StoryBuilt, an infill housing developer also known as PSW Real Estate, continues to face significant challenges more than two years after entering voluntary receivership. The company’s efforts to sell off assets and settle its debts have made little progress, with over half of its holdings remaining unsold.
According to a recent update from Stapleton Group, the Los Angeles-based firm managing StoryBuilt’s receivership, investors remain uncertain about recouping their investments. Initial claims that StoryBuilt had a $2 billion project pipeline were found to be unrealistic. The receiver stated that “overly optimistic” financial projections from stakeholders had inflated the perceived value of the company’s projects.
The report further indicated that a full financial recovery for StoryBuilt or its investors is unlikely. Some assets have been sold through foreclosure or completed and sold after construction resumed. However, the company’s stakes in 14 joint ventures across Texas, Colorado, and Washington state have proven difficult to sell. Many of these agreements gave control to partners rather than StoryBuilt, making them unattractive to potential buyers.
As of August 31, StoryBuilt retained interests in only two active developments—North Bluff in South Austin and Jolene in West Dallas. While all condos at North Bluff were sold by the end of August following resumed construction, Jolene remains burdened with more than $46 million in secured debt.
Since late 2023, approximately $18.7 million has been generated from asset sales, which paid off nearly $14 million in secured debt related to completed projects. In total, around $21.1 million has been returned to creditors; however, the overall amount owed remains unclear.
Stapleton Group has entered a second phase of receivership management that could last several more years. The eventual resolution depends on whether the remaining joint venture stakes can be sold or otherwise resolved as their long-term development timelines play out.
