Warrenville, Ill.-based Neumann Homes, No. 59 in the 2006 BUILDER 100, filed for Chapter 11 bankruptcy in federal court Thursday, 10 days after the company ceased operations and announced it would seek protection from its creditors. According to the filing, the builder has as many as 1,000 creditors and more than $100 million in liabilities. The builder also estimates its assets at more than $100 million.
The bankruptcy also includes its subsidiary companies, Precision Framing Systems, NDC Fabrications, and NeuPro Co.
The builder, which was founded in 1980 by Mark Neumann, who later served as a U.S. congressman, had developments in the Chicago, Denver, and Detroit markets, as well as in Wisconsin. Neumann's brother Kenneth is the company's current CEO. It is widely speculated that the builder's 2005 acquisition of Tadian Homes in Detroit may have led to its downfall.
Kenneth Neumann told BUILDER Online last week that the company will focus on selling off most of its land assets as it winds down its operations.
At press time, Neumann Homes did not return calls requesting a comment.