ATLANTA, June 24 /PRNewswire-FirstCall/ -- Roberts Realty Investors,
Inc. (Amex: RPI) announces it has closed the sale of its 403-unit Addison
Place apartment community for $60,000,000. The sales price is equal to
$148,883 per apartment unit or $102 per square foot and resulted in net
cash proceeds of approximately $29,300,000 to the company. The company also
announces that its board of directors has today declared a distribution of
$0.66 per share to shareholders and $0.66 per unit to unitholders. The
distribution will be paid on August 5, 2008 to shareholders and unitholders
of record on July 10, 2008.
Addison Place is located in the city of Johns Creek, Georgia and
consists of 118 townhomes and 285 garden apartments. The first phase of
Addison Place consisting of 118 townhomes was completed in 1999 and the
second phase of 285 garden apartments was completed in 2001. Addison Place
was designed, developed, and constructed by Roberts Properties, Inc., a
non-owned affiliate of the company. Mr. Charles S. Roberts, the company's
founder and CEO, stated: "Since 1994, our investment strategy has been to
buy well-located land in high-growth neighborhoods and then develop,
construct, and manage these high-quality apartment communities."
Mr. Charles R. Elliott, the company's CFO, stated: "We continue to
believe that the best way to create value for our shareholders is to
periodically sell our apartment communities in order to make distributions
to our shareholders from the sales proceeds." As outlined below, the
company has paid dividends and distributions totaling $8.84 per share/unit
since 1996. In 2003, the company sold its Highland Park apartment community
and paid a distribution of $0.55 per share/unit. In 2004, the company sold
a portfolio of five apartment communities and paid a distribution of $4.50
per share/unit. Now that the sale of Addison Place has closed, the company
will pay a distribution of $0.66 per share/unit. With the payment of the
Addison Place distribution, the company will have paid dividends and
distributions totaling $9.50 per share/unit since 1996, which is equal to
an average of $0.73 per share/unit per year for each of the past thirteen
years.
Year Distribution Year Distribution
1996 $0.48 2003 $0.55
1997 $0.58 2004 $4.50
1998 $0.58 2005 $0.00
1999 $1.08 2006 $0.00
2000 $0.74 2007 $0.00
2001 $0.33 2008 $0.66
2002 $0.00
Total Dividends and Distributions $9.50
In its January 24, 2008 and April 22, 2008 press releases, the company
announced its intention to make a distribution of $2.50 per share to its
shareholders and unitholders from the Addison Place sales proceeds by the
end of 2008. However, given the weakness in the U.S. economy along with the
continued stress in the banking system, the company believes the safest
course of action at this time is to distribute only $0.66 per share/unit,
thereby retaining the balance of the sales proceeds for working capital and
balance sheet liquidity. Mr. Charles R. Elliott, the company's CFO, stated:
"Despite the aggressive actions taken by the Federal Reserve during the
past year, the economy continues to struggle and credit is still difficult
to obtain. In this weak and uncertain economy with no improvement in sight,
our priority is to prudently manage our balance sheet for maximum
liquidity."
The company is moving forward with the development and construction of
its next two apartment communities totaling 374 residential units. The
company's Northridge property is an 11-acre site located in the City of
Sandy Springs, Georgia and is adjacent to its Northridge office building.
This property is zoned for mixed-use and will include 220 residential units
consisting of one- and two-bedroom homes along with covered parking for the
residents. The company's Sawmill Village property is a 22-acre site that is
zoned for 154 residential units. The property is located at the
intersection of Georgia Highway 9 and Old Atlanta Road in Forsyth County,
an area that is experiencing rapid growth. This community will be similar
in size to Rosewood Plantation and Ivey Brook, two other 150-unit
communities the company previously developed and sold for a substantial
return.
Mr. Charles S. Roberts, the company's CEO, stated: "We are very pleased
with the results of our Addison Place sale. It marks the conclusion of
years of hard work, attention to detail, and strict adherence to our
business plan. We believe this property sale and distribution, like our
previous property sales and distributions, validates and confirms our
investment strategy of developing, constructing, and owning apartment
communities of the highest quality."
Forward Looking Statements
Some of the statements made in this press release may constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements are based
on management's current expectations or beliefs and include known and
unknown risks, uncertainties and other factors, many of which the company
is unable to predict or control, that may cause the company's actual
results or performance to differ materially from any future results or
performance expressed or implied by such forward-looking statements. These
statements involve risks and uncertainties, including risks and
uncertainties associated with the following: the company may not be able to
develop, construct, and lease its Northridge and Sawmill Village
residential communities as soon as it expects; construction and permanent
debt financing for the projects may not be available as expected, or such
financing may be available only on unfavorable terms; the company may
encounter unexpected construction problems or delays; market and economic
conditions may be unfavorable for the lease-up of those communities; and
increased competition may limit the rents the company can charge and
collect. For more information about other risks and uncertainties Roberts
Realty faces, please see the section in Roberts Realty's most recent annual
report on Form 10-K entitled "Risk Factors."
See Also:
- Mortgage Lending Options For CUs Available Through Renewed Freddie Mac/CUNA Alliance
- City of Berwyn, IL Launches New 2008 Billboard Campaign
- Grubb & Ellis Company Announces Management Change
- Chicago High Rise Moves Ahead With $8.36 Million Kennedy Funding Loan
- Griffin Announces Notice from Nasdaq
[Via Real Estate Newswire]
Useful Links
0 коментарі:
Post a Comment