Industry NewsMarkets & Economy

WCI files Chapter 11 bankruptcy

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Florida-based luxury home builder WCI Communities Inc. and 130 subsidiaries have filed for Chapter 11 bankruptcy protection from creditors, the company said Monday, acknowledging that up to $1.8 billion in debt may soon be in default. The company's Watermark real estate brokerage, which does business as Prudential Florida WCI Realty, was excluded from the filing, as was its WCI Mortgage business and certain other joint ventures in which WCI is a partner, the company said. Prudential Florida WCI Realty will continue to provide new home and resale brokerage services, as well as foreclosure and rental management services. The parent company said Realtors, brokers and customers will see no interruption in these services, and all commissions and other obligations will be honored. WCI Mortgage, an affiliate of Well Fargo Home Mortgage, will continue to offer mortgage packages and honor existing obligations. WCI had to file for bankruptcy protection because of a "failed eff...