Brewster Heights is in an early chapter 11 sale process, operating under interim DIP and cash-collateral authority while moving toward a stalking-horse transaction and bid procedures at the July 1 hearing. The debtor and affiliates filed on June 4, 2026, in the Eastern District of Washington after a leveraged orchard, packing, and storage business entered the 2026 harvest season with substantial secured debt and a need for immediate liquidity to preserve perishable crop value; the petition also set June 18 schedule and SOFA deadlines and an October 2 plan deadline in the voluntary petitionDkt. 1.
The first-day record frames the case around a court-supervised sale of a vertically integrated Washington tree-fruit platform with roughly 8,500 orchard acres and 10 packing and storage facilities, supported by a capital stack dominated by approximately $244.1 million of funded debt, including Prudential real-estate debt, BMO facilities, crop financing, other mortgage debt, and a subordinated Apple House note, as described in the McGuire first day declarationDkt. 10. The court has since approved interim postpetition financing and cash-collateral relief, with a $72 million DIP facility and $25 million of interim availability, leaving final DIP approval for the next major hearing.
The case has now shifted from stabilization to sale execution. On June 17, the debtor filed a term sheet for a proposed section 363 sale of substantially all assets to Heritage Orchard Alliance LLC, or a designee of International Farming Management Company LLC, as stalking horse, with an approximately $231.3 million purchase price, $75 million of cash at closing, assumed Prudential and North Cascades obligations, and proposed sale milestones running through overbid, auction, sale-order, and closing deadlines in the . The court also approved reimbursement of Heritage Orchard’s reasonable and necessary legal and diligence expenses through July 1, tying those amounts to any approved final DIP financing in the .
Governance and creditor oversight are now coming into place: the U.S. Trustee appointed a nine-member official committee of unsecured creditors on June 16 in the committee appointmentDkt. 111. The near-term inflection point is July 1, 2026, when the debtor is scheduled to return for final DIP financing approval and to present the stalking-horse agreement and bidding procedures, after the June 16 hearing record reflected the court’s expectation that the sale process remain competitive and that interested parties receive factual diligence information through the data room in the June 16 hearing audio filingDkt. 112.
