Jeffrey Habersetzer Form 4 Harbor Custom Development / Jeffrey Habersetzer ownership change

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

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Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

1. Name and Address of Reporting Person^*

Habersetzer Jeffrey

(Last) (First) (Middle)

1201 PACIFIC AVENUE, SUITE 1200

(Street)

TACOMA, WA 98402

(City) (State) (Zip)

2. Issuer Name and Ticker or Trading Symbol
Harbor Custom Development, Inc. [ HCDI ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

	Director	10% Owner
X	Officer (give title below)	Other (specify below)
COO/Secretary

3. Date of Earliest Transaction (Month/Day/Year)
06/13/2023

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock, no par value								1,747	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Stock Options	(1)(2)	06/13/2023		A		75,000		(1)(2)	(1)(2)	Common Stock, no par value	75,000	(1)(2)	81,451	D
Restricted Stock Units	(3)							(4)	(4)	Common Stock, no par value	1,167(5)		1,167(5)	D

Explanation of Responses:

1. Mr. Habersetzer was granted 451 stock options with an exercise price of $7.99 on December 19, 2019. These stock options are fully vested and have an expiration date of December 19, 2029, subject to Mr. Habersetzer continuing to be an employee of the Company. Mr. Habersetzer was granted 1,000 stock options with an exercise price of $130.00 on September 1, 2020. These stock options are fully vested and have an expiration date of September 1, 2030, subject to Mr. Habersetzer continuing to be an employee of the Company. Mr. Habersetzer was granted 5,000 stock options with an exercise price of $65.00 on June 28, 2021. One twenty-fourth of the shares subject to this option vest each month and they have an expiration date of June 28, 2031, subject to Mr. Habersetzer continuing to be an employee of the Company.

2. On June 13, 2023, Mr. Habersetzer was granted 75,000 stock options with an exercise price of $3.73. One half of the shares subject to this option shall vest upon the filing of the Company's next Form 10-K with the U.S. Securities and Exchange Commission, with the remainder to vest in equal proportions upon the first and second anniversary of said filing, subject to Mr. Habersetzer continuing to be an employee through such date. These stock options will have an expiration date of June 13, 2033.

3. Each restricted stock unit represents the right to receive, at settlement, one share of common stock. This transaction represents the settlement of restricted stock units in shares of common stock on their scheduled vesting date.

4. On May 26, 2022, Mr. Habersetzer was granted 1,750 shares of common stock pursuant to the 2020 Restricted Stock Plan, whereby 1/3 of the shares of common stock vest on each anniversary until May 26, 2025, contingent on Mr. Habersetzer's continued employment through each applicable vesting date.

5. Represents the total number of unvested common stock granted to Mr. Habersetzer pursuant to the 2020 Restricted Stock Plan.

Remarks:

	/s/ Jeffrey Habersetzer	06/15/2023
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
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