Highlights
- ZenniHome LLC filed Chapter 7 bankruptcy in U.S. Bankruptcy Court for the District of Delaware the day before a scheduled receivership hearing.
- Indigenous Design Studio + Architecture LLC sued ZenniHome alleging misuse of $22 million in federal funds tied to a modular housing project.
- The bankruptcy filing blocks Maricopa County Superior Court efforts to appoint an independent receiver over ZenniHome's assets and accounts.
- ZenniHome had already defaulted on a separate $5 million loan from NZ Snowflake Lending, triggering a UCC auction notice in late 2025.
Mesa-based ZenniHome LLC filed Chapter 7 liquidation bankruptcy in U.S. Bankruptcy Court for the District of Delaware the day before a scheduled Maricopa County Superior Court hearing on a receivership application, a move that immediately halted efforts to place the company's assets under independent control.
Indigenous Design Studio + Architecture LLC had filed suit against ZenniHome earlier this year alleging misuse of $22 million in federal funds related to a modular housing project. As part of that litigation, Indigenous Design Studio sought appointment of an independent receiver to take possession and control of ZenniHome's assets, records, accounts and financial information. The receivership hearing was set in Maricopa County Superior Court; ZenniHome's bankruptcy filing, made the preceding day, blocks those proceedings.
Thomas Gilson, partner and co-chair of the litigation department for Rose Law Group PC and unconnected to the lawsuit, told KTAR that the bankruptcy filing blocks the ongoing receivership effort.
The financial distress at ZenniHome predates the Indigenous Design Studio lawsuit. A public UCC Article 9 auction notice published by DailyDAC shows ZenniHome LLC borrowed $5,000,000 under a Loan Agreement dated September 30, 2024, from a lender originally identified as Pasadena Private Lending, Inc. That loan was amended December 30, 2024, and the current secured party is listed as NZ Snowflake Lending, LLC. ZenniHome defaulted on its obligations, and a public auction of its collateral was scheduled for December 30, 2025, in Scottsdale. Qualified bidders were required to provide a minimum immediate payment of $500,000 at auction conclusion.
The Phoenix Business Journal and ABC15 both reported the bankruptcy filing independently. The ZenniHome bankruptcy case is pending in the District of Delaware; the Maricopa County Superior Court receivership proceedings remain stayed.
Where to find them
- ZenniHome LLC · members.modular.org · Instagram
- Architecture LLC · gbma.com · Instagram · Facebook · X
- Rose Law Group · roselawgroup.com · Instagram · Facebook · X
Sources
Every factual claim in this article traces to one of the sources below. See how we work for the editorial process.
- ktar.com retrieved 11/05/2026 12:06
- dailydac.com retrieved 11/05/2026 12:06
- ZenniHome LLC (official site) retrieved 11/05/2026 12:06
- Architecture LLC (official site) retrieved 11/05/2026 12:06
- Rose Law Group (official site) retrieved 11/05/2026 12:06
Authored by The Scottsdale Signal. Drafted by AI from primary-source material under our beat-specific editorial guides; reviewed by humans before publish under our five-gate process. Sources retrieved at 11/05/2026 12:06. Every claim traces to a source.