SG Blocks Announces Agreement For Multifamily Project In Denison, Texas
December 13, 2022, JACKSONVILLE, Fla. – SG Blocks, Inc. (NASDAQ: SGBX) (“SG Blocks” or the “Company”), a leading developer, designer, and fabricator of modular structures, announced today that the Company has entered into an agreement with a real estate investment firm for the purchase of roughly 25 acres in Denison, Texas. SG Blocks will be the sole owner of the property upon execution.
As of present, the land will be used for 496 multi-family units. The current plan is to design and create an active senior living community with various amenities. Once completed, units will be available at market-rate pricing. The total development cost at this time is expected to be approximately $115 million. The profits from the project over 5 years are estimated at $40 million. The 496 homes will create what the Company believes to be close to $80 million of construction for SG Echo, with anticipated $15 million in margin to our manufacturing campus.
“We are pleased to be expanding in what is colloquially known as the Texoma area,” Paul Galvin, Chairman and CEO of SG Blocks noted. “We hope to productively add to the Denison community, similarly to our work with various businesses in Durant, Oklahoma. This specific project in Denison will provide roughly 500 multi-family housing units, and we’re excited about the potential that we have to make a positive impact in the community.”
Durant, Oklahoma is about 25 minutes by car to Denison, Texas. Units will be made in Durant within the Echo campuses. The Company is targeting a Q3 2023 groundbreaking, with updates to follow.
About SG Blocks, Inc.
SG Blocks, Inc. is a leading developer, designer, and fabricator of modular structures, meeting the growing demand for safe and green construction. The firm offers a product that exceeds many standard building code requirements, and also supports developers, architects, builders and owners in achieving faster execution, greener construction, and buildings of higher value. The Company creates purpose built, pre-fabricated modules from wood, steel, and shipping containers into supreme structures. For more information, visit www.sgblocks.com.
