Property Recycling Co. of Trabuco Canyon said it has completed a merger agreement with Better Homes Co., a Colorado Springs, Colo., development firm.
The new company will continue to use the Property Recycling name, said Steve Jordan, who founded Property Recycling two years ago. John Ventimiglia, owner of Better Homes, will become chairman of the board for Property Recycling. Jordan said he and Ventimiglia have known each other for 25 years and decided to pool their resources to capitalize on the fast-growing field of recycling “distressed properties"--buying rundown homes, apartments and commercial buildings and refurbishing and selling them.
Jordan said he and Ventimiglia each own 40% of the stock, while Jordan’s daughter, Susan, and Mike DiGregorio, a building contractor, each own 10%.
Jordan said Property Recycling currently has five employees, while Better Homes has about 25. Better Homes has been building new homes in the Colorado Springs and Denver areas for 23 years, said Jordan.
Although Ventimiglia still has land in Colorado he intends to develop, Property Recycling’s main effort will be to expand its operations throughout California.
Jordan said he buys both residential and commercial properties that need repair or remodeling, hires subcontractors to rehabilitate the buildings, and then resells the properties. He said about half of the sales are to individuals and half are to real estate brokers.