BIRMINGHAM, Ala., July 27, 2010 (GLOBE NEWSWIRE) -- Four Star Holdings, Inc. (OTCBB:FSTH) is pleased to update their shareholders on recent developments with the company. The firm has closed additional sales for total of 43 homes sold year to date with a slated 70 homes to be built this year. The company has projected 62 of these homes to be sold by year's end. This comes in addition to the previous announcement that it had executed and closed a sale of 38 turnkey building sites to D.R. Horton (NYSE:DHI). This is the first closing on a 4 part contract for approximately $4,000,000.
The company has also recently secured a 10 million dollar credit line with Regions Bank for the development of new homes. The company is working on an expansion agenda that will re-capitalize the company at a lower interest rate than current senior debt which in turn will considerably enhance the company's bottom line. The Company has also announced in addition to its $14 million of acquisitions, its intentions to vend in an additional $60 million worth of assets upon the retirement of the senior debt.
According to the recent 10 Q, Four Star announced that some of the aggregated losses were, in large part, onetime expenses in regards to the recent reverse merger process as well as additional accounting fees, legal and consulting fees required to assist the company in its transition into the current publicly traded entity.
The company has also entered into the commercial development arena. Four Star owns several lots that are adjacent to the city's prime retail, commercial and residential areas and have entered into contracts with national brand chain anchor stores for developing these properties.
Bobby Smith, CEO, stated, "Having been in business since 1992, our company brings a wealth of area knowledge, combined with construction savvy that, we believe, will make us a formidable force in the local markets and beyond. Our relationships and reputation as a quality builder; with our stable and productive history are a testimony to our credibility. This experience will help catapult us into the new markets with an even stronger position as we move forward, and weaker firms are unable to compete. We are excited to open our doors to new and potential investors and feel we are establishing a great team for the public markets as well."
The firm has invited interested parties to visit their website to view the quality of their homes and learn more about the company at http://www.4starrealty.net/
Continuing in Four Stars Holding's efforts to maintain shareholder awareness of the housing market in the Birmingham area, recent studies show that new home sales rose nearly 24 percent in June from a month earlier and shows a trend toward stability in the field. Please visit the following link to read the full article.
http://finance.yahoo.com/news/New-home-sales-up-but-sales-apf-272960836.html?x=0
ABOUT FOUR STAR HOLDINGS, INC.
Four Star Holdings, Inc. (OTCBB:FSTH), operates as the 4th largest homebuilding company in the Birmingham, Alabama area, closely competing with D.R. Horton, Hovnanian Enterprises, Inc and HPH Homes, LLC as a fully integrated builder and developer. The company operates in three segments: Land Development, Structural Community Planning including Homebuilding, and Realty Brokerage Services. The corporation is headquartered in Odenville, Alabama.
The Four Star Holdings, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=7467
SAFE HARBOR STATEMENT
This Press Release contains or incorporates by reference "Forward-looking statements," including certain information with respect to plans and strategies of Four Star Holdings, Inc. For this purpose, any statements regarding this announcement, which are not purely historical, are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, including Four Star Holdings, Inc. beliefs, expectations, hopes or intentions regarding the future. All forward-looking statements are made as of the date hereof and based on information available to Four Star Holdings, Inc. as of such date. There are a number of important factors that could cause actual events or actual results of Four Star Holdings, Inc. and its subsidiaries to differ materially from those indicated by such forward-looking statement.