From the Washington Business Journal today:
Glen Construction Co. Inc., one of the oldest family-run builders in the Washington region, has run out of money needed to finish its projects and expects to close its doors by year-end, company officials said.
Founded in 1959 by Whitie Hubert, the Gaithersburg company is best known for building the Tycon Tower in Tysons Corner -- often dubbed the "world's largest shopping bag" because of its distinctive arches -- as well as office towers at The Washingtonian in Gaithersburg and King Farm in Rockville, along with the Rainbow Lofts and Georgetown Heights condominiums in the District.
. . .
Industry observers said one possible factor was the company's aggressive foray into the condominium market, which caused Glen Construction to overextend itself by undertaking too many projects without taking into account the high costs and risks involved.
6 comments:
Ouch, I wonder what will become of the projects they were working on...
If you had signed a contract for one of their condos pre-construction I imagine you would be pretty nervous right now.
This isnt new - some builders are walking away from their projects. For condos they just give everyone their deposit back. For a SFH they keep the contract if they finished, otherwise they give your deposit back. This has left some people living in a neighborhood with dozens of unfinished houses and partially paved roads. Their property value, already sinking, is probably next to nothing with that type of environment.
Interesting new housing tracker numbers on the "old" housing tracker site.
Asking prices are up slightly, but there is also a large spike in inventory.
Based on a quick glance down the page it looks like this might be a new all time high in inventory.
It will be interesting to see how this develops over the next few weeks. It may be that contracts are falling through and dumping inventory back on the market but as always it isn't a good idea to base much analysis on a single data point, especially when it isn't in line with the previous trend.
I saw a listing in 22301 that was less than what the seller paid in Summer 04.
I saw some 100 listings in 22301 that were more than what the seller paid in Summer 04. ;)
"I saw some 100 listings in 22301 that were more than what the seller paid in Summer 04. ;)"
A. Name 5.
B. Maybe the wink is your way of signaling that you think you're clever.
C. But the lower prices are the ones that sell. Therefore they set the comps. They reflect where the market is going.
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