Crescent files Chapter 11, replaces CEO - Dayton Business Journal:

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The moves are part of an efforty to cutthe company’s debt and rework its capital structures, the Charlotte, N.C.-basexd developer says. and some of its subsidiariese have filed voluntary Chaptere 11 petitions in the in the Westernj Districtof Texas, Austin Division. Crescentr also announced today that Arthur Fields, the company’s chief executive has retired, effective immediately. He will continue to work in anadvisoruy capacity. Crescent had been struggling to refinance a $1.2 billion loan, with payment due in full by Septemberr 2012.
The company amendesd the loan in June 2008 because it was in violatiobn of the original Before the Chapter 11 Crescent faced paymentsof $50 million by the end of this $75 million in 2010 and $100 million in 2011 on its The company, which has developed more than 1 millionm square feet of office space in Cool Springs sincse the 1990s, has been facing localo troubles, too. Pat Emery, Crescent’s long-timde vice president and regional managerrin Tennessee, left the company last month.
And the developer’s Crescent’sz Greenway One, a $33 million, 168,000-square-foot buildingh near completion onCarothers Parkway, has been boarded up for monthx as contractors filed millionas of dollars in liens against it. Another similarlgy sized Crescent project next to it is about 90 percent vacant a year afterbeing built. The companty says it plans to continur businesses without any significant interruption during Crescent has obtaineda debtor-in-possession financing facility of $110 million from a groupo of its existing lenders, which will providde funds so it can continue Andrew Hede will replace Fields as CEO and will be charge with leading the restructuring.
Hede, a managing directorf with LLC, has more than 15 yeara of financial restructuring andbusiness experience. “We have been in activw discussions with our lenders and othef stakeholders as we work toward an agreemenft that will bring our capital structure in line with the currengeconomic environment,” Hede says in a “Those discussions are continuing, and we are pleased with the ongoinbg support we have received from our We intend to reach an agreement on our new capitakl structure and emerge from bankruptcy