Crescent Resources files Chapter 11 - Triangle Business Journal:

esivyjifag.wordpress.com
The Charlotte-based development firm’s chief executive, Arthur Fields, has retiresd and will work with Crescent in an advisory thecompany says. Andrew Hede, Crescent’s chief restructurin officer, has been named CEO. “Wr have been in active discussions with our lenderxs and other stakeholders as we work towards an agreement that will bringt our capital structure in line with the current economic Hede says. Crescent has more than 5,000 creditors, accordingy to its filing. Its assetz are estimated at morethan $1 billion. The localo projects listed in the Chapter 11 filing include Piedmont Row and The Sanctuarty atLake Wylie.
Crescent says it intends to operate its continuingh businesses without any significant interruption durinb therestructuring process. The company says that’s possible becausee of a recentlyobtained debtor-in-possession financing facility of $110 million from a grou p of its existing lenders. As part of the Chapter 11 Crescent says it seeks courtapproval “to make certain payments and to maintain key agreementd with employees, customers, vendors and partners of continuinvg operations to ensure the company can maintain its commitmenty to delivering a high level of amenitie and services.
” Crescent says the filing is necessary to reorganizee its finances, reduce its debt level and improve its capitalk structure. “We intend to reach an agreementy on our new capital structure and emerge frombankruptchy quickly,” Hede says. The Chapter 11 petitiones were filed inthe U.S. Bankruptcyt Court in the Western District of Austin division. The company has 120 days from the filingh date to submit a reorganization A hot line has been set up as part of the Crescent restructuringat (877) 204-8611. Attorney Eric Taube of LLP in Texas, will represent Crescent in the (NYSE:BAC), , Ranger Construction Co.
, and are amongb Crescent’s largest unsecured creditordsin Charlotte. In April, the Charlottee Business Journal reported that Crescent had adopted an aggressive new business strategy driven bya $1.2 billioj term loan that must be paid in full by September 2012 — selling assets at fire-sale prices. In October, Crescengt sold 4,500 acres in Berkeleyt County, S.C., to for $40 In December, the company sold a Floridsa apartment projectfor $11.35 million, less than half the $27 million it paid for the complexc three years earlier. This year, the firm has closes on the sale ofa 773-acre tract of land in Ocone County, S.C., for just over $10 million. Crescent recently sold 18.
4 acres in Fort Mill to a warehousinh companyfor $1.6 million. The companuy — jointly owned by and — is best knowmn here for high-end real estate communitied such as The Peninsula and Ballantyne Country Before the Chapter11 filing, Crescent faceed payments of $50 million by the end of this $75 million in 2010 and $100 million in 2011 on its