Harbor Custom Development, Inc. - HCDI STOCK NEWS

Harbor Custom Development, Inc. (NASDAQ:HCDI) has projected 2020 gross revenues of $47 million and $70 million for 2021. CEO Sterling Griffin attributes this growth to effective management and favorable market conditions, including low interest rates and increased remote work. The estimates are based on closed transactions and expected revenue from owned and anticipated inventory in Washington State. The company focuses on land development and home building in the Puget Sound region, leveraging insights into population trends and economic factors.

Harbor Custom Development (NASDAQ:HCDI) reported a strong Q3 2020, with sales rising by 15% year-over-year to $7.81 million. The gross profit margin improved to 8% from -3% in Q3 2019, reflecting higher margins on home closings. The company expanded its land holdings, acquiring 321 single-family lots and contracting for a 144-unit apartment site. However, operating expenses surged by 99% primarily due to increased insurance and payroll costs, leading to a net loss of $440,300, an improvement from $596,300 the previous year.

Harbor Custom Development announced the successful Phase 3 sale of 66 residential lots at Soundview Estates, Bremerton, Washington, to Lennar Northwest for $7,788,000. This completes infrastructure improvements on 152 lots, with 127 now sold to Lennar, who previously acquired 61 lots in December 2019. Soundview Estates features stunning views and is strategically located near amenities like the Kitsap Naval Shipyard. The company's CEO expressed enthusiasm for the collaboration with Lennar, highlighting shared visions for quality home construction in the Pacific Northwest.

Harbor Custom Development, Inc. (NASDAQ:HCDI) has announced that CEO Sterling Griffin will appear on Fox Business Network's Varney & Co. program on October 20, 2020, to discuss market trends and the company's positioning in the real estate sector. The interview aims to provide insights into catalysts driving suburban residential markets. Following the appearance, a video recording will be available on Harbor's website. The company focuses on land development in the Puget Sound region, utilizing market dynamics and strategic acquisitions to enhance growth.

Harbor Custom Development, Inc. has appointed Wally Walker to its Board of Directors as an independent director. Walker brings over 30 years of experience in finance and executive leadership, having previously held positions in the financial services industry and professional basketball. His experience includes founding an investment advisory firm and serving on multiple boards. Walker expressed enthusiasm about Harbor's market positioning amid low home inventory and high demand for suburban living, aiming to help the company realize its potential.

Harbor Custom Development (NASDAQ:HCDI) has secured $11 million in construction financing from Sound Capital to start building 25 single-family homes in Soundview Estates, a subdivision in Bremerton, Washington. The project follows the successful sale of 61 lots to Lennar Corporation and the development of an additional 104 lots under contract. Construction is set to commence in November 2020.

Soundview Estates offers views of Puget Sound and is located near the Kitsap Naval Shipyard.

Harbor Custom Development (NASDAQ: HCDI) announced an agreement to acquire property for building 30 townhomes in East Bremerton, Washington, for $1.8M, with expected closing by March 1, 2021. These custom-designed, two-bedroom townhomes will expand the company's offerings from 36 to 66 affordable homes, priced around $400,000. The site is strategically located near key transport links and amenities, catering to first-time home buyers. CEO Sterling Griffin expressed excitement about increasing their inventory in a market with high demand.

Harbor Custom Development, Inc. (NASDAQ: HCDI) has signed a Purchase and Sale Agreement to acquire property in East Bremerton, Washington, for $1.8M, with a closing date expected by March 1, 2021. The site will be developed into 30 custom-designed, two-bedroom townhomes named Broadmoor Commons, expanding the company’s offering in the area from 36 to 66 affordable homes priced around $400,000. The location is strategically positioned near the Kitsap Transit Center and the Bremerton Naval Base, catering to first-time homebuyers seeking accessibility to urban amenities.

Harbor Custom Development (NASDAQ: HCDI) announced the acquisition of 9.6 acres in Port Orchard, Washington, for $1.44M, expected to close by June 1, 2021, pending permit approval. The site will accommodate a 144-unit multi-family apartment complex, marking Harbor's entry into this rental market. Port Orchard's population surged by 60% from 2009 to 2018, increasing demand for rental units. CEO Sterling Griffin emphasized this project addresses local housing shortages while aligning with the company's strategy to enhance revenue through multi-family developments.