8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): June 16, 2010

California Coastal Communities, Inc.

(Exact name of registrant as specified in its charter)

Delaware	0-17189	02-0426634
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

6 Executive Circle, Suite 250, Irvine, California	92614
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code (949) 250-7700

Not Applicable

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrantunder any of the following provisions:

oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

oSoliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 7.01 Regulation FD Disclosure.

On June 16, 2010 the Registrant issued a press release announcing that it had received a $182 million financing commitment from an investor to refinance its Brightwater development project debt.  The commitment has been submitted for the approval of the United States Bankruptcy Court for the Central District of California and, if approved, will facilitate the Registrants exit from its current Chapter 11 bankruptcy proceedings.

A copy of the press release is attached to this Current Report on Form 8-K as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01.              Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.	Exhibit Description
99.1	Press Release dated June 16, 2010

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: June 17, 2010	California Coastal Communities, Inc.
	By:	/s/ RAYMOND J. PACINI
		Raymond J. Pacini
		Chief Executive Officer

2

EX-99.1

Exhibit 99.1

NEWS RELEASE

Contacts:              Raymond J. Pacini

Chief Executive Officer

California Coastal Communities, Inc.

(949) 250-7781

CALIFORNIA COASTAL COMMUNITIES OBTAINS $182 MILLION FINANCING COMMITMENT TO FACILITATE EXIT FROM BANKRUPTCY

IRVINE, California, June 16, 2010 — California Coastal Communities, Inc. (OTCQB: CALCQ) announced today that it has obtained a financing commitment from an investor to provide $182 million of new debt financing to replace the Company’s existing secured debt facilities.  The commitment is subject to approval by the United States Bankruptcy Court for the Central District of California, and to the successful negotiation and execution of definitive loan documents.

Chief Executive Officer Raymond J. Pacini commented, “We are very pleased to have negotiated this commitment for new financing to takeout our existing Brightwater debt.  The new financing, if approved by the Court, will provide a more certain exit from bankruptcy without the risk of litigation.  With the cloud of bankruptcy being removed, we expect the pace of home sales at Brightwater to improve. This financing will also provide significant flexibility.” Mr. Pacini commented further, “In particular, the fact that the $100 million third lien will not require any amortization will let us sell homes at a pace that allows the Company to benefit from the inevitable recovery in coastal home prices.”

In connection with the commitment, the Company will amend its plan of reorganization to provide for the repayment of the existing indebtedness in cash upon the effective date of the plan.  The Chapter 11 Petitions, which were filed by the Company and certain of its direct and indirect wholly-owned subsidiaries on October 27, 2009, are being jointly administered under the caption In re California Coastal Communities, Inc., Case No. 09-21712-TA.

The commitment provides (a) a new first lien position loan in the principal amount of $40 million, maturing on March 31, 2013 and bearing interest at an annual rate of Libor + 550 basis points, with a Libor floor of 200 basis points; (b) a new second lien position loan in the principal amount of $42 million, maturing on December 31, 2013 and bearing interest at an annual rate of Libor + 950 basis points, with a Libor floor of 200 basis points; and (c) a new third lien position loan in the principal amount of $100 million, maturing on December 31, 2015 without any amortization required beforehand and bearing interest at an annual fixed rate of 15% with 50% of such interest payable in cash and the remainder accruing and added to the principal balance.  After the first and second lien position loans are repaid, the Company will have an option to pay interest on t he third lien position loan in cash at an annual fixed rate of 12%.  The third lien position loan will also receive a revenue participation of 5% of the gross proceeds from the sale of homes at Brightwater.  There can be no assurance that definitive loan documents will be executed pursuant to the financing commitment.

The Company is a residential land development and homebuilding company operating in Southern California.  The Company’s principal subsidiaries are Hearthside Homes which is a homebuilding company, and Signal Landmark which owns 110 acres on the Bolsa Chica mesa where sales commenced in August 2007 at the 356-home Brightwater community.  Hearthside Homes has delivered over 2,300 homes to families throughout Southern California since its formation in 1994.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

Certain of the foregoing information contains forward-looking statements that relate to future events or the Company’s future financial performance.  These statements involve known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements.  In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” “continue,” “hopes” or the negative of such terms or other comparable terminology.  These forward-looking statements include, but are not limited to, statements about the Company’s plans, objectives, goals, expectations and intentions with respect to the bankruptcy proceedings and the financing commitment, the number and types of homes that the Company may develop and sell, the timing and outcomes of court proceedings, lender negotiations, and other statements contained herein that are not historical facts.