Western Homebuilder Flying Under The Radar
Jun. 22, 2015, 11:22 AM
- Last week's merger deal between Ryland and Standard Pacific was the first big deal since Pulte purchased Centex in 2009, but it could be a sign of things to come as homebuilders look to stock up assets to take advantage of the housing recovery.
- Look to smaller, newly public players as spots for deals, say analysts, pointing to Tri Pointe Homes (NYSE:TPH), Taylor Morrison (NYSE:TMHC), and William Lyon (NYSE:WLH) as three whose share prices have struggled versus those of the larger builders.
- Relative giants like D.R. Horton, PulteGroup, and Lennar already have a sizable presence in key markets, and are less likely to be buyers.
- ETFs: ITB, XHB
- Source: Reuters
Jun. 23, 2014, 7:27 AM
- William Lyons (WLH) agrees to the purchase of the residential homebuilding business of Polygon Northwest Homes for about $520M in cash. The purchase will include more than 4.2K lots in the Seattle and Portland markets, with the deal expected to close in Q3.
- Polygon's residential home operations did about $292M of business in 2013, with a GAAP gross margin of 27.1%, and revenues are expected to rise to about $300M this year and $450-$500M in 2015.
William Lyon Homes, Inc. designs, constructs and sells single family detached and attached homes. It categorized its business operations under five geographical locations: Southern California, Northern California, Arizona, Nevada, and Colorado. The Southern California segment consists of... More
Industry: Real Estate Development
Country: United States