Comstock Holding Companies Reports Third Quarter 2019 Results
WASHINGTON and RESTON, Va., Nov. 14, 2019 (GLOBE NEWSWIRE) — On November 14, 2019, Comstock Holding Companies, Inc., (NASDAQ: CHCI) (the “Company”), announced results for the three and nine months ended September 30, 2019:
Highlights from continuing operations of Third Quarter 2019, as compared to Third Quarter 2018:Total revenue of $5.2 million, an increase of 52% as compared to $3.4 million during the same period of the prior year.Asset management revenues of $4.3 million, an increase of 57% compared to $2.7 million during the same period of the prior year.Revenue from real estate services of $0.9 million, an increase of 33% compared to $0.7 million during the same period of the prior year.Operating income of $0.3 million as compared to ($0.1 million) during the same period of the prior year before accounting for non-cash charges related to Company’s Long Term Compensation Plan.Highlights from continuing operations of nine months ended September 30, 2019, as compared to nine months ended September 30, 2018:Total revenue of $14.8 million, an increase of 46% as compared to $10.1 million during the same period of the prior year.Asset management revenues of $12.2 million, an increase of 44% as compared to $8.5 million during the same period of the prior year.Revenue from real estate services of $2.6 million, an increase of 56% as compared to $1.7 million during the same period of the prior year.Operating income of $1.05 million as compared to $0.02 million during the same period of the prior year before accounting for non-cash charges related to Company’s Long Term Compensation Plan.Chairman and CEO, Christopher Clemente commented, “Comstock’s improving results are driven by our 2018 transition away from the for-sale housing market in favor of commercial real estate development and asset management in a market that is benefiting from the economic growth in the Washington, DC region, most notably in the Northern Virginia area, fueled in part by the growing presence of technology companies, federal contractors, and professional service firms. During the 3rd quarter we continued to experience robust demand for office buildings we are developing and managing in Reston, Virginia, resulting in new leases with ICF, Rolls-Royce, Neustar, CertiPath, as well as our residential and retail properties in Reston and Ashburn, Virginia.”
“As previously reported, the transition of our company is anchored by an Asset Management Agreement that provides new revenue sources including a cost-plus element that provides downside protection as well as additional revenue related to development, leasing, stabilization, and the overall performance of managed assets. I fully expect that we will continue to improve results as we advance the ongoing development of key assets included in our anchor portfolio of mixed-use and transit-oriented assets as we continue to focus on growing assets under management and expanding our real estate related service offerings in order to build long term value for all stakeholders.”
About Comstock Holding Companies, Inc.
Comstock Holding Companies, Inc. (“CHCI”) is a real estate development, asset management and real estate services company that has designed, developed, constructed and managed several thousand residential units and millions of square feet of residential and mixed-use projects throughout the Washington, D.C. metropolitan market since 1985. In 2018, CHCI announced its plan to wind-down its subsidiary for-sale homebuilding operation to focus exclusively on commercial real estate investment, development, asset management and real estate related services. Anchoring CHCI’s transition is a long-term asset management agreement covering two of the largest transit-oriented, mixed-use developments in the Washington, D.C. area; Reston Station, a nearly 5 million square foot transit-oriented and mixed-use development in Reston, Virginia, and Loudoun Station, a nearly 2.5 million square foot transit-oriented, mixed-use development in Ashburn, Virginia, and additional development assets. Comstock has over 35 years experience in entitling, designing, developing, and managing a diverse range of properties including apartments, condominiums, mixed-use (residential and commercial) properties, large-scale commercial parking garages and infrastructure projects. CHCI also provides development supply chain services, including capital markets, real estate brokerage, environmental consulting and remediation services.
Comstock Holding Companies, Inc. is publicly traded on NASDAQ under the symbol CHCI. For more information, visit www.ComstockCompanies.com
Cautionary Statement Regarding Forward-Looking Statements
This release may include “forward-looking” statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by use of words such as “anticipate,” “believe,” “estimate,” “may,” “intend,” “expect,” “will,” “should,” “seeks” or other similar expressions. Forward-looking statements are based largely on our expectations and involve inherent risks and uncertainties, many of which are beyond our control. Any number of important factors could cause actual results to differ materially from those in the forward-looking statements. Additional information concerning important risk factors and uncertainties can be found under the heading “Risk Factors” in our latest Annual Report on Form 10-K, as filed with the Securities and Exchange Commission. Comstock specifically disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.
Comstock Holding Companies, Inc.
Christopher Guthrie, 703-230-1292
Chief Financial Officer
Source: Comstock Holding Companies, Inc.
COMSTOCK HOLDING COMPANIES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share and per share data)COMSTOCK HOLDING COMPANIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share data)