Bankrupt contractors reorganize, liquidate
Two local builders that filed for Chapter 11 bankruptcy protection in 2008 have partnered to market their homes in a liquidation sale.
To sell a combined inventory of more than 100 new homes between Woodland and Corvallis, Kevin Wann, president and chief executive officer of Vancouver-based Pacific Lifestyle Homes, and Jim Chapman, president and general manager of Portland-based Legend Homes, have partnered on a $380,000 marketing budget.
Wann doesn’t expect they will partner beyond this effort, but said it has helped Pacific Lifestyle sell 35 houses since filing Chapter 11 in October with $56 million in debt.
“We were a profitable company and the banks reevaluated our land position and required millions,” Wann said. “It was just in the last couple of months before we filed that we put the brakes on and decided to stop paying out cash.”
Some of the homes are selling for 78 percent of their original price, Wann said, which could mean a loss to the builders. But the liquidation will let them each create a plan for restructuring debt. Pacific Lifestyle will likely submit a plan in the third quarter of 2009.
In the near future, Wann plans to focus on homebuilding instead of developing and has cut staff from 115 to 24.
Contractor wins shoring jobs in Oregon
Vancouver-based geotechnical construction firm Scheffler Northwest Inc. won shoring subcontracts in January with the University of Oregon and Clackamas County.
Under Portland-based Hoffman Construction, Scheffler will design and install a shoring system to facilitate construction of a UO basketball arena. Scheffler plans to finish the $2.1 million job in 35 days.
The firm also won a $350,000 subcontract for repairs of the Tualatin River and Stafford Road bridges for Clackamas County. Under Eugene-based Wildish Standard Paving Co., Scheffler will work from over-water platforms to build four drilled shafts as deep as 115 feet. The work begins this summer.
Electrix helps teen shelter
Vancouver-based Electrix donated cash and materials to Vancouver-based Oak Bridge Youth Shelter of Janus Youth Programs in January.
The electrical contractor donated 12 new mattresses and provided the teens with cash for holiday gifts and food.
