Saturday, January 24, 2009

Bankrupt home builders price inventory to move

From the Portland Business Journal:

Pacific Lifestyle Homes and Legend Homes, two of four local home builders to file for reorganization under Chapter 11 of the U.S. Bankruptcy Code in 2008, have formed a joint marketing venture to sell more than 100 completed homes in the Willamette Valley by the end of March.
Mike Higgins, a spokesman for the joint venture, said the two companies teamed to clear out inventory after bankruptcy consultants counseled them to clear out unsold inventory.
Legend Homes, formed in 1965 in Portland, sold 1,760 homes between 2004 and 2008. It expects to file its reorganization plan with the U.S. Bankruptcy Court for the District of Oregon this quarter and to emerge from Chapter 11 around the end of the second quarter.
Pacific Lifestyle Homes, formed in 1996 in Vancouver, built 971 homes through 2007. It expects to file its reorganization plan with a Washington court by mid-2009 and could emerge from bankruptcy by the end of the year.
The joint venture will aggressively market more than 100 homes. In Oregon, homes are in Happy Valley, Hillsboro, Tualatin, Tigard, Wilsonville, Clackamas, Albany, Corvallis, Lafayette and Salem. In Southwest Washington, the two developers have homes in Vancouver, Camas, Ridgefield, Washougal, Woodland and in Vancouver.
Higgins said the homes are priced to sell by the end of March.

Help me keep an eye out for these homes. It will be interesting to see what the bankruptcy consultants consider 'priced to move'.