Nexia Signs Letter of Intent to Acquire Subdivision for $2M in Series C Preferred Stock
SALT LAKE CITY, UT--(Marketwire - February 25, 2009) - Nexia Holdings, Inc. (OTCBB: NXHD)
reported that it has executed a Letter of Intent with Cedar Crest
Development, Inc. to acquire 19 residential lots known as the Hooper Haven
Subdivision, located in the City of Hooper, Utah. The subdivision consists
of 22 residential lots, of which three have been sold to third parties; the
lots are all suitable for single family residences. The Letter of Intent
provides for the delivery to the sellers of 400,000 restricted shares of
Series C Preferred Stock, these shares would have a stated conversion value
of $2,000,000.
The lots are currently encumbered by a deed of trust that is in default.
Based upon our due diligence, Nexia believes that it will have about 12
months to cure the default. Richard Surber, CEO of Nexia, stated that,
"This type of real estate play is the type of transaction that our Real
Estate Acquisition Strategy is designed for. Nexia's team will work hand
in hand with the prior owners and the bank to cure the default. The
anticipated result will be a great piece of real estate free and clear of
debt within 12 to 24 months held by a Nexia company. The level of success
is highly dependant on market conditions for Nexia's common stock and/or
the local real estate market."
Mr. Surber further commented that, "Upon closing this transaction, I
believe that it is safe to say that Nexia will have made significant
progress in its efforts to build a portfolio of real estate holdings. The
signing represents measurable progress by Nexia's real estate management
team. The subdivision is one of several prospects that the Nexia team will
be working on in the coming months." Nexia president Richard Surber
concluded, "I am optimistic that many additional opportunities will be
executed upon under our Real Estate Acquisition Strategy. Nexia's team has
shown great promise in identifying opportunities. I look forward to the
successful conclusion of this project and many more."
About Nexia Holdings, Inc.:
Nexia Holdings, Inc. (OTCBB: NXHD), headquartered in Salt Lake City, Utah,
is a diversified holdings company with operations in real estate, health &
beauty, and fashion retail. Nexia's subsidiary, Green Endeavors, LTD
(PINKSHEETS: GRNE), www.green-endeavors.com, owns a majority interest in
Landis Lifestyle Salon, www.landissalons.com, a hair salon built around the
world-class AVEDA™ product line. Through its Style Perfect, Inc.
subsidiary, Nexia owns the innovative retail and design firm Black
Chandelier and its related brands. Black Chandelier currently operates an
online store at www.blackchandelier.com. For more information, visit
www.nexiaholdings.com.
Nexia strongly encourages the public to read the above information in
conjunction with its Form 10-K for December 31, 2007 and the subsequent
quarterly filings and disclosures in 2008 and 2009. Nexia's disclosures can
be viewed at www.nexiaholdings.com and www.sec.gov.