Dream Homes & Development Corp. secures Significant Funding Package for approved 70-Unit Berkeley Terrace Townhome Development and files 10K Annual Report for 2022
Dream Homes & Development Corporation (OTCPK: DREM) announced a successful $4.67 million funding package for its Berkeley Terrace development, which will cover refinancing land debt, site improvements, and construction of the first 10 units. Financing was facilitated by Mattics Lending and Whitestone Realty Capital. CEO Vince Simonelli expressed optimism about the financing conditions in the current market. The company reported profitability in its 2022 annual report and is pivoting to a Build to Lease strategy due to a shortage of rental properties, aiming to complete 155 units for leasing rather than selling. This shift is expected to create significant revenue streams and supports future growth in the New Jersey real estate market.
- Secured $4.67 million funding for Berkeley Terrace development.
- First phase construction of ten townhomes initiated.
- Company remains profitable amidst challenging market conditions.
- Shift to Build to Lease strategy expected to enhance revenue streams.
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The
FORKED RIVER, N.J., April 17, 2023 (GLOBE NEWSWIRE) -- Dream Homes & Development Corporation (OTCPK: DREM) (also known as “DHDC”), announces it recently successfully secured a
Matthew Aaron, principal of Mattics Lending, LLC and Whitestone Realty Capital assisted Dream Homes to secure this funding. Both DREM management and Mr. Aaron of Mattics Lending are confident that the balance of funding for the entire 70-unit development will be provided by the existing lender at favorable market rates.
Additionally, Dream Homes filed its 10K annual report for calendar year 2022 that is available at https://www.nasdaq.com/market-activity/stocks/drem/sec-filings.
Dream Homes CEO, Vince Simonelli, stated, “We’re excited to continue moving forward with our 70 townhome Berkeley Terrace development with financing we consider very reasonable considering the current interest rate environment.” He added, “We now have a financing partner that truly can help take us to the next level for this project, as well as other projects we have in development.”
Matthew Aaron stated, “Our company was able to fully understand the overall picture for this Dream Homes project, which enabled us to correctly structure the funding. We were able to overcome concerns in this ever changing construction lending environment and provide the high touch communication required throughout the loan process.” Matt added, “Because of this, we were able to provide Dream Homes with continued access to capital, increasing the likelihood of a successful long term lender relationship.” Matt can be reached at matt@matticslending.com
The annual report for 2022 demonstrated that Dream Homes has stayed profitable even in more challenging times. The company’s pivot to the emerging “Build to Lease” trend is expected to deliver sustainable results for long term growth. See below for more about our strategy from our annual report:
Build to Lease strategy:
A new and significant growth trend in the real estate market is the emerging Build to Lease trend. The Company’s focus and concentration on building both single and multi-family developments with the intention to lease them immediately upon completion reflects that trend. A significant factor in this decision is the extreme shortage of rental properties on the market, for first time homemakers, retirees, and young professionals unclear as to their intentions of settling in one location.
As such, management chose to change focus to better accommodate this growing trend. Currently all new multi-family developments located in Ocean County, which represent a total count of 155 units, will be changed from Build For Sale to Build for Lease. The Company intends to hold these properties upon completion, lease them, and receive the rental income from long term ownership as well as the capital appreciation. This strategy will create a very significant revenue stream for the Company and will become a third division of the Company, along with custom new homes and renovation/elevation projects.
CEO Simonelli concluded, “The residential housing demand in this area, particularly in the market segments we address, enjoys a fundamental support level based on several factors. These factors include excellent air, rail and road infrastructure, casinos, tourism and support services in Atlantic City & Philadelphia, and a central location between Philadelphia and New York. Additionally, the chronic affordable housing shortage throughout New Jersey is very unlikely to decrease in the foreseeable future. This situation plays well into the Company’s strengths, which include entry-level or first time move-up housing, as well as elevations and renovations of existing damaged homes. All these market areas have tremendous growth potential due to the already very limited available housing supply.”
About Dream Homes & Development Corp.
Dream Homes & Development Corp. (OTC Pink: DREM) (also “DHDC”) is a full-service construction company based in Forked River, New Jersey equipped to complete all aspects of a building project including design, architectural, engineering, and construction. DHDC wholly owned subsidiaries are licensed new home builders and general contractors; actively building, raising, renovating and reconstructing homes up and down the New Jersey shore area.
Visit our website at www.dreamhomesltd.com for more information.
Email vince@dreamhomesltd.com or matt@greenchipir.com to be alerted in the future when the Company announces news. Twitter at https://twitter.com/foxbuilder.
Forward-Looking Statements:
This press release may contain forward-looking statements. The words "believe," "expect," "should," "intend," "estimate," "projects," variations of such words and similar expressions identify forward-looking statements, but their absence does not mean that a statement is not a forward-looking statement. These forward-looking statements are based upon the Company's current expectations and are subject to a number of risks, uncertainties and assumptions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Among the important factors that could cause actual results to differ significantly from those expressed or implied by such forward-looking statements are risks are detailed in the Company's respective filings with the Securities and Exchange Commission at www.sec.gov.
Company Contacts:
Dream Homes & Development Corp.
Vincent Simonelli, President & CEO
Office: (609) 693-8881
Email: vince@dreamhomesltd.com
Investor Relations:
Green Chip Investor Relations
President: Matt Chipman
Office: (818)923-5302
Email: matt@greenchipir.com
FAQ
What is the significance of the $4.67 million funding for DREM?
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