Shares of International Land Alliance Inc. (OTCMKTS:ILAL) have been trending lower over the past week with a fall of over 16%.
On Friday , ILAL stock slid 8.94% to $0.50 with more than 11.25K shares, compared to its average volume of 37K shares. The stock has moved within a range of $0.5000 – 0.5200 after opening trade at $0.52.
International Land Alliance Executes Exit Agreement with CBD Hemp Joint Venture
International land investment and development firm, International Land Alliance, Inc. (OTCMKTS:ILAL) has exited its joint venture agreement with a privately-held California hemp grower for commercial hemp operations on 40 acres of the Company’s Southern California property. The company will begin due diligence process of subdividing the property for construction of residential homes.
A new agreement has been executed, which will terminate any and all of its interest, directly or indirectly, in the lease. Pursuant to the agreement, the company will receive $150,000 over the next two years, which includes $100,000 previously loaned to the venture for the purposes of improvements to the property.
The property was acquired in Q1 2019, for $1,100,000. It included three vacant 20-acre parcels and one 20-acre parcel with an existing 8,000 square foot event venue currently generating revenue. One vacant 20-acre parcel was sold off in Q3 2019, for $630,000.
Frank Ingrande, President of International Land Alliance, Inc. stated that demand for homes in Southern California is growing consistently. Land prices are at a premium too, so it is in best use for the property to be subdivided for the construction of residential homes. Median prices for 5-acre lots in the surrounding area are presently $250,000.
“As historic demand for homes in Southern California continues to grow, and with land prices at a premium, we believe the best use for the property now is to subdivide for the construction of residential homes. Median prices for 5-acre lots in the surrounding area are currently $250,000, creating a profitable exit opportunity and additional income as we continue to ramp up the sales and marketing of our Baja California developments and primary business. The exit further strengthens our balance sheet which will continue to help build long-term value for our shareholders,” said Frank Ingrande, President of ILA.
ILAL stock is trading below the 20-Day and 50-Day Moving averages of $0.61 and $0.66 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.94.