Lahaina Acquisitions, Inc. Sells Beachside Subsidiary Approximately $4,
500,000; Increased Focus on Top Metro Markets and Mortgage Origination
ALPHARETTA, Ga., Feb 4, 2000 (BUSINESS WIRE) -- Lahaina Acquisitions,
Inc. (OTC Bulletin Board:LAHA) today announced that it has executed a
sale of its subsidiary, Beachside Commons I, Inc., to Beachside
Holding, LLC a non-affiliated Georgia limited liability company. The
major asset owned by Beachside Commons I, Inc. is Beachside Commons, a
commercial real estate development located in Fernandina Beach, Florida
on Amelia Island.
Management has determined that the value of the transaction is
approximately $4,550,000. The consideration consists of a one year,
non-recourse promissory note from the Buyer in the amount of $3,000,000
(secured by 660,000 shares of Lahaina Common Stock), and the assumption
of certain liabilities primarily consisting of the existing first
Mortgage on the property in the approximate amount of $1,550,000.
L. Scott Demerau, Chairman and Chief Executive Officer of Lahaina
Acquisitions, Inc., stated, "We are pleased to have reached this
agreement on the sale of the Beachside Commons I, Inc. subsidiary.
While our emphasis is on top metropolitan markets in the Southeast,
Beachside is in a resort location with very different attributes from
our other real estate holdings. This sale will allow us to focus more
clearly on adding to our real estate portfolio in our target markets."
Demerau also continued, "The sale of Beachside will also allow us to
continue to grow our primary business of mortgage origination through
our branch office expansion, Internet based communications and
acquisitions such as Paradigm Mortgage Associates which we have
previously announced."
Lahaina Acquisitions, Inc. is a public holding company that, as a
result of its August 1999 merger with The Accent Group, Inc., operates
real estate development and financial services groups. Accent Mortgage
Services, Inc., a wholly owned subsidiary of Lahaina, operates a
nationwide mortgage brokerage organization that is presently licensed
to originate a variety of types of mortgage loans in 20 states. For
more information, contact L. Scott Demerau; Chairman or Betty M.
Sullivan; Executive Vice President at (770) 754-6140, or visit the
Company's Mortgage Division on the Internet at www.accentmortgage.com.
This press release may contain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements are based on current plans and expectations of Lahaina, its
affiliates or subsidiaries, and involve risks and uncertainties that
could cause actual future activities and results of operations to be
materially different from those suggested or described in the
forward-looking statements contained in this press release. Important
factors that could cause actual results to differ include, among
others, risks associated with announced or future acquisitions (such as
the uncertainties of the successful conclusion of ongoing discussions,
the quality of projects acquired, financing costs and profitability of
operations), fluctuations in operating results, variations in stock
prices, change in public interest in resorts, political and economic
climate, competition, weather conditions, risks of operations,
regulatory agencies, policies, financing difficulties and difficulties
in integrating newly acquired businesses. Additional information
concerning factors that could cause actual results to differ from those
in the forward-looking statements is contained from time to time in the
Company's SEC filings. Copies of these filings may be obtained by
contacting the Company or the SEC.
SOURCE: Lahaina Acquisitions, Inc.
Copyright (C) 2000 Business Wire. All rights reserved.
Distributed via COMTEX.
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CONTACT: Lahaina Acquisitions, Inc
Chairman & Chief Executive Officer
L. Scott Demerau
or
Executive Vice President & Chief Operating Officer
Betty M. Sullivan, 770/754-6140
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