Bankruptcy judge gives green light to Kara Homes reorganization
New Jersey home builder Kara Homes has been given the green light to exit Chapter 11 bankruptcy protection, following a judge’s decision in U.S. Bankruptcy Court in Trenton, N.J.
The home builder will be managed by Connecticut-based hedge fund Plainfield Specialty Holdings, New Jersey developer Glen Fishman and a buyout firm based in San Diego, Del Mar Capital.
The East Brunswick, N.J., home builder filed for Chapter 11 protection in U.S. Bankruptcy court last October.
At that time, the company said it owed about $297 million to woodworking, concrete, lumber, electrical and plumbing dealers, while holding assets of only $350 million. Those assets primarily included unsold homes and land.