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lookout8
Full Member
USA
27 Posts |
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fcasiello
Gold Member
USA
519 Posts |
 Posted - 06/13/2010 : 10:51:58 AM
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This is my opinion only and not to be considered as gospel: Don't panic--this is all "according to plan." PMR (the "old Pringle") has been waiting for the bank to foreclose in order to cease operations completely. PHG (the "new Pringle") remains in business as the builder; never were they the developer. The mortgaged properties, mostly undeveloped/un-platted land and the former HQ building in Eustis, will be auctioned on July 14th and assuming no bid is acceptable to BB&T, the bank will take title to the properties. As far as residents of the various Pringle communities are concerned, nothing should change except that this may accelerate transition to resident control in those communities that are still in developer control. Anyway, all that can be done is prepare for various outcomes and wait for July 14th.
Fred C
Huntly at LoMD Waterbury Way |
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The Music Man
Forum Admin
USA
4391 Posts |
Posted - 06/13/2010 : 12:16:13 PM
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I think you are correct, Fred.
Mike Kelley
"You don't need a million dollars to do nothing" |
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Cap
Platinum Member
USA
2167 Posts |
Posted - 06/13/2010 : 12:22:12 PM
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It appears to me that:
A) Pringle as a homebuilder has relieved themselves of much of the "old" Pringle debt by reincarnating as Pringle Homebuilding Group, LLC (PHG). This is a limited liability company.
B) Pringle as a developer of land is getting rid of both the property and the mortgage obligations through this foreclosure. There are various corporate entities (e.g. PMR) involved.
C) A new version of Pringle as a developer might show up if their investors end up buying some of the parcels to be auctioned (e.g. the unplatted property that was to become Phases III and IV of Lakes of Mount Dora). This would likely be some new entity that might / might not have the Pringle name as part of the ID. If they are able to purchase some of the parcels from the bank, this new entity could develop and plat the lots, and then either sell them to Lakes of Mount Dora Ventures, LLC, who already are the wholesaler who sells lots to Pringle to sell at retail, or sell them directly to PHG to resell as a building lot.
The whole thing is a way to make the large mortgage debt go away. The former Colonial Bank, FDIC, and BB&T end up doing a write down of the mortgage assets, as I don't think there is any unencumbered Pringle / PMR asset available for the financial community to go after to make up the difference. This is not really different from many of the real estate / developer / builder transactions that have happened / are happening across the country in the last few years.
I agree with Fred that this is not panic time. Instead, we need to have situational awareness of what is happening around us, be prepared IF we end up in transition sooner than previously expected, and in the meantime continue to maintain and support our existing community of 305 homes.
Cap (and Judi)
Lakes of Mount Dora Lot 189 |
Edited by - Cap on 06/13/2010 12:22:39 PM |
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Dave
Gold Member
USA
1198 Posts |
Posted - 06/13/2010 : 1:21:41 PM
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Agree, this is just cleaning up or washing away Pringle Development and its remaining assets. With the startup of Pringle Homebuilding Group, a new and separate entity, Pringle Homebuilding group purchased many of the assets of Pringle Development, leaving the liabilities with Pringle Development. Now the bank is taking care of the Pringle Development liabilities. It's just the formal and completion of the demise of Pringle Development.
And as others suggest, no noticeable impact on the ongoing business of Pringle Homebuilding Group.
Dave |
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faithfulfrank
Gold Member
USA
604 Posts |
Posted - 06/13/2010 : 3:05:54 PM
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I would guess you are correct that there is little for the current lot owners, etc to worry about.
Still, it seems ethically wrong to me. Legal slight of hand to wipe out debt that the company is responsible for, in the quest to make future profits.
I know that is not a popular viewpoint that I may be bashed for, and that "Everyone's doing it". I know that there are rare times that bankruptcy is the only recourse, but many times it just seems wrong. I do not enjoy paying my mortgage, but I won't walk away from it. My wallet may not be as fat because of it, but my name is unsullied and I can sleep at night.
Frank
Batavia, NY and The Plantation in Leesburg....can't wait to be a full time Floridian......!!!!! |
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rossway
Bronze Member
99 Posts |
Posted - 06/14/2010 : 08:50:45 AM
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| What happens to the pending and future infrastructure lawsuits? |
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Pringle Foreclosures?
What is happening to pringle? I thought they were not going bankrupt. What is next?