Safe & Green issues update letter to stockholders

Paul Galvin, chairman and CEO of Safe & Green as well as David Villarreal, CEO of Safe and Green Development Corporation, issued the following letter to stockholders. The company said, "Since its formation in early 2021, the development arm of Safe & Green Holdings Corp. (the "Company") has been busy transactionally at the asset and corporate level. As a means of keeping all stakeholders up to date, below is a quick summary of activities and events: At the corporate level, the following: We continue to work diligently toward the 30% spin out of SG DevCo from the parent company, Safe & Green Holdings. To date: We submitted the Form 10 in December, received comments and recently re-submitted it A third party completed a full audit on SG DevCo A third party issued a fairness opinion of the SG DevCo at a value of $74M Our listing application has been submitted to NASDAQ We created a Board of Directors that will be officially formed upon listing We are currently forming a management team David Villarreal is our announced CEO We anticipate a successful spin out in Q2 2023 At the asset level: Lago Vista: We extended the existing loan by one year and will continue to pursue the strategy described below: The "sale via auction" is underway. The process is as follows: Dedicated website launch; first half of March 2023 Due diligence phase with pre-vetted Buyers (60 days, approximately) Bidding process (30 days, approximately) Closing anticipated for Q2 2023 In addition, we will continue to work on an asset development plan, if that is the preferred route. Waldron: We leased this site with a right-to-purchase (at $1M) starting early 2022 We plan on closing on the property before April 2023 We are near completion with a $2.3M renovation A recent third-party appraisal valued the site at $5.2M We anticipate opening in late Q2 2023 Cumberland & St. Marys Sites: The sites and projects continue to go through the planning process. The unit count remains approximately 3,500, or 2M square feet, which will be produced at St. Marys factory over 8-10 years. Safe & Green Holdings has a non-dilutable interest of 10% in the project which was recently valued at 300+% our original basis. We should see the projects kick off Q3/Q4 2023. We recently announced the Monticello project received its Certificate of Occupancy for Phase 1 which should trigger a $750,000 payment in 2023. We continue with planning and seeking partners on all other sites. We continue to review new sites routinely in the hopes of achieving a unit count at or above 10,000. We thank you for continued interest in Safe & Green Holdings and its subsidiaries."