What's happening one year after Neumann Homes bankruptcy

Dirt mounds and partially built houses in Antioch's NeuHaven and Clublands subdivisions are among the reminders of a dubious anniversary.

Neumann Homes had finished half of the 1,400 homes it was supposed to build in those subdivisions near Route 173 and Savage Road when its bankruptcy was filed Nov. 1, 2007.

Antioch is not alone in dealing with the fallout a year later. The once-booming developer's financial problems led to sidewalks, curbs and storm sewers going unfinished in North Aurora, while Lakemoor was left in the lurch on road paving. Neumann also didn't finish projects in Grayslake and Gilberts.

But recent work on street lighting and other basics provide a glimmer of hope for residents in NeuHaven and Clublands and elsewhere.

"At a recent meeting we had (with residents), it was very upbeat," Village Administrator Jill Velan said. "They were happy that things have gotten moving."

One significant development for Antioch occurred in July, when a federal bankruptcy court judge ruled the village may use Clublands and NeuHaven homeowners' special-service area fees to finish roads and other public improvements.

Velan said final street paving and electrical work for street lights are among the public improvements nearing completion at Clublands. She said similar work will start soon north at NeuHaven.

An 8,000-square-foot clubhouse and swimming pools were promoted as Clublands' big amenities, but they haven't been built. It likely won't be known until after Neumann winds its way through bankruptcy court whether another developer will finish Clublands and NeuHaven, Velan said.

Here's the latest in the other suburbs one year after Neumann's bankruptcy:

North Aurora

Village Administrator Sue McLaughlin said North Aurora tapped into $2 million posted by Neumann - known as a letter of credit - to finish a good portion of work on curbs, gutters, sidewalks and storm sewers since the summer.

McLaughlin said Neumann built more than 600 homes for Tanner Trails subdivision. She said the bankruptcy has created problems for Tanner Trails residents who are trying to form a homeowners association.

Grayslake

Grayslake Zoning Officer Kirk Smith is optimistic about the future of an incomplete Neumann development near the village's Lake Street Metra station.

Neumann constructed about 50 of a planned 263 townhouses and rowhomes for what was a transit-oriented subdivision called Lake Street Square. He said Neumann completed public improvements such as street lights and roads.

"Over the course of time, I have met with several developers expressing an interest in assuming the subdivision," Smith said.

He has another meeting regarding Lake Street Square set for Friday.

Lakemoor

Although 63 of a planned 219 townhome units haven't been constructed for The Glen at Lakemoor, village building inspector Les Nejedly said the subdivision is in pretty good shape.

"Everything that they started, they did finish," Nejedly said, referring to houses. "We have no skeletons."

Nejedly said all that needs to be completed is final road surfacing. GMAC Real Estate is in charge of finding a taker for the rest of the project, he said.

Gilberts

Just two unoccupied model homes instead of 1,000 residences stand at what was supposed to be the Conservancy subdivision in Gilberts. Neumann had touted how the single-family homes - nestled among wetlands and prairies - would cost more than $300,000.

Village Administrator Ray Keller said the lack of construction by Neumann meant there were no residents affected by the bankruptcy. He said water mains and sewers were built at the 500-acre-plus site near the I-90/Randall Road corridor.

Keller said Gilberts will wait for the conclusion of the Neumann bankruptcy case.

"Until that is resolved," Keller said, "we don't know who will wind up with the property."