Comstock Homebuilding Companies, Inc. Enters Into Purchase Contracts to Acquire Condominium Conversions
Company Contracts to Purchase Two Existing Apartment Projects
With a Total of 574 Units in the Northern Virginia Suburbs
Carter Lake Condominiums is a 258-unit existing apartment community
located in Reston, Virginia in Fairfax County. Through a substantial
redevelopment effort including reconfiguration of unit layouts, new kitchens
and flooring, exterior refinishing and amenity improvements the project is
being converted to moderately priced, for-sale condominiums targeted to first
time and early move-up home buyers. Closing on the property by the Company is
set for late 2005. Sales are expected to open in the fourth quarter of 2005
with deliveries to begin in the second quarter of 2006.
Bellmeade Condominiums is a 316-unit existing apartment community located
in Leesburg, Virginia in Loudoun County. Through a redevelopment effort
including new kitchens and flooring, exterior refinishing and amenity
improvements the project is being converted to for-sale condominiums targeted
to first time home buyers. Closing on the property by the Company is set for
late September 2005. Financing will be provided by Bank of America. Sales
are expected to open in the fourth quarter of 2005 with deliveries to begin in
the first quarter of 2006.
"These two acquisitions are perfectly aligned with our strategic focus on
developing quality homes at price points targeted to first time and early
move-up buyers," said Christopher Clemente, Chairman and CEO. "We see these
types of condominium conversion projects as perfectly positioned to bridge the
new and resale markets. By identifying unique projects in desirable locations
we offer quality 'like-new' homes with standard warranties. These projects
fill what we see as an affordability void in the greater Washington DC area.
This is another example of our ability to efficiently invest the capital we
raised in our IPO and follow-on offering and we are very excited these two
projects."
About Comstock Homebuilding Companies, Inc.
Comstock is a production homebuilder and real estate developer that
develops, builds, and markets single-family homes, townhouses, mid-rise
condominiums and high-rise condominiums. The Company currently operates in
the Washington, D.C. and Raleigh, North Carolina markets where it targets a
diverse range of buyers, including first-time, early move-up, secondary move-
up, empty nester move-down and active adult home buyers. For more information
on Comstock, please visit http://www.comstockhomebuilding.com.
Cautionary Statement Regarding Forward-Looking Statements
This release contains "forward-looking" statements that are made pursuant
to the Safe Harbor provisions of the Private Securities Litigation Reform Act
of 1995. Statements that are predictive in nature, that depend upon or refer
to future events or conditions, or that include words such as "may," "will,"
"expects," "projects," "anticipates," "estimates," "believes," "intends,"
"plans," "should," "seeks," and similar expressions, including statements
related to Comstock's expected future financial results and anticipated growth
in the Washington, D.C. housing market, are forward-looking statements.
Forward-looking statements involve known and unknown risks and uncertainties
that may cause actual future results to differ materially from those projected
or contemplated in the forward-looking statements. These risks and
uncertainties include, but are not limited to, economic, market and
competitive conditions affecting Comstock and its operations and products,
risks and uncertainties relating to the market for real estate generally and
in the areas where Comstock has projects, the availability and price of land
suitable for development, materials prices, labor costs, interest rates,
Comstock's ability to service its significant debt obligations, fluctuations
in operating results, anticipated growth strategies, continuing relationships
with affiliates, environmental factors, government regulations, the impact of
adverse weather conditions or natural disasters and acts of war or terrorism.
Additional information concerning these and other important risks and
uncertainties can be found under the heading "Risk Factors" in the prospectus
from Comstock's initial public offering, as filed with the Securities and
Exchange Commission on December 15, 2004. Comstock specifically disclaims any
obligation to update or revise any forward-looking statements, whether as a
result of new information, future developments or otherwise.
SOURCE Comstock Homebuilding Companies, Inc.
CONTACT:
Carrie Blewitt, +1-202-448-3129, cblewitt@qorvis.com
for Comstock Homebuilding Companies, Inc.
Web site: http://www.comstockhomebuilding.com