OXNARD : Finance Plan OKd for Baldwin Co.

A judge approved a $70-million financing plan Thursday for the Baldwin Co., the builder attempting to develop two large Oxnard subdivisions that filed for Chapter 11 bankruptcy reorganization last week.

Some Oxnard officials had expressed concern that the Irvine-based Baldwin Co. may not have the wherewithal to continue with its Oxnard developments.

Last week’s bankruptcy filing followed a decision by General Electric Capital Corp., the company’s major lender, to cut off Baldwin’s $60-million credit line.

Baldwin executives planned to borrow $20 million from Foothill Capital Corp. to stay in business.

But in U.S. Bankruptcy Court in Santa Barbara on Tuesday, Judge Robin Riblet ordered Baldwin to negotiate with GE, and on Thursday, Riblet approved a plan that calls for GE to reinstate its $60-million credit line and provide an additional $10 million in financing.

Baldwin plans to build 5,000 homes at Ormond Beach and another 351 dwellings in a nearby subdivision called Village West.

Louis Malone, president of Baldwin’s Ventura and Los Angeles divisions, said the ruling will enable the company to settle bills. Baldwin is due to pay Oxnard another $110,000 installment so the environmental report on the proposed Ormond Beach development can proceed.

So far, the company has paid $220,000 toward the $508,392 study to be conducted by Impact Sciences Inc. of Thousand Oaks.

City officials said work on the environmental report for the proposed 1,400-acre development will continue once they receive Baldwin’s check.

“I heard that [the payment] was going to be one of their first checks,” City Planner Matthew Winegar said. “They’ve given us no indication that they’re pulling away from the project.”