Harbor Custom Development, Inc. Closes 23 Developed Lots for $1,719,000 in Austin Metro Housing Market

Rhea-AI Summary

Harbor Custom Development, Inc. (NASDAQ:HCDI) announced the closing of 23 developed single-family lots for $1,719,000 in the Siena Creek subdivision in Horseshoe Bay, Texas. This is part of a larger acquisition strategy, as the company expects to close on a total of 34 lots. Construction of upscale homes is expected to begin soon, with selling prices ranging from $600,000 to $1,000,000. The company aims to capitalize on urban migration from Austin, enhancing its inventory in high-demand areas.

Positive

• Closed on 23 developed lots in Horseshoe Bay for $1,719,000.
• Plans to acquire a total of 34 lots, supporting growth.
• Upscale homes expected to sell for $600,000 to $1,000,000.
• Strategically positioned in a high-demand area benefiting from urban migration.

Negative

• None.

Gig Harbor, Washington, April 27, 2021 (GLOBE NEWSWIRE) -- Harbor Custom Development, Inc. (“Harbor,” “Harbor Custom Homes®,” or the “Company”), (NASDAQ:HCDI), an innovative and market leading real estate company involved in all aspects of the land development cycle, today announced that it has closed on 23 developed single family lots for $1,719,000 in the Siena Creek subdivision in Horseshoe Bay, Texas, located approximately 53 miles west of Austin.   

On March 10, 2021, Harbor Custom Homes announced entering a contract to acquire a total of 30 lots in Sienna Creek and now anticipates acquiring a total of 34. The 11 remaining lots are scheduled to close during the second and third quarters of 2021.  The Company anticipates commencing construction of 4 and 5 bedroom homes on lots ranging from 0.25 to 1.00 acre, with expected sale prices from $600,000 to $1,000,000, near the destination resort, “The Club at Horseshoe Bay” (clubhsbresort.com).   Home buyers in Sienna Creek will have the opportunity for membership at the Horseshoe Bay Resort providing access to resort facilities including three golf courses, multiple clubhouses, yacht club, lake facilities and access to a private jet center with a 6,000 foot lighted runway. Horseshoe Bay has seen rapid growth because of Austin’s expanding employment base and the subsequent migration of households to the Lake and Hill Country regions.

“Closing the initial 23 lots in Horseshoe Bay is a significant event for Harbor Custom Homes as we continue to secure inventory that is a commutable distance to Austin while providing upscale housing in the scenic Lake and Hill Country region.  Urban flight from Austin combined with decreasing inventory in the bedroom, rural and destination resort communities like Horseshoe Bay provide a great opportunity for our company,” stated Sterling Griffin, President and CEO of Harbor Custom Homes.

About Harbor Custom Development, Inc.

Harbor Custom Development, Inc. is a real estate development company involved in all aspects of the land development cycle including land acquisition, entitlements, construction of project infrastructure, home building, marketing, sales, and management of various residential projects in Western Washington’s Puget Sound region; Sacramento, California; and Austin, Texas. Harbor has active or recently sold-out residential communities in Gig Harbor, Bremerton, Silverdale, Bainbridge Island, and Allyn in the state of Washington. In addition, Harbor has acquired land and will begin constructing homes in two new markets beginning in the second quarter of 2021. In the Sacramento metro market, Harbor will be constructing homes in completed subdivisions in both Rocklin and Auburn, California. In the Austin metro market, Harbor has acquired developed lot inventory in Dripping Springs, Driftwood, and Horseshoe Bay, Texas. Harbor Custom Development’s business strategy is to acquire and develop land strategically, based on an understanding of population growth patterns, entitlement restrictions, infrastructure development, and geo-economic forces.  Harbor focuses on real estate within target markets with convenient access to metropolitan areas that are generally characterized by diverse economic and employment bases and increasing populations.  For more information on Harbor Custom Development, Inc., please visit www.harborcustomdev.com.

Forward-Looking Statements

Certain statements in this press release constitute “forward-looking statements” within the meaning of the federal securities laws.  Words such as “may,” “might,” “should,” “believe,” “expect,” “anticipate,” “estimate,” “continue,” “predict,” “forecast,” “project,” “plan,” “intend” or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements.  These forward-looking statements are based upon current estimates and assumptions.  While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release.  These forward-looking statements are subject to various risks and uncertainties, including without limitation those set forth in the Company’s filings with the Securities and Exchange Commission.  Thus, actual results could be materially different.  The Company expressly disclaims any obligation to update or alter statements whether as a result of new information, future events or otherwise, except as required by law.

FAQ

What recent acquisition did Harbor Custom Development, Inc. (HCDI) announce?

Harbor Custom Development, Inc. announced the closure of 23 developed single-family lots in Horseshoe Bay, Texas, for $1,719,000.

How many lots does Harbor Custom Development plan to acquire in total?

Harbor Custom Development plans to acquire a total of 34 lots in the Siena Creek subdivision.

What are the expected sale prices for the new homes in Horseshoe Bay?

The expected sale prices for the new homes range from $600,000 to $1,000,000.

When is construction expected to begin on the new homes?

Construction of the new homes is anticipated to commence soon after the completion of the lot acquisitions.