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Talk of the bay

By TIMES WIRES
Published January 24, 2007

BANK COMMITTED TO HOME DEALS, INVESTORS NOT

Coast Bank has big assets tied up in troubled real estate deals featuring St. Petersburg builder Construction Compliance Inc. On Monday it was time to reassure investors who had chopped the stock's value in half in two days. The bank partnered with CCI in attracting investors with the promise of no-money-down houses. CCI often failed to deliver, leaving clients on the hook for half-built homes, many in Sarasota County. Coast reasserted its commitment of $110-million to CCI's customers and said it plans to work with owners "on a case-by-case basis to help complete construction and repay the debt." One problem: Many investors, their lots strapped with CCI's unpaid debts, want out.

'Extreme' times for homebuilder WCI

WCI Communities Inc. did its good deed of the month by building a house in Tampa for the Extreme Makeover TV show, but it hasn't pulled the Bonita Springs company out of the housing slump. Cancellations have outnumbered new orders in WCI's bread-and-butter Florida market, and president Jerry Starkey braced for a "prolonged downturn in housing demand." WCI is known for Florida condo and resort projects, including Sun City Center and Westshore Yacht Club. In another gut-knotting disclosure, corporate raider Carl Icahn nearly quadrupled his stake in WCI and wants to talk about "how to unlock the inherent value" of his shares. Calling Ty Pennington. Ty?

Growing firms get big-bucks boosters

Seth Ellis has started a couple of businesses and knows how hard it is for Florida companies to get growth capital when they don't have enough assets for a bank loan and don't want to give the company away to venture investors. So he's formed Gator Mezzanine Fund, targeting growing Florida businesses. Companies must have minimum revenues of $5-million. Loans will range from $500,000 to $3-million for three- to five-year terms. Gator Mezz, based in Winter Park, will work closely with the University of Florida's Warrington College of Business. But Ellis said Seminoles will be welcome, too, as investors or borrowers.

Correction

The New York Stock Exchange closed at 9,130.92, down 48.61 on Monday, and the American Stock Exchange closed at 2,060.44, down 7.51. The Associated Press supplied incorrect information for the Market Report on Page 4D Tuesday.

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[Last modified January 24, 2007, 00:03:05]