MCLEAN, OKLAHOMA - Safe & Green Holdings Corp. (NASDAQ: SGBX), a modular structures company, and Soldier On, Inc., a nonprofit aimed at ending veteran homelessness, have announced their intention to establish an 800-unit housing community and an ADA-compliant manufacturing facility in McLean, Oklahoma. This initiative is designed to support veterans, first responders, and others with disabilities resulting from service, along with their families.
The planned project includes an 80,000-square-foot manufacturing facility that will be used to construct the housing units, providing employment opportunities for wounded veterans. The collaboration formalized through a non-binding Letter of Intent (LOI), will move forward to create a formal joint venture and begin the planning process.
Safe & Green Holdings, alongside Soldier On, which has been aiding homeless veterans since 1994, plans to replicate the successful model of the Gordon H. Mansfield Veterans Community, which transitions veterans from homelessness to homeownership. The new community will offer not only housing but also a suite of supportive services tailored to the needs of its residents, including counseling, wellness programs, and rehabilitation services.
Paul Galvin, CEO of Safe & Green Holdings, expressed honor in supporting Soldier On's mission and highlighted the importance of the manufacturing facility as the first phase of the project. Bruce Buckley, CEO of Soldier On, emphasized the critical need for the jobs and housing that the project will provide. David Villarreal, President & CEO of SG DevCo, a subsidiary of Safe & Green Holdings, shared the company's excitement in delivering the project to serve veterans and first responders.
Upon finalizing the joint venture agreement, the parties intend to commence the design phase, followed by the construction of the manufacturing facility, which is expected to take approximately 24 months to complete.
Safe & Green Holdings Corp. operates in the modular solutions sector, providing development, design, and fabrication services. The company and its subsidiaries, including SG DevCo, focus on real estate development using prefabricated modules for efficient and sustainable construction.
This announcement is based on a press release statement.
InvestingPro Insights
As Safe & Green Holdings Corp. (NASDAQ: SGBX) embarks on its ambitious project with Soldier On, Inc., it's important to consider the company's financial health and market performance. According to InvestingPro data, SGBX has a market capitalization of 6.89 million USD, reflecting its size within the modular structures industry. However, the company's financials paint a challenging picture, with a negative P/E ratio of -0.43 for the last twelve months as of Q3 2023, indicating that the company is not currently profitable.
Furthermore, the revenue for the same period shows a significant decline of 35.04%, underscoring the difficulties SGBX faces in generating sales growth. This is compounded by a gross profit margin of -2.2%, revealing struggles to maintain profitability on its core operations. InvestingPro Tips highlight that SGBX operates with a significant debt burden and may have trouble making interest payments on its debt, which is a serious concern for investors considering the company's financial obligations.
For those closely monitoring SGBX's stock performance, it's notable that the stock has taken a substantial hit over the last week, with a price total return of -19.11%. This is part of a longer trend, as the stock has also seen a decline of -67.75% over the last six months. These metrics suggest high price volatility, which is confirmed by another InvestingPro Tip stating that the stock generally trades with high price volatility.
Investors seeking more insights can find additional InvestingPro Tips on the company's profile at https://www.investing.com/pro/SGBX. There are 15 more tips available that could provide a deeper understanding of SGBX's financial and market position. To access these valuable insights, consider using the coupon code PRONEWS24 for an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
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