Company: DREM
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001641172-25-011417
Chunk: 10

Company: Dream Homes & Development Corp.
Filing Date: 2025-05-19
Form: 10-Q
Item: Item 8
Chunk 10
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 of these financial statements.

Consulting
Contracts

In
March of 2025, the company entered into a consulting contract for the procurement of a use variance and full real estate approvals for
a day spa located in central Ocean County. The company is being paid a monthly consulting fee to manage the development team and bring
the property through approvals and will ultimately perform the site work, and construction of the buildings.

This
agreement is scheduled to run through mid 2027.

Employment
Agreements

The
Company currently has no outstanding employment agreements.

Lease
Agreements

The
Company has occupied office space located in Forked River, New Jersey. Commencing April 2017, the Company originally paid monthly rent
of $2,000 for this office space. In May of 2020, this amount was subsequently increased to $2,500 per month. As of September of 2023,
the monthly rental amount has increased to $3,000 per month.

Line
of Credit

On
September 15, 2016, DHDC established a $500,000 line of credit with General Development Corp., a non-bank lender. On September 15, 2021,
DHDC increased the existing line of credit from $500,000 to $1,000,000. Advances under the line bear interest at a rate of 12%, with
interest being payable on demand. The outstanding principal is due and payable in 60 months. The line is secured by the guarantee of
the Company as well as the personal guarantee of the Company’s Chief Executive Officer. The agreement to fund automatically renews
on a yearly basis as long as interest payments are current or as agreed. To date, the Company has received several advances under the
line of credit. As of March 31, 2025 and December 31, 2024, the outstanding principal balance was $921,960 and $921,960, respectively.

10.
Related Party Transactions

Dream
Homes Ltd. Allocated payroll

The
Company formerly used the services of Dream Homes Ltd. for its personnel operations.

Beginning
in 2024, payroll services and operations are being provided by another subsidiary of the Company.

For
the three months ended March 31, 2025 the Company’s estimated share of DHL’s gross payroll and payroll taxes were $84,226.

11
- Stock Warrants

The
Company has no outstanding warrants.

12
– Subsequent Events

The
Company