Jacksonville-based SG Blocks Inc. announced Aug. 22 that it bought about 29 acres in St. Marys, Georgia, to build a third manufacturing plant.
It did not announce a purchase price.
SG Blocks, with SG standing for safe and green, designs and builds prefabricated modules from wood, steel and shipping containers.
It said the factory will employ about 40 people to start. It expects to break ground in the third quarter in 2023.
It will be used to build the Cumberland Inlet project, whose groundbreaking is scheduled Aug. 26.
St. Marys is in Camden County in Southeast Georgia, about 40 miles north of Jacksonville.
SG Blocks said in a news release that its real estate property affiliate, SGB Development Corp., is a partner with Jacoby Development of Atlanta in Cumberland Inlet, a 1,286-acre mixed-use waterfront parcel in historic downtown St. Marys.
SG Blocks said it has a 10% equity interest in the project.
The company said the plant will be in St. Marys Commerce Park, the former St. Marys airport.
“We are clearly very invested in the local St. Marys community; we see a lot of potential for growth in this coastal city,” Paul Galvin, SG Blocks chairman and CEO, said in the release.
SG Blocks says its products exceed many standard building code requirements.
SG Blocks said Aug. 15 it has grown from $3 million in revenue in 2019 to $8.8 million in 2020, $38.5 million in 2021 and $16.2 million in the first half of 2022.
It owns and operates two plants in Oklahoma. The company says its manufacturing pipeline is $220 million to $250 million, “driven by large commercial clients and SGB Development Corp.”
In Securities and Exchange Commission filings, SG Blocks Inc. began listing its executive office at 5011 Gate Parkway in Jacksonville in January, after previously listing a headquarters office in Brooklyn, New York.
SG Blocks’ stock trades on the Nasdaq Capital Market under the ticker “SGBX.”
It lists its address online as 5011 Gate Parkway Building 100, Suite 100, which is in the Office Evolution Jacksonville shared workspace for small businesses, entrepreneurs, business professionals and startup companies.
SG Blocks described itself in an April 18 news release as a company that uses “code-engineered cargo shipping containers for safe and sustainable construction.”
The company’s annual report said that before the coronavirus pandemic, it supplied modules mainly for retail, restaurant and military uses.
In 2020 it began focusing on medical facilities.
“SG Blocks entered the medical testing business in the depths of the pandemic and Q4 2020. The modular facilities that we build were a natural fit for a mobile lab that quickly could be set up,” Galvin said in the company’s April 18 conference call with analysts.
The company’s plans for 2022 also include an expansion of its residential construction business with a pipeline of nearly 10,000 units.
The company had a net loss of $10.8 million, or $1.16 a share, in 2021. After raising $10.5 million in new capital in October, it had $13 million in cash on its balance sheet at the end of the year.
For the first half of 2022, it had a net loss of $515,868 on revenue of $16.16 million, compared with a first-half 2021 loss of $993,925 on revenue of $21.04 million.
