Road” back in 1904.
It’s the residence of Kim Glatt’s mother Elizabeth, who was an active member of the “Hoboken First” political association led by former HPU Director John Corea, former 2nd Ward Councilman Michael Schaffer (since arrested and charged with corruption along with former Mayor Peter Cammarano), and former Tax Collector Louis Picardo, who lives a few doors down at 920 Castle Point Terrace. Elizabeth Glatt contributed to Corea’s “Hoboken First Observer” while her daughter was Municipal Judge.
House changes hands for $1 within Glatt family
2009 tax records indicate 910 CPT has been “sold” for one dollar within the Glatt family, with Kim Glatt and Jay Yacker listed as owners along with Stephanie, who is an agent at Liberty Realty. All three are listed in the foreclosure action from HSBC. Questions sent to Glatt’s campaign have not been answered, but the million-dollar mortgage was taken out ahead of Glatt and Yacker’s move from their Park Avenue home into one of the most expensive condos in Hoboken.
The former judge’s W Hotel residence #2102 is a 21st floor, 3-Bedroom apartment estimated to have cost more than $2.5 million. The W condo is also immune to Hoboken property tax hikes.
W residents pay a mere fraction of the taxes paid by most residents thanks to a PILOT agreement, which stands for Payment In Lieu Of Taxes.
Glatts miss payments, so HSBC demands full balance
According to the charges filed by HSBC, on June 1, 2006 Kimberly and Stephanie Glatt executed a note securing the sum of $999,900.00 payable 6/1/2036. To secure the payment of the note, the two Glatts and Yacker executed a mortgage. The note contained an agreement that if any installment payment should remain unpaid for 30 days after the due date the whole principal sum with all unpaid interest, fees, costs and advances should become immediately due and payable. HSBC says the Glatts and Yacker failed to make a payment due on October 1, 2008 and all payments due thereafter, making the loan in default since on or about November 1, 2008 – nearly a year.
According to the documents received, the last scheduled Case Management Conference was scheduled for August 26th, 2009. There is no indication that the case has been resolved, and, again, efforts to contact Glatt’s campaign for comment ahead of this story have not been fruitful.
Question: Were the taxes paid on 910 CPT?
Many people choose to pay their municipal property tax bill through their mortgage company. If they don’t pay their mortgage, the mortgage company doesn’t pay the taxes. Have the taxes been paid on the Glatt’s property since the payments stopped (according to HSBC) in October 2008? Don’t know for sure, but it’s common knowledge the Glatts and the Picardos have a long-standing relationship as neighbors and political allies. Calls to send a forensic auditor into the Tax Collector’s office post-Picardo have so far been ignored by State Fiscal Monitor Judy Tripodi, whose quote when pressed is “I don’t do investigations.”
Should Kim Glatt decide to respond to this story – will pass on what she has to say. In the meantime, feel free to comment below!