SG Blocks, Inc. (NASDAQ: SGBX) (“SG Blocks” or the “Company”), a leading designer, innovator and fabricator of modular structures, announced today that its development subsidiary, SGB Development Corp. (“SG DevCorp”), has acquired a 10% non-dilutable equity interest in JDI-Cumberland Inlet, LLC, a Georgia limited liability company, contributing $3,000,000 in capital to develop Cumberland Inlet, a 1,286 acre waterfront parcel in historic downtown St. Marys, Georgia. SG DevCorp in conjunction with Jacoby Development of Atlanta, Georgia expects to develop a mixed-use destination community. The closing on the 1,286 acre waterfront parcel is scheduled to occur prior to the end of Q2 2021.

“We are thrilled to announce our latest SG DevCorp project to deliver approximately 1,280 cutting-edge modular units within the mixed use destination community in beautiful St. Marys Georgia,” stated Paul Galvin, Chairman & Chief Executive Officer of SG Blocks. “The Cumberland Inlet project is envisoned to revitalize the downtown area, with an emphasis on creating a community in harmony with the natural surroundings. We will be developing Cumberland Inlet in partnership with Jacoby Development, a highly-regarded and experienced developer in the southeast United States. Jacoby has been coordinating over the last two years with community stakeholders in a Public/Private Partnership (P3) to redevelop the waterfront parcel which previously was the site of a large pulp mill. This project also aligns with our vision for delivering product to sustainable, resilient communities along the coast and should aid us in showcasing our technology to the world, allowing us to focus on manufacturing. We estimate that our gross potential manufacturing revenue from this project will be approximately $180 million, being without a doubt, our largest SG DevCorp project to date.”

St. Marys, Georgia is experiencing a re-birth under its current municipal leadership, seeking to reposition itself as a premier waterfront community in southeastern Georgia, with easy access to Cumberland Island by boat. Cumberland Island is the largest of Georgia’s barrier islands, is undeveloped, and has been designated as one of the most significant natural assets in the US.

The plans for the site will consist of approximately 1,280 units made up of single family, multi-family, vacation and hospitality use, as well as a host of modern amenities for residents and guests, including a full-service marina and village, upscale Eco-Tourism park inclusive of camping, yurts, cabins and cottages.

The development is expected to commence site work in the 4th quarter 2021, with initial deliveries of modular units expected in 3^rd quarter of 2022.