Many people are talking about LandSource’s bankruptcy and its potential effects on Newhall Land, and therefore, Newhall Ranch and the rest of Santa Clarita, much of which the storied company built in the 1960s until today. And indeed, some of that talk is coming from company officials, but only one new detail is emerging: Marlee Lauffer runs a tight ship.
This morning, blogger Dave Bossert got his hands on a statement from Newhall Land’s Executive Vice President, one Mr. Steve Zimmer.
“Wow,” you think, “How did Bossert score an interview with Zimmer, a fixture on the SCV charity circuit?” Okay, maybe you don’t think that, but this blogger does.
Well, it doesn’t seem to be an interview, rather just a new press release which seeks to answer some questions about the BK’s effect on Newhall Land’s operations locally, including what will happen to the 100+ employees who work at the firm.
“First and foremost,” Zimmer says, “it does not mean that we are going out of business.”
That much we knew from yesterday’s press release, which said that LandSource had pulled a rabbit out of its hat and managed to secure a $135 million line of credit in order to keep Newhall Land’s lights on. That despite the $Billion+ it owes to a consortium of banks with Wall Street-sounding names like Barclay’s Capital.
Zimmer goes on to emphasize that Newhall Land’s best days are ahead, not behind it: “We have every intention not only to survive the current real estate downturn, but to flourish once the market stabilizes.”
Zimmer also tries to explain how this happened to the once seemingly-invincible land developer which shaped this valley and set the standard for many suburban communities nationwide.
“We -just as virtually everyone throughout the nation- have been affected by changes in the housing market and the resulting decline of land and home values,” he says.
Of course he leaves out the $64,000 question, one that I’d like to see answered someday: How did Lennar manage not to be affected by this? The Florida-based homebuilder purchased Newhall Land back at the top of the market but somehow washed its hands before the credit crunch.
Overall, Zimmer’s statement doesn’t say much new and sticks to the same thoughts and indeed wording of yesterday’s press release.
But today, reporter Carol Rock at KHTS got some chat time with VP of Communications Marlee Lauffer. Rock wasted no time in asking Lauffer about the fate of Newhall Land’s talented employees who work in that attractive two story building across from City Hall.
Lauffer, we’re told, wasn’t worried. “Certainly there may be changes in timing of various projects. Chapter 11 is a process that a number of companies use….”blah blah blah, same statement but to a live reporter.
Lauffer is at the top of her game right now. Unflappable. Earning her paycheck today, for sure.
The crack reporters at the Signal couldn’t be bothered to put this on A-1 today, but it’s obvious that people in the SCV are curious about it. Folks here at work want to know how the news will affect future development projects or whether the company that started as a 19th century farming concern can survive the 21st housing downturn.
So what do you think about this? Is this a legit news story? Or is it, as the Signal said, largely a non-local business story? I think that even though Newhall Land isn’t “locally-owned” anymore, this is still an important story for many reasons, not the least of which is that I live in a house built by these folks!
Best of luck to the employees at Newhall Land in the days and weeks ahead.