Fascinating! They purchased a property for $2,161,500 in May 2017 - and now it's worth $7.5m. The site remains as purchased (no further improvements), so vacant land with development covenants.
The kicker is the "subject to" provisions - clearly, they are breaching the covenant and someone needs to buy it, with those restrictions.
If I was taking an educated guess, the $5m they are slated to make here seems a lot like the net amount they need to keep this show going for another two buying cycles with CUB, plus some spare cash to pay down the balance of the debts, pay some Director fees and keep paying the CEO's salary.
This is clearly a last-throw-of-the-dice deal. Betting everything on whether you can triple your money on a vacant lot in 4 years seems like there are no other options ahead.
It will be interesting to see what happens.
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