In a move that may signal the end for a historic builder, Fort Lauderdale-based Levitt and Sons has ordered workers to halt construction on all of its projects. The company currently is building in Florida, Georgia, South Carolina, and Tennessee.
Last week, the builder's parent corporation, Levitt Corp., announced it would not lend the subsidiary any more money. The home builder owes $2.6 million in interest payments to five lenders.
"Levitt and Sons, like many other home builders, is navigating a challenging home building market," Levitt Corp. spokesman Michael Freitag said in a prepared statement. "We are working around-the-clock to address those challenges and resolve issues associated with our communities and the homebuilding environment in general. We are in active discussions with our lenders to obtain additional funding."
The Levitt customer information line offered a similar communication. According to the recorded message, a call center will be established and staffed next week to provide customers with answers to any questions. In the interim, the message warned that customers "may encounter delays with respect to a warranty request."
The message also stated that the company plans to "have more clarity on the situation" in the coming weeks.
A call to the Levitt Corp. for further comment on the subsidiary's future was not returned.
Levitt and Sons is best known for Levittown, a community developed for returning World War II soldiers and their families. On the company's Web site, the builder says it has built over 200,000 homes throughout the U.S., Canada, Puerto Rico, and Europe.
Levitt and Sons was ranked No. 50 on the 2006 BUILDER 100.