Company: DREM
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004861
Chunk: 359

Company: Dream Homes & Development Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 5
Chunk 359
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/24, whichever date is later. The Company has no significant
commitments with material suppliers or subcontractors that involve any sums of substance or of long-term duration at the date of issuance
of these financial statements.

    F-13

Employment
Agreements

The
Company currently has no outstanding employment agreements.

Lease
Agreements

The
Company has occupied office space located in Forked River, New Jersey for a significant period of time. In May of 2020, the rent was
increased to $2,500 per month and 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 was originally 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 December 31, 2024 and 2023, the outstanding principal balance was $921,960 and $921,960, respectively.

8
- 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 a subsidiary of the Company.

For
the three months ended December 31, 2024, the Company’s estimated share of DHL’s gross payroll and payroll taxes were $111,574.

9
- Stock Warrants

The
Company has no outstanding warrants.

10
- Subsequent Events

The
Company has evaluated subsequent events through the date the financial statements are scheduled to be filed and they are as follows.

Subsequent
event: From the Lacey Pines development, Building Pad 1, comprised of 6 improved building pads, was sold and closed title on 1/24/25. 48 improved building pads are