A New York architecture and interior-design firm with roots dating back more than a century has filed for chapter 11 protection, citing its inability to collect more than $2 million from an assignment in Russia, the Wall Street Journal reported today. Unlike many companies that go into bankruptcy, Swanke Hayden Connell doesn’t have any major bank loans or other secured debt. Instead, the firm says in court filings that a shortage of cash and its inability to pay its bills led to the bankruptcy. Over the years, Swanke Hayden has worked on a number of well-known projects in New York and elsewhere, including the Trump Tower, a 1980s facelift of the Statue of Liberty, and the recent rehabilitation of Central Park restaurant Tavern on the Green. In recent years, Swanke Hayden has taken on several projects in Russia, including a 70-story mixed-use tower in Moscow and a planned mega-complex in downtown Moscow. Swanke Hayden says in filings that one of its Russia clients hasn’t paid $2.3 million due to the firm because it claims “it has suffered damages as a result of the debtor’s alleged delays and omissions.”
