Worcester Business Journal

wbjournal.com | August 25, 2025 | Worcester Business Journal 5 PHOTOS | WBJ FILE BY ERIC CASEY WBJ Managing Editor C harles "Chip" Norton, one of the most prominent players in the Central Mas- sachusetts property devel- opment world, has filed for Chapter 7 Bankruptcy as five lawsuits have accused him and his businesses of unpaid debts, amid an unprecedented crisis for his billion-dollar real estate empire. Norton, the owner of Worcester's Mercantile Center and the largest commercial property owner in Central Massachusetts, disclosed a total of $1.69 million in debt in filings with U.S. Bank- ruptcy Court for the District of Mas- sachusetts, but creditors have claimed he has nearly $70 million in debt as the result of personal guarantees related to real estate financing, where his personal assets were offered as collateral. Norton, his Wellesley-based firm Franklin Realty Advisors, and other as- sociated entities are facing five lawsuits filed across three states since the begin- ning of May, all involving unpaid debt relating to Central Massachusetts real estate projects and associated entities. Norton has apparently stepped away from FRA since his financial dealings imploded this spring. Filings related to the lawsuits and bankruptcy show Norton has made a number of personal guaranties involv- ing business loans for commercial real estate projects. I N B R I E F Jim Petkewich, former interim president of St. Mary's Credit Union in Marlborough, on plans to merge St. Mary's with the MetroWest Community Federal Credit Union in Framingham to result in a $1.15-billion entity operating under St. Mary's Credit Union's name and charter Small business loan "I've been working to perfect my recipe for the past five years, and I'm looking forward to sharing my unique take on traditional BBQ with foodies, BBQ enthusiasts, and the entire community." Jordan El-Qasemim, founder of the Rutland food truck HaBBQ, on a $50,000 small business loan he received from the North Central Massachusetts Development Corp. to purchase a trailer Much-deserved retirement "I don't think I'll ever give up doing the work I do in the community." Dr. Matilde Castiel, on her retirement as the City of Worcester's Health & Human Services Commissioner, although she still plans to work with the homeless population and those suffering from substance-use disorders ese properties include Mercantile Center, the mixed-use site featuring two office towers in Downtown Worcester, the Worcester Business Center at 67 Millbrook St., the Wellsworth Hotel and conference center in Southbridge, and the Southbridge Innovation Center. Norton did not respond to requests for comment via voicemail and emails to himself and his legal counsel. FRA did not respond to emails or a voicemail le with the firm's office line. Tenants at FRA-owned properties include some of the most important entities in the Central Massachusetts economy, including UMass Memorial Medical Group, law firm Mirick, the Worcester Telegram & Gazette newspa- per, media organization MassLive, real estate brokerage Kelleher & Sadowsky Associates, the Worcester District Reg- istry of Deeds, law firm Fletcher Tilton, Bank of America, Blue Cross Blue Shield of Massachusetts, and Reliant Medical Group, according to CoStar and Google Maps listings. Other tenants include federal agen- cies like the Internal Revenue Service and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Norton's financial troubles come despite high lev- els of occupancy in Mercantile Center's offices. Combined with all tenants, the office towers at 100 and 120 Front St. host more than 1,500 employees, according to the website for Mercantile Center. Managing directors and senior man- agement of FRA and its affiliates have developed, acquired, or managed more than $1.25 billion of real estate projects, according to FRA's website. A member of the WBJ Hall of Fame's Class of 2021 and a frequent member of WBJ's Power 50 and Power 100 lists, Norton has been widely seen as one of driving forces of the local real estate scene. Recognized for his charitable giving, he provided complimentary space at Mercantile Center for UMass Memo- rial Health Care to establish the first free COVID-19 testing site in Central Massachusetts and made space available for front-line healthcare workers at his Southbridge hotel site. Now, he finds himself in debt to a number of local power players and institutions. Norton's Chapter 7 Bankruptcy filing lists more than 150 people and entities as his creditors, including FRA and other entities he is a part of: real estate firm CBRE, Cornerstone Bank, Country Bank, Middlesex Savings Bank, Rock- land Trust, Savers Bank, Webster Five bank, Downtown Worcester Business Improvement District, and state agency MassDevelopment. Charles "Chip" Norton, who was inducted into the WBJ Hall of Fame with the Class of 2021, has been a driving force in Central Massachusetts commercial real estate. W Chip Norton, owner of Mercantile Center, files for bankruptcy Credit union merger "This year, St. Mary's Credit Union and MetroWest Community Federal Credit Union were named the number one and two credit unions in MetroWest. Together we will be able to serve our members even better, with more robust products, expanded access, and continued personalized service."

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