IBJNews

Homebuilder Estridge plans return after landing $25M

Back to TopCommentsE-mailPrintBookmark and Share

Paul Estridge Jr. says he is returning to the home-building business after securing $25 million from a private-equity firm in North Carolina.

Carmel-based Estridge Homes LLC will use the capital infusion from Charlotte-based Mountain Real Estate Capital to begin acquiring land and building houses in the Indianapolis area.

The venture’s first project will be Harmony, a 270-acre community in Westfield on Ditch Road between 146th and 156th streets. Estridge said the land has been acquired and construction should start in March.

The builder will offer seven homes styles from 1,400 square feet to 3,600 square feet in Harmony with starting prices ranging from $225,000 to $425,000.

The Estridge family has been building homes in central Indiana since 1967 under various companies started by Paul Estridge Sr., who died in September, and his son, Paul Jr.

Estridge companies have developed as many as 20 communities and built about 8,000 homes over those years, they estimate.

Like many builders, Estridge got in trouble in the recession when the housing market collapsed. Paul Jr. filed Chapter 7 personal bankruptcy in September 2011. He owed a list of creditors that included banks, suppliers and vendors more than $50 million, but had assets of less than $5 million.

Estridge Group had as many as 150 full-time employees in 2004 when it was building more than 300 homes a year as one of the area's largest builders, but it had fewer than 10 at the time of the bankruptcy.

Over the past three years, Mountain, founded in 1993, has invested more than $700 million in similar ventures with private homebuilders in 18 states. The equity firm is capitalized with more than $1 billion.

The deal with Estridge will be Mountain’s first investment in central Indiana. In the last year, Mountain has formed partnerships in Salt Lake City; Milwaukee; Omaha, Neb.; Long Island, N.Y.; and Winchester, Va.



 

ADVERTISEMENT

  • Hmmmm....
    Seems like yet another opportunity to use others for his personal gain without conscience.
  • Old Tricks
    Looks like Estridge is back to his old tricks - if he sold his new 'partners' up the river like his last partners, they should be ready to lose everything they just gave him. And, if he expects to sell houses for $120 to $150 sqft when the market is barely puling $100 - that would be more Estridge smoke.
  • unfair
    Seems really unfair that a guy can run a company into the ground, leave other investors' money hanging with no hope of repayment, file bankruptcy, and then start over with no accountability (wipe hands clean of his bad debt). The American dream for bad businesses!
  • Really?
    Paul Estridge Jr did a outstanding job of linking his company name with his father, a custom builder with a stellar reputation, to sell his overpriced houses. He got what he deserved with chapter 7. I do hope this new venture ends the same way.
  • Good Luck Mountain
    That's a bad investment for Mountain. Does anyone think Paul will re-pay any of the hard working people that didn't get paid from his last escapades? I doubt it.
  • Good for You, Paul!!
    Welcome back and well-wishes to your new venture!

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. Of what value is selling alcoholic beverages to State Fair patrons when there are many families with children attending. Is this the message we want to give children attending and participating in the Fair, another venue with alooholic consumption onsite. Is this to promote beer and wine production in the state which are great for the breweries and wineries, but where does this end up 10-15 years from now, lots more drinkers for the alcoholic contents. If these drinks are so important, why not remove the alcohol content and the flavor and drink itself similar to soft drinks would be the novelty, not the alcoholic content and its affects on the drinker. There is no social or material benefit from drinking alcoholic beverages, mostly people want to get slightly or highly drunk.

  2. I did;nt know anyone in Indiana could count- WHY did they NOT SAY just HOW this would be enforced? Because it WON;T! NOW- with that said- BIG BROTHER is ALIVE in this Article-why take any comment if it won't appease YOU PEOPLE- that's NOT American- with EVERYTHING you indicated is NOT said-I can see WHY it say's o Comments- YOU are COMMIES- BIG BROTHER and most likely- voted for Obama!

  3. In Europe there are schools for hairdressing but you don't get a license afterwards but you are required to assist in turkey and Italy its 7 years in japan it's 10 years England 2 so these people who assist know how to do hair their not just anybody and if your an owner and you hire someone with no experience then ur an idiot I've known stylist from different countries with no license but they are professional clean and safe they have no license but they have experience a license doesn't mean anything look at all the bad hairdressers in the world that have fried peoples hair okay but they have a license doesn't make them a professional at their job I think they should get rid of it because stateboard robs stylist and owners and they fine you for the dumbest f***ing things oh ur license isn't displayed 100$ oh ur wearing open toe shoes fine, oh there's ONE HAIR IN UR BRUSH that's a fine it's like really? So I think they need to go or ease up on their regulations because their too strict

  4. Exciting times in Carmel.

  5. Twenty years ago when we moved to Indy I was a stay at home mom and knew not very many people.WIBC was my family and friends for the most part. It was informative, civil, and humerous with Dave the KING. Terri, Jeff, Stever, Big Joe, Matt, Pat and Crumie. I loved them all, and they seemed to love each other. I didn't mind Greg Garrison, but I was not a Rush fan. NOW I can't stand Chicks and all their giggly opinions. Tony Katz is to abrasive that early in the morning(or really any time). I will tune in on Saturday morning for the usual fun and priceless information from Pat and Crumie, mornings it will be 90.1

ADVERTISEMENT