Village Homes Has Emerged From Chapter 11 Bankruptcy
The Fort Worth builder can now resume property sales after a federal court approved its reorganization plan.
Updated on Sept. 22, 2026 in Residential
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Village Homes has officially exited Chapter 11 bankruptcy following a federal court ruling that authorized the company to sell its assets. This development marks the conclusion of a reorganization process initiated after a previous asset purchase agreement failed to close in 2024.
Why it matters
The bankruptcy filing on Oct. 1, 2025, had previously halted sales activities and created uncertainty for the company's property interests. With the court's approval of the reorganization plan, the builder can move forward with operations in Fort Worth.
All seven secured lenders voted to approve the company's reorganization plan. This follows a 30-year history for the builder, which has constructed 1,500 homes in the Fort Worth area.
The players
Village Homes
A Fort Worth-based residential builder that has constructed 1,500 homes over its 30-year history.
The details
The court's decision allows Village Homes to proceed with property sales after overcoming objections from a competing bidder. The judge ruled that the competing party's actions were intended to obstruct the reorganization, clearing the way for the company to emerge from bankruptcy protection. By settling these legal challenges, the builder can now resolve the litigation that previously prevented the sale of its assets.
Timeline
1996: Village Homes was founded.
2024: A previous asset purchase agreement failed to close.
Oct. 1, 2025: The company filed for Chapter 11 bankruptcy.
September 2026: Village Homes emerged from bankruptcy.
Money Landscape
This move marks the conclusion of a standard legal process for firms undergoing the Chapter 11 bankruptcy reorganization process. The outcome restores the firm to the local housing market after a period of financial and legal uncertainty.
Homebuyers or stakeholders waiting on specific property sales may now see updates as the company resumes asset transactions. Consult with a qualified real estate or legal professional if you have pending inquiries regarding properties associated with this builder.
The takeaway
The court's approval signals that the builder is back in business and cleared of the litigation that halted its operations. Interested parties should monitor the company's official communications for updates on when specific properties will be listed for sale.
Further reading
For more information on the local housing market, visit Residential.
Source note: This article includes information reported by Fort Worth Star-Telegram.
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