FORT LAUDERDALE, Fla., April 21 /PRNewswire-FirstCall/ -- New Bastion Development, Inc. ("New Bastion") (OTC Pink Sheets: NWBA); a real estate company that was formed for the purpose of exploiting local real estate opportunities in the Panama City Beach/Marianna, Florida area, announced today its CEO has published an open letter to its shareholders.
Dear Shareholders:
I am writing this letter to apprise you of the exciting events occurring with respect to our company. Several years ago, our management predicted the bursting of the real estate bubble with the knowledge that with every failure comes opportunity. Today, we believe our company is positioned to seize this opportunity and profit from this real estate downturn for many years to come.
During the past 20 months, while most people were selling out of real estate and real estate investments, we were actively seeking them, busily buying up Florida real estate and seeking out opportunities in the Panama City Beach/Marianna, Florida area. Subscribing to J. Paul Getty's theory about buying "I buy when other people are selling," along with a fundamental knowledge of real estate and real estate markets, our management predicted the real estate market would eventually collapse, which it did.
The collapse was inevitable as a result of too much inventory at high and unreasonable/unaffordable prices, and the likelihood of decreased demand due to inflated prices and other external factors. During that time, we searched and discovered the Panama City Beach/Marianna, Florida real estate market, a market that did not possess those negative qualities, and provided us with an opportunity to purchase real estate at "over-sold" prices that were apt to recover more quickly than other ravished areas. Since in real estate the money is made in the purchase, we believed our company would be immediately positioned to profit from the panic selling in that market.
The Panama City Beach/Marianna market is in an area in Northwest Florida that is approximately 45 miles in-land from Panama City Beach. We believe our company will profit from investments in this area for the following reasons:
A new international airport is currently under construction in the area, and is scheduled to be operational by May 2010. This airport will immediately increase demand for housing, and create an estimated 8,000-10,000 new jobs while making the area infinitely more accessible;
The St. Joe Company (NYSE: JOE) donated more than 4,000 acres to accommodate the new airport while retaining much of the surrounding acreage. Thus, we expect JOE will devote much of its resources to promote the area;
During the real estate boom, little construction occurred with the exception of the direct beach area. Thus, there is not an excess of inventory;
Current land prices will easily allow for construction of the affordable/entry level dwellings needed due to increased demand created by the opening of the new airport;
Current land prices will enable our company to market reasonable and affordable second homes and retirement homes to retiring baby boomers that are searching for value in a desirable climate with easy accessibility;
Properties are located far enough in-land so as to reduce the risk of vulnerability to possible damage as a result of hurricane activity.
Since its inception, our company has purchased and still owns the following real estate interests in the Panama City Beach/Marianna market:
65 improved 1+ acres lots in a community that includes lakes, equine facilities, community pool, tennis courts and other amenities;
6 improved lots in a golf course community;
27 acres that will accommodate up to 12 dwelling units per acre, neighborhood commercial, and other commercial uses;
90 acres of raw acres suitable to subdivide into nine 10 acre ranchettes;
Property right to use, develop and profit from 80 acres.
Further, our company currently has 6 additional improved parcels under contract for purchase, and is currently negotiating the purchase of several larger tracts of land to complement its existing inventory and to implement its growth strategy.
We are mindful of the current credit freeze and other recessionary factors that affect our company, and the potential adverse affects these factors could have on our business operations; however, we continue to remain excited by our company's prospects, both on a short-term and long-term basis, and I truly believe that we are in the right place at the right time. For additional information, I urge you to visit us at our website at www.newbastiondevelopment.com.
Thank you for your continued support.
Best regards,
Elliot Bellen
CEO
About New Bastion Development, Inc.
New Bastion (www.newbastiondevelopment.com) is a development stage company that is exploiting local real estate opportunities in the Panama City Beach/Marianna, Florida area where a new international airport is being built on 4,000 acres of land donated by the St. Joe Company. Construction of the new airport is currently three months ahead of schedule (www.newpcairport.com) and is expected to be operational by May 2010. It is anticipated that the new airport will create a significant number of jobs and economic opportunity in the region. New Bastion currently maintains an inventory of real estate in the region that consists of raw acreage, commercial property, and platted lots in existing communities. It intends to acquire additional properties in the region with the intent to market and develop such properties as demand increases as a result of the growth in the region.
Forward-Looking Statements:
The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements made on behalf of the Company and its subsidiaries. All such forward-looking statements are, by necessity, only estimates of future results and actual results achieved by the Company may differ materially from these statements due to any number of factors. Any forward-looking statements speak only as of the date made. Statements made in this document that are not purely historical are forward-looking statements, including any statements as to beliefs, plans, expectations, or intentions regarding the future. The Company assumes no obligations to update these forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting such statements. Potential investors should independently investigate and fully understand all risks before making investment decisions.
