Business Journal: Faze Files For Protection
Another one-time fast-growing developer has hit tough times…and filed for bankruptcy protection.
Thursday, November 13, 2008
New Faze Development Inc. had ambitious plans to build projects in Sacramento’s struggling neighborhoods, from hip-urban developments to a project for fixed-income seniors. Now, three of the company’s subsidiaries have filed for bankruptcy protection. The company’s project at 2600 R Street, a collection of condos in midtown, was the most recent project to file for Chapter 11. New Faze has also filed for bankruptcy protection for Sun Meadows, a 55-and-older community in south Sacramento, and a 95-home project, many for low-income residents, in Del Paso Heights. The company took the action to block lenders from foreclosing and taking over the projects. New Faze executives say the parent company doesn’t plan to file for bankruptcy protection, despite the credit crunch and slow home sales.