Universal Property Acquires 600 Additional Acres In Reno, Nevada
JUNO BEACH, Fla.,September 15, 2005(Reno Nevada News)
Universal Property Development and Acquisition Corporation (OTCBB:UPDA) has successfully negotiated the terms of an agreement to form a joint venture entity to develop an entire community adjacent to Interstate 80 near Reno, Nevada. The terms of the agreement will provide for the acquisition of nearly 600 acres in consideration of an investment of $500,000.00 for engineering, permits and site preparation. "Consistent with our business model, our joint venture partner will provide the land and we will finance the construction," said UPDA spokesman, Chris McCauley, in describing the transaction. "Future phases could involve as many as 12,000 adjacent acres which are already owned by our partner."
In phase one of the project, UPDA will provide as much as $5,000,000 for the construction of a condo hotel and travel center on a parcel located directly on an exit ramp from I-80. A water well site has been located and a water treatment plant will be built in conjunction with this construction in which future phases will involve residential projects as well as additional commercial development. "The proximity of I-80, the availability of water and the phenomenal growth of the Reno, Lake Tahoe, Carson City area make this the prototype UPDA project. The land cost is negligible and the location is incredible," continued McCauley.
In its continuing effort to build shareholder value, Universal has added this project to its previously announced portfolio including its Canyon Creek Oil & Gas project in Texas, which includes over 2200 acres of oil and gas leases and more than 60 wells in two phases. Production of the existing wells is expected to re-commence in the near future. Universal has also announced its joint venture involving an 83 unit apartment project in Cleveland, Ohio.
Universal Property Development and Acquisition Corporation focuses on the acquisition and development of underperforming commercial and residential real estate as well as proven oil and gas reserves and other energy opportunities through the creation of joints ventures. UPDA provides seed money to undercapitalized joint venture partners in order to allow for conventional financing and other financial opportunities.
Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated or expected, or described pursuant to similar expressions.
Vegas Builder Coming to Reno!
The largest homebuilder in Las Vegas and one of the largest in the country is coming to Reno.
Los Angeles-based KB Home is starting with one residential community in fast-growing south Reno named Ravenna at Monte Sereno. But Jefferey Fautt, president of KB’s North Bay division, which extends from the Bay Area to Reno, said that the company is likely to build other residential areas in the Truckee Meadows.
“Finding the right piece of land to be our starting point was a key,” Fautt said. “It took us a little longer than we had hoped but we found the location we were looking for and decided to move forward on it.
“We do plan on expanding in Reno. We continue to look for more opportunities and the right opportunities.”
KB Home had a connection with Northern Nevada when it acquired Lewis Homes in 1999, but this will be the first time the KB Home brand will be here.
Fautt said plans for the company’s first Reno community — located south of Damonte Ranch Parkway at the Nevada 431/341 corridor, east of U.S. 395 — call for 700 homes in subdevelopments Ravenna at Monte Sereno and the future Calabria at Monte Sereno. The models will range from 1,604 to 2,927 square feet, but the prices have not been set.
KB Home will begin building the models later this month. Sales of the first 180 homes should begin in October.
Fautt said Reno staff will include 20 full-time employees for sales, marketing, construction, warranty, land acquisition, development and customer service.
“Typically, we try to address the needs of a growing population, and obviously there is growth in Reno,” Fautt said. “Reno is a great market and growing rapidly. We are excited to be in Reno and be a part of it.”
KB Home is the latest national builder to enter the red-hot Northern Nevada real estate market.
In the last two years, Miami-based Lennar Corp. and Huntingdon Valley, Pa.-based Toll Brothers Inc. both announced their first entrance into the local market, as did adult community builder Del Webb, owned by Bloomfield Hills, Mich.-based Pulte Homes Inc. All three are publicly traded.
But Jesse Haw, president of the Builders Association of Northern Nevada, said he is not concerned that KB Home will overcrowd an already busy homebuilding market.
“As Reno grows, these larger builders coming in is a good thing,” Haw said. “They are professionals and have good insight on things that are happening in the country and they are very good at giving back to local charities.
“It legitimizes the market here and it continues on with the maturation of the building market. Our lifecycle is going to the point where there will be less builders but very good builders that are doing it.”
Shawn Minassian, president of the Reno-Sparks Association of Realtors, said KB Home’s arrival means the Northern Nevada real estate market is a good investment.
“Those companies don’t spend a dime unless they see the long-term effect of their investment,” Minassian said. “This is a result of earlier activities and that success just breeds more success.”
For KB Home, Fautt said the rapid growth of the area is what is most appealing to major builders. He said the projected growth should be enough to sustain the increased competition.
“The amount of growth and the projections as far as the population growth in Reno over the next 10 years allows for the number of builders (in Reno-Sparks),” Fautt said