Crescent Resources files Chapter 11 - Baltimore Business Journal:

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The Charlotte-based development firm’ws chief executive, Arthur Fields, has retiredc and will work with Crescenft in anadvisory capacity, the company says. Andree Hede, Crescent’s chief restructuring officer, has been named CEO. “We have been in activer discussions with our lenders and other stakeholders as we work towards an agreement that will brinv our capital structure in line with the currenteconomix environment,” Hede says. Crescent has more than 5,00o0 creditors, according to its filing. Its assetsw are estimated at morethan $1 billion. The local projects listexd in the Chapter 11 filing include Piedmont Row and The Sanctuar atLake Wylie.
Crescent says it intends to operat e its continuing businesses without any significantr interruption during therestructuring process. The company says that’s possiblw because of a recentlyobtained debtor-in-possession financing facility of $110 million from a group of its existing As part of the Chapter 11 filing, Crescentf says it seeks court approvalk “to make certain payments and to maintain key agreementds with employees, customers, vendors and partners of continuing operations to ensure the company can maintain its commitmenty to delivering a high leveo of amenities and services.
” Crescent says the filin g is necessary to reorganize its reduce its debt level and improve its capital “We intend to reach an agreement on our new capitall structure and emerge from bankruptcy quickly,” Hede says. The Chapter 11 petitionxs were filed inthe U.S. Bankruptcy Court in the Western Districyof Texas, Austin division. The company has 120 days from the filinf date to submit areorganization plan. A hot line has been set up as part of the Crescenty restructuringat (877) 204-8611. Attornegy Eric Taube of LLP in Austin, will represent Crescent in the (NYSE:BAC), , Ranger Construction Co., and are amongb Crescent’s largest unsecured creditors in Charlotte.
In the Charlotte Business Journal reported that Crescenty had adopted an aggressive new business strategg driven bya $1.2 billion term loan that must be paid in full by Septembefr 2012 — selling assets at fire-sale prices. In October, Crescen t sold 4,500 acres in Berkeleyu County, S.C., to for $40 million. In the company sold a Florida apartmenty projectfor $11.35 less than half the $27 million it paid for the complez three years earlier. This year, the firm has closecd on the sale ofa 773-acre tract of land in Oconee County, S.C., for just over $10 Locally, Crescent recently sold 18.4 acres in Fort Mill to a warehousinh company for $1.6 million.
The compang — jointly owned by and is best known herefor high-en d real estate communities such as The Peninsulqa and Ballantyne Country Club. Beforwe the Chapter 11 filing, Crescent faced payments of $50 milliomn by the end of this year, $75 milliob in 2010 and $100 millionh in 2011 on its debt.