Comstock Homebuilding Companies (CHCI) stock builds on new strategic alliance

Comstock Homebuilding Companies (Nasdaq: CHCI) shares raced ahead 27.2% to $1.45, on word of a new strategic alliance with SunBridge Capital Management, LLC. Volume for the stock topped 393,000 shares, or more than 13 times its normal daily average.

The purpose of the strategic alliance is to facilitate Comstock’s and SunBridge’s ongoing pursuit of certain homebuilding and multi-family rental projects in the Washington, D.C. market.

The strategic alliance calls for project funding of up to $25 million from each party to capitalize agreed-upon potential investments. Further demonstrating its commitment to its relationship with Comstock, SunBridge will also provide up to $20 million of senior secured financing thereby strengthening Comstock’s ability to pursue new real estate investment and development opportunities.

In a news release out Wednesday, July 13, Comstock CEO Christopher Clemente, “We are delighted to team with SunBridge. This is a significant alliance for Comstock as we continue to uncover and execute against opportunities within the best real estate market in the nation.

Clemente concluded, “This new relationship provides additional capital and allows us to pursue our strategic objective of disciplined growth supported by a conservative capital structure as we focus on enhancing shareholder value.”

Based in Reston, Va. Comstock is a multi-faceted real estate development and services company, boasting substantial experience in building a diverse range of products including multi-family, single-family homes, townhouses, mid-rise condominiums, high-rise condominiums and mixed-use (residential and commercial) developments has positioned Comstock as a prominent real estate developer and homebuilder in the Washington, D.C. market.

Tags: buzz stocks, CHCI, Financial Stocks, real estate development

This entry was posted on Wednesday, July 13th, 2011 at 11:33 am by admin and is filed under Financial Stocks. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.