Biggest MN Builder Yet: MW Johnson Builders Goes BK

by Alex Stenback on June 17, 2008

Suffering from the gutshot of a slowing, overbuilt real estate market, Minnesota Based MW Johnson (11th Largest Builder in the State) has filed Bankruptcy. Again from the Pioneer Press:

Lakeville-based MW Johnson Construction Inc. and its Florida operation both will remain open but require immediate financing to cover operating expenses and payroll while they restructure, according to documents filed Friday in U.S. Bankruptcy Court in St. Paul. The two companies reported combined liabilities of between $60 million and $150 million. The filing indicates assets in the same range.

Both companies’ secured creditors are a group of five banks and nonbank construction lenders: Burnsville-based Builders Mortgage Co. LLC, RBC Real Estate Finance Inc., Key Bank, Contractors Capital Corp. in Anoka, and Mainstreet Bank in Forest Lake. The company’s Minnesota operation owes its top 20 unsecured creditors, a mix of local contractors and the Internal Revenue Service, about $4 million.

Home Builder Files Chapter 11 [PiPress]

{ 2 comments… read them below or add one }

MT June 18, 2008 at 7:20 am

He’s alive! Thanks for the new posts, Alex.

Austin Lender July 13, 2008 at 9:24 pm

Tings can get better! It just takes people that are willing to help eachother.

Ryan

Leave a Comment

 

Previous post:

Next post: