The most-hyped tiny-home startup in the country has big problems

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Tiny homes, big problems

, the company softened that claim, saying it expects it"will be able to" build the homes for that sum in the future.

Buried in its recent Canadian filing, Boxabl itself states that manufacturing Casitas has been a money-losing proposition. A person with direct knowledge of the company's materials sourcing and the performance of its production operations in its year-old North Las Vegas factory said the company continued to tinker with the design and componentry for its Casita units even as it was trying to mass-produce them to fulfill its first major order.

, causing costly interior water damage and mold that Boxabl is now in the process of helping to repair. "The scale of the problem and our solution calls for a much bigger factory to push the cost where it needs to be," Galiano told Insider."It's really comparable to automobile manufacturing. At a Tesla factory, they're putting out one car per minute, and we need to get to that scale."

In its Canadian filing, the company disclosed that it had been reprimanded in January by Arizona's Department of Housing for jumping ahead of the regulatory process in that state after it sold 176 Casitas to a mining firm that are being installed in Bagdad, Arizona. Boxabl stated that it had"requested that the citation be dismissed.

 

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