I am writing today to announce the closure of the New Mexico Independent. After three and a half years of operation in New Mexico, the board of the American Independent News Network, has decided to shift publication of its news…
While environmental activists played their part yesterday during demonstrations at the capitol building, going so far as to dress up as solar panels and to sing the tune of “You Are My Sunshine,” their counterparts, the anti-cap-and-trade contingency who has…
Roughly one quarter of University of New Mexico students are unimpressed with the state’s flagship public school, according to a survey that questioned college students about their higher education experiences.
SunCal Corporation’s New Mexico subsidiary, Westland DevCo, has filed for Chapter 11 protection in a U.S. bankruptcy court in Delaware. SunCal bought the 57,000 acre Atrisco land grant on the western fringe of Albuquerque in 2006, for about $250 million, with plans to develop it into a new city. It’s partner in the acquisition was D.E. Shaw, a New York investment firm. Since then, SunCal has been plagued by bankruptcies as it got caught up in a real estate market gone bust.
Lenders filed a lawsuit in state court against Westland last December, in a bid to recoup a $180 million in outstanding loans. The land had been put up as collateral.
In addition to the balance of the loans to purchase the property, the company owes a list of creditors:
The bankruptcy filing lists creditors with unsecured claims including law firms Jones Day in New York and Modrall Sperling Roehl in Albuquerque, accountant firm Deloitte & Touche, and architectural, landscaping, lobbying and public relations firms. The partnership has continued spending to preserve and enhance the value of the development, including payment of about $217,000 in real estate taxes; $134,000 on water and renewable energy development; and $110,000 on a long-range development plan, according to Westland’s statement. It has also explored funding and permitting for a 247-acre solar farm and broadband services.
Westland has been a controversial company in New Mexico. A state statute passed the same year the property was purchased enables legislators to approve the issuance of bonds backed by future state taxes to fund new development projects. But the company found itself unable to convince New Mexico legislators in 2008 and 2009 to greenlight such a tax deal, called a TIDD, which would have allowed the company to issue $408 million in bonds to pay for the first stage of its development. The bonds would have been backed by future taxes generated within the new development.
