Who is Robert Harris Homes? (mortgage, credit, home builders)

[K'ledgeBldr]

How do you get sooooooooooo far in the hole that you can't even restructure?
Well, maybe...

Georgia Builder Shuts Its Doors - Economic Conditions, Debt - Builder Magazine

RHH has/had a townhouse project on Haynes Br Rd that was idle for 6-8 months, with one building only to dried-in. It had a cornice crew on it yesterday. ? Beats the heck outta me.

[BobKovacs]

Probably the same way that Steve Macauley ended up owing over $130 million to his creditors before filing for bankruptcy recently. In the Business Chronicle article about it the other day he had the balls to say "but I'm looking for the right deal to get back into development"- who in their right mind would take this guy on in a deal after he just shafted his creditors for $130 million and seems to think it's no big deal???

[Merin]

Originally Posted by BobKovacs

Probably the same way that Steve Macauley ended up owing over $130 million to his creditors before filing for bankruptcy recently. In the Business Chronicle article about it the other day he had the balls to say "but I'm looking for the right deal to get back into development"- who in their right mind would take this guy on in a deal after he just shafted his creditors for $130 million and seems to think it's no big deal???

I am so glad someone else read that article. I remember reading where he owed a mortgage company 34 million dollars. Geesh. Can anyone explain how a build can be in business for over 20 years and get into these type of messes? IMO, many of these builders are just over-extended themselves. For example building way too many houses/communities. How can that be? Hadn't they been through bad times before? Why didnt they have the foresight to recognize the bubble was going to burst??

[BobKovacs]

Originally Posted by Merin

I am so glad someone else read that article. I remember reading where he owed a mortgage company 34 million dollars. Geesh. Can anyone explain how a build can be in business for over 20 years and get into these type of messes? IMO, many of these builders are just over-extended themselves. For example building way too many houses/communities. How can that be? Hadn't they been through bad times before? Why didnt they have the foresight to recognize the bubble was going to burst??

I dunno- it makes no sense. I think the builders, the bankers, and everyone else just thought the trend was going to continue forever, and assumed "it won't happen to me". I doubt you'll ever see it get so out of control again, even when things turn around (which they will).

[scgraham]

I helped a buyer last month to purchase a Robert Harris Home. One day before we were supposed to close, the builder shut down operations. To their credit, however, they purchased a third -party warranty for the buyer.

I suspect that home builders did not see a complete collapse of the mortgage market.