Los Angeles, California – Harbor Custom Development Inc (HCDI) has filed for bankruptcy, citing financial difficulties stemming from the COVID-19 pandemic. The company, which specializes in custom home building and renovation, has struggled to keep up with demand as the pandemic has caused delays and increased costs in the construction industry.
HCDI, which was founded in 2014, has been a leading player in the custom home building industry, with a focus on high-end projects in Southern California. The company has completed over 100 projects since its inception, including luxury homes, multi-family developments, and mixed-use properties.
However, the pandemic has taken a toll on the company’s financial stability. According to court documents, HCDI has been struggling to pay its bills and has been in discussions with lenders and creditors to restructure its debt. The company’s bankruptcy filing is a result of its inability to reach a satisfactory agreement with its creditors.
“Despite our best efforts, the COVID-19 pandemic has severely impacted our business, causing delays and increasing costs that we simply cannot sustain,” said Sterling Griffin, CEO of HCDI. “We are deeply saddened by the need to file for bankruptcy, but we believe it is the best course of action for the long-term health of our company.”
The bankruptcy filing will allow HCDI to restructure its debt and reorganize its business operations. The company plans to continue its current projects and fulfill its obligations to its clients.
“We remain committed to our clients and our employees,” said Griffin. “We are confident that with the support of our lenders and creditors, we will emerge from this process stronger and more resilient than ever.”
HCDI’s bankruptcy filing is the latest example of the ongoing challenges faced by businesses in the construction industry during the COVID-19 pandemic. The pandemic has caused disruptions in supply chains, labor shortages, and increased costs, making it difficult for companies to maintain profitability.
Despite the challenges, HCDI remains optimistic about the future. The company plans to continue its commitment to high-quality custom home building and renovation and hopes to emerge from the bankruptcy process stronger than ever.