According to the Idaho Statesman, Guerdon Modular Buildings, based in Boise specialized in putting up hotels and apartment buildings in the Western U.S. and Canada, has been sold for an undisclosed amount at a foreclosure auction. By 2018 that company had built more than 1500 hotel and apartment units and was a major supplier of modular housing used in the natural-gas industry in North Dakota and Canada. An investor group led by Guerdon founders Laurence “Lad” Dawson and Mike Bowers bought the company.
It’s unclear what caused Guerdon’s financial problems. The company did not file for bankruptcy, and a search of state court records in Idaho and federal courts throughout the United States revealed only one lawsuit, a California case filed last fall by a construction company that claims Guerdon supplied substandard modular units for a six-story, 118-unit apartment complex in Sacramento.
Guerdon has not returned phone calls and emails from the Idaho Statesman over the past two weeks. Emails to Dawson and Bowers bounced back with messages saying a Statesman reporter’s emails had been “blocked.”-
In a quarterly filing last June, Main Street Capital, which provided $11.2 million in loans and $2.4 million in an equity investment in 2014, reported Guerdon’s loan payments were more than 90 days past due..
In its latest annual report, published Feb. 28, the Texas debt and private equity company said Guerdon owed it $13.6 million in debt and interest. Of that, $12.6 million was at 16% interest, with the remaining $1 million at 10.6%.
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