****MUST READ*****...Eagle you'd asked about the property EDII owns, as promised here's the information ....and BTW...it's EXCELLENT reading... hehehehehe....most of this information is a compilation of old posts supplied by various investors :o)
Prior to the latest acquisition of MidTowne Properties, Inc. (''MPI''), Texas Real Estate Enterprises, a subsidiary of EDII owned two properties in the Houston area. These properties are considered to be very undervalued in today's market.
One 40 acre industrial site is next to an Interstate and is on the books for the original acquisition cost 20 years ago of $183,000. The second property, recorded on the books at $1,800,000, is the 290 acre Galveston Bay location (mineral rights severed) that has been offered to Marvin Davis' oil company for $10 million. The property has water access to Galveston Bay and looks out on Marvin Davis' oil rig. The parcel faces Dickinson Bayou on the left, Galveston Bay to the front, and a 730 acre parcel to the right. The adjacent 730 acre property is surrounded on two sides by a Wildlife Reserve facing Galveston Bay and the main highway in back. There is no water access to the property except through EDII's land. It does have long frontage on the highway and several producing wells (mineral rights owned) on the side on the property farthest from EDII's land.
EDII Management is negotiating with the owners of the land to acquire it. There is a great future for the combination of the two parcels together. If EDII manages to acquire the adjacent 730 acres of property they will essentially have "a corner on the market." The property runs along side the interstate and is flanked on two sides with a Wildlife Reserve, which is OFF LIMITS to any and all exploitation combined with EDII's 290 acres....the sky's the limit on this one...draw your own conclusions.
The land in question: 20 to 30 yards away from the biggest oil find in 10 years in that area, right on the water's edge. Beecham wants this land for a transportation/staging area very badly. If EDII doesn't sell it to them, they will have to settle for land miles away, for much more than the price EDII wants. The original purchase price was 1.8 million. He wouldn't tell me what the discussion price is, because it's insider information. But they are currently in discussions, and will close on a substantial amount very soon. Beecham is in a hurry.
AT the time of discovery, the land adjacent to the oil find by the Marvin Davis Oil Company was believed to be increased in value 10 fold, it was currently listed at $1.8M, after the find, estimated value at $10M the only access to the oil find was through EDII's 240 acre land holding. So it seems that it is an access issue, not an oil rights issue. They are currently looking to sell the land, but will be holding for top dollar.
I can't wait to see which scenario plays out....to acquire the adjacent property or to sell their current holdings and make a tidy profit...they're both very promising. Least we forget that EDII since has also acquired 100% of MidTowne Properties, Inc. (''MPI''), a Texas
corporation, incorporated in 1994. MPI is a real estate investment company with properties in Houston, Harris County, Texas. MPI has a net book value of $2,500,000 and will be merged into Texas Real Estate Enterprises, Inc. (''TREE'').
Wow...this is all incredible!!!! |
