The Company's primary business activity is homebuilding. The Company also holds a patent on its User Rewards Program and Associated Communications Systems developed in connection with its loyalty and co-branded credit card program operation which currently does not generate any revenues.
From July 1999 to July 2006, the Company provided Internet business solutions to large and medium-sized businesses through its web development subsidiary, eCalton.com, Inc. On July 31, 2006, the Company completed the sale of substantially all of the assets of eCalton.com, Inc. to Bray Web Development, Inc. for $250,000 less purchase price adjustments of approximately $41,000.
In August 2003, the Company decided to capitalize on existing management's experience in the residential homebuilding industry and acquired 35 residential lots in a 121-home residential community then being developed in Vero Beach, Florida. The Company has expanded its homebuilding operations since such time and continues to pursue other homebuilding opportunities in Florida.
Calton maintains its corporate offices at 2050 40th Avenue, Suite One, Vero Beach, Florida 32960 and its telephone number is (772) 794-1414.
GENERAL
The Company's business activities are primarily focused on homebuilding through Homes by Calton, LLC ("Homes by Calton").
HOMES BY CALTON, LLC
Homes by Calton was formed for the express purpose of capitalizing on existing management's experience in the residential homebuilding marketplace. The Company's focus is on homebuilding developments primarily located in Indian River County, Florida. Currently, the Company is offering homes in two communities. In addition, management continues to assess land acquisition opportunities and negotiate with various landowners, brokers and agents to expand its operations and to create a more diversified product offering. However, there can be no assurances that transactions can be entered into on terms reasonably satisfactory to management.
In addition to developing residential communities, the Company continues to promote its Custom Home Division pursuant to which the Company arranges for the construction of homes for individual landowners.
PRODUCT OFFERING
Homes by Calton offers single-family detached homes at prices, including customized options and lot premiums, which ranged from $425,000 up to $775,000 during the year ended November 30, 2007. Homes by Calton offers 14 different house floor plans with the size of homes ranging from 1,900 to 3,600 square feet. A wide selection of options is available to purchasers for additional charges. Major options include media rooms, bonus rooms, pools and outdoor kitchens.
PRODUCT DEVELOPMENT
The Company increased its land bank in fiscal 2004 by entering into two land purchase agreements covering an additional 49 developed lots in Vero Beach, Florida in two different subdivisions. Each, by virtue of the lot size and zoning requirements, required new model types to be developed and were introduced into the marketplace in the spring of 2005. In 2007 the Company developed two additional models for buyers wanting smaller homes. The Company is using the new and existing model types to refine its custom home program through its Custom Home Division.
