Rockport Development
Confirmation of Chapter 11 Plan of Reorganization
Fix and flip real estate development fund
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From the newsroom
- Rockport Development, Inc. Announces Chapter 11 Filing of its Wholly Owned Affiliate, Tiara Townhomes LLC, Along with Motion Seeking Court Approval for Sale of Property: Force 10 is CRO
- Rockport Development, Inc. Announces Chapter 11 Filing, Initiation of Orderly Sale Process to Provide Recoveries to Creditors and Litigation Claimants: Force 10 is CRO
As Chief Restructuring Officer, Force 10 developed and confirmed a liquidating reorganization plan for this "fix-and-flip" real estate development fund. We completed the sale/disposition of the fund's owned assets and LLC interests, generating cash for the general unsecured creditors seeking to recover their claims.
Force 10 acted as Chief Restructuring Officer for real estate developer Rockport, the direct owner of six properties, and the manager/member of 21 unique purpose entities. Pre-petition, its gross asset values were estimated to be over $70 million. Beginning in 2019, investors and lenders to Rockport and its affiliates asserted that Rockport and its principal had engaged in financial misconduct. As part of a court-supervised restructuring, the founding principal resigned, two independent directors were appointed, and Force 10 was appointed Chief Restructuring Officer.
Force 10 developed and managed a transparent process to maximize asset values, addressing the properties in the portfolio and the interests in the LLCs. In just 13 months, Force 10 developed and confirmed a liquidating Plan of Reorganization, completed the sale/disposition processes for the estate’s owned assets and LLC interests, and generated cash for general unsecured creditors’ recovery on their claims. During the case, Force 10 also initiated the analysis of lender and investor litigation claims, along with a forensic accounting examination, which was turned over to the plan’s disbursement agent.
