Philadelphia-baed Volumetric Building Cos., a modular builder focused on multifamily housing, has received approval from the U.S. Bankruptcy Court for the Southern District of Texas (Houston Division) to purchase Katerra assets, including its 577,000-sq. ft. factory in Tracy.
Katerra filed for bankruptcy protection on June 6, and the purchase of Katerra’s Tracy factory is part of a court-supervised sale of its assets.
“With the continued growth and success of VBC, we were exploring options to expand our manufacturing footprint and industry influence,” CEO Vaughan Buckley said in a statement.
“Katerra’s Tracy location provides an exceptional opportunity to bring our hands-on construction and manufacturing expertise to a state-of-the-art facility and build our presence on the West Coast. We look forward to moving quickly to allow displaced staff members to return to work, restart production, and support the needs of a very robust construction environment.”
The factory, which opened in 2019, is designed and equipped to manufacture modular building components, including wall panels, floor systems, roof trusses, windows, cabinetsm and countertops. It also features 50,000 sq. ft. of newly built offices and showrooms, including custom fit-out and furnishings, conference rooms, office suites, and model display areas.
Volumetric Building Cos. aims to start manufacturing windows, cabinetry, countertops, trusses, and panelized building components in the next 60 to 90 days, with modular components to come in 2022. The company is encouraging former Katerra factory employees to apply to work at the factory as it reopens.
“Katerra’s bankruptcy and the shutdown of the Tracy location significantly impacted its employees as well as a wide range of customers,” says Buckley. “We are hopeful that we can provide jobs to many of those employees and help address the needs of those customers. We well understand the current state of play in the construction sector, and our goal is to provide great products, superior service, and customized solutions for the vibrant California and western U.S. markets.”