REVEN HOUSING REIT, INC. (NASDAQ:RVEN) Files An 8-K Entry into a Material Definitive AgreementItem 1.01 Entry into a Material Definitive Agreement.
On November 26, 2018, Reven Housing Funding 2, LLC (the “Company”), a Delaware limited liability company wholly-owned by Reven Housing REIT, Inc., entered into a Single Family Homes Real Estate Purchase and Sale Agreement (the “Agreement”) with Holdings, LLC, WRG Investments, LLC, Foster Investments, LLC, and Lone Oak Run Investment Holdings, LLC (collectively, the “Sellers”), to purchase a portfolio of up to 45 single-family homes located in the Oklahoma City, Oklahoma metropolitan area from the Sellers. The Sellers are unaffiliated with the Company.
The Agreement provides for a deposit of $100,315 and a total contract purchase price for the 45 properties of $10,031,581, including closing costs and subject to certain adjustments.
For a period commencing on the effective date of the agreement and ending on the 30th day following the Company’s receipt of certain due diligence information (the “Due Diligence Period”), the Company may conduct inspections to determine whether the properties are suitable for the Company’s purposes, in the Company’s sole discretion, including, without limitation, whether there are any necessary repairs or improvements to bring the properties into compliance with the applicable local building code, if recommended. If the Company elects to proceed with the transaction after the expiration of the Due Diligence Period, the Sellers will, at their option, conduct the repairs at their cost or reduce the purchase price by the amount of such costs, provided that the Sellers will also have the option to exclude certain properties requiring repair and reduce the aggregate purchase price by amount attributable to the excluded homes.
The Agreement provides that the closing for the purchase of the properties is to occur no later than the 30th day following the end of the Due Diligence Period. The Company’s purchase of the 45 single-family homes is subject the Company’s due diligence review of the properties. There can be no assurance that the Company will consummate the acquisition.
The foregoing description of the Agreement is qualified in its entirety by reference to the full text of the agreement, which is attached hereto as Exhibit 10.1 and is incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
The following exhibit is filed with this report:
Reven Housing REIT, Inc. ExhibitEX-10.1 2 tv508081_ex10-1.htm EXHIBIT 10.1 Exhibit 10.1 SINGLE FAMILY HOMES REAL ESTATE PURCHASE AND SALE AGREEMENT by and between SIGNATURE HOLDINGS,…To view the full exhibit click here
About REVEN HOUSING REIT, INC. (NASDAQ:RVEN)
Reven Housing REIT, Inc. is a holding company. The Company is an internally managed real estate investment trust. It is engaged in the acquisition, ownership and operation of portfolios of leased single family homes in the United States. Its objective is to generate cash flow and distribute resulting profits to its stockholders in the form of distributions, while gaining home price appreciation at the same time through the ownership of its portfolio properties. It operates its portfolio properties as single family rentals (SFRs), and generates its revenue from rental income from the existing tenants of the SFRs. As of December 31, 2015, it owned a total of 527 homes, of which 256 homes were in the Jacksonville, Florida metropolitan area; 168 homes were in the Houston, Texas metropolitan area; 94 homes were in the Memphis, Tennessee metropolitan area (with two of the Memphis homes located across the border in Mississippi), and nine homes were in the Atlanta, Georgia metropolitan area.