Avatar Holdings Names Allen J. Anderson President and Chief Executive Officer

Avatar Holdings Inc.

today announced that Jon Donnell has resigned as President and Chief Executive Officer.  The Company's Board of Directors is pleased to announce that Allen J. Anderson will serve as the new President and CEO.  Mr. Anderson is currently a Director of Avatar and a Managing Director with JEN Partners, LLC, whose funds own 8% of Avatar's outstanding common stock. The Board of Directors believes Mr. Anderson's familiarity with the Company and his previous experience as a public company CEO will provide a smooth transition. Mr. Anderson has been charged with restoring profitability through improved operations and by sharpening the Company's focus on housing choices for the baby boomer generation, a potential market of 76 million consumers.  Avatar has significant experience in building Active Adult communities and owns very attractive assets positioned to serve this burgeoning market including Solivita in Central Florida near Orlando, Seasons at Tradition in Port St. Lucie, Florida and CantaMia in Goodyear, Arizona.