Avatar Holdings Gives Results of Note Redemption

CORAL GABLES, FL-Locally based Avatar Holdings Inc. has reported that the call for redemption of all outstanding 7% convertible subordinated notes due April 1, 2005, as of Nov. 25 resulted in the redemption of nearly $13.4 million of the remaining outstanding $34.1 million principal amount of the notes.

Holders of $20.7 million principal amount of the notes elected to convert, which resulted in issuing 650,378 shares of Avatar’s common stock. After this, there are close to 9.4 million shares of Avatar’s common stock outstanding.

Avatar Holdings is a publicly traded, diversified real estate company. The company’s real estate operations are mainly in Florida and Arizona. The company is involved in development, commercial and industrial properties, property management, home building, cable television and other operations, including the development of Harbor Islands in Hollywood, FL. The company also is in a joint venture with the Plaza Group to develop the $200-million, 250-unit, luxury condominium development Ocean Palms in Hollywood Beach, FL.