Roberts Realty Investors, Inc. Announces Agreement To Sell Northridge Office
ATLANTA, Oct. 17, 2013
ATLANTA, Oct. 17, 2013 /PRNewswire/ -- Roberts Realty Investors, Inc. (NYSE
MKT: RPI) announces that it has signed a definitive agreement with the Fulton
County Board of Education to sell its 37,864 square foot Northridge Office
Building located in Sandy Springs, Georgia. The sales price is $5.28 million
and the closing is scheduled to occuron or before October30,2013, provided
that the Board of Education may extend the closing date to November15, 2013.
The Northridge Office Building has a carrying value of $3.2 million in the
company's financial statements and secures a $2.4 million loan.
The company's primary objectives for 2013 have been to reduce debt, decrease
annual operating expenses, increase liquidity through the sale of certain real
estate assets and complete its exit from the retail and office business. If
the sale closes as the company expects, the transactions completed in 2013
will have reduced its total debt by $10.62 million or 43%, decreased its
annual operating expenses by $850,000 and increased its liquidity by
Mr. Charles S. Roberts, the company's president and chief executive officer,
stated: "Completing our exit from the retail and office business during 2013
would allow us to focus exclusively on our primary business of developing new,
high-quality multifamily apartment communities. We own four superb locations
that are zoned and entitled for the development and construction of 940
multifamily apartment units."
Mr. Roberts continued: "Additionally, we continue to pursue and work on
strategic alternatives that would enhance shareholder value through a sale or
merger of the company. The reduction in debt, decrease in annual operating
expenses and increased liquidity we have already accomplished in 2013 make the
company a more attractive merger candidate and make it easier to obtain the
financing necessary for the development and construction of our new apartment
communities. For these reasons, we believe the company is well positioned for
a productive and successful 2014."
Roberts Realty Investors, Inc. is an equity real estate investment trust based
Forward Looking Statements
This press release contains "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934, as amended. Some of the forward-looking statements
relate to our intent, belief or expectations regarding our sale of the
Northridge Office Building, our plans to exit the retail and office business
and to obtain financing for our new apartment communities. The statements
regarding the sale of the Northridge Office Building and our plans to exit the
retail business involve risks and uncertainties, including the occurrence,
ultimate terms and timing of these transactions. Our forward-looking
statements relating to obtaining financing for the construction of new
apartment communities involve risks and uncertainties regarding the
availability of the equity capital we need to obtain construction financing
and to the overall financing environment, specifically the willingness of
financing sources to make apartment construction loans. ^ Other
forward-looking statements relate to our intent, belief or expectations
regarding our examination of strategic alternatives. These statements involve
risks and uncertainties, including the occurrence, terms and timing of one or
more transactions or sales. For these forward-looking statements, we claim
the protection of the safe harbor for forward-looking statements contained in
the Private Securities Litigation Reform Act of 1995. For more information
about other risks and uncertainties we face, please see the sections in our
most recent annual report on Form 10-K and our most recent quarterly report on
Form 10-Q entitled "Risk Factors."
SOURCE Roberts Realty Investors, Inc.
Contact: Charles S. Roberts, President, Telephone: (770) 394-6000, Fax: (770)
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