D.R. Horton expands in the Midwest
D.R. Horton, one of the nation’s largest homebuilders, has acquired Classic Builders.
Classic is one of the largest home builders in the Des Moines, Iowa market. Assets acquired in the deal include roughly 670 lots, 130 homes in inventory and 40 homes in sales order backlog. D.R. Horton also acquired control of approximately 550 lots through option contracts.
For the 12-month period ended Oct. 31, 2018, Classic closed 238 homes for about $75 million in revenue with an average home size of approximately 1,650 square feet and an average sales price of $317,000.
D.R. Horton said it expects to pay approximately $60 million in cash for the purchase, and Classic will operate as a separate division within D.R. Horton.
“We are pleased to have Classic Builders join the D.R. Horton family. Their experienced, dedicated team and well-established building operations make Classic a great addition as we continue to expand our footprint in the Midwest,” D.R. Horton chairman Donald R. Horton said in a prepared statement.
Josh Moulton, president of Classic Builders, said, “Classic became the largest single-family homebuilder in the Des Moines area by building homes based on strong company values led by superior customer service.”
This move follows D.R. Horton’s November acquisition of Westport Homes – a top 5 homebuilder by volume in Indianapolis and Fort Wayne, Indiana, and Columbus, Ohio.
The assets acquired include approximately 3,500 lots, 400 homes in inventory and 550 homes in sales order backlog, the majority of which relate to Westport’s Indianapolis and Columbus operations.
As part of the $190 million cash purchase, D.R. Horton also acquired control of approximately 3,200 lots through option contracts. For the 12-month period ended October 31, Westport closed 886 homes with revenue of $234 million, an average home size of approximately 2,200 square feet, and an average sales price of $264,000.
Westport will also operate as a separate division within D.R. Horton.
Based in Fort Worth, Texas, D.R. Horton has operations in 81 markets in 27 states across the United States and closed 51,857 homes during its fiscal year ended Sept. 30, 2018.
Classic is one of the largest home builders in the Des Moines, Iowa market. Assets acquired in the deal include roughly 670 lots, 130 homes in inventory and 40 homes in sales order backlog. D.R. Horton also acquired control of approximately 550 lots through option contracts.
For the 12-month period ended Oct. 31, 2018, Classic closed 238 homes for about $75 million in revenue with an average home size of approximately 1,650 square feet and an average sales price of $317,000.
D.R. Horton said it expects to pay approximately $60 million in cash for the purchase, and Classic will operate as a separate division within D.R. Horton.
“We are pleased to have Classic Builders join the D.R. Horton family. Their experienced, dedicated team and well-established building operations make Classic a great addition as we continue to expand our footprint in the Midwest,” D.R. Horton chairman Donald R. Horton said in a prepared statement.
Josh Moulton, president of Classic Builders, said, “Classic became the largest single-family homebuilder in the Des Moines area by building homes based on strong company values led by superior customer service.”
This move follows D.R. Horton’s November acquisition of Westport Homes – a top 5 homebuilder by volume in Indianapolis and Fort Wayne, Indiana, and Columbus, Ohio.
The assets acquired include approximately 3,500 lots, 400 homes in inventory and 550 homes in sales order backlog, the majority of which relate to Westport’s Indianapolis and Columbus operations.
As part of the $190 million cash purchase, D.R. Horton also acquired control of approximately 3,200 lots through option contracts. For the 12-month period ended October 31, Westport closed 886 homes with revenue of $234 million, an average home size of approximately 2,200 square feet, and an average sales price of $264,000.
Westport will also operate as a separate division within D.R. Horton.
Based in Fort Worth, Texas, D.R. Horton has operations in 81 markets in 27 states across the United States and closed 51,857 homes during its fiscal year ended Sept. 30, 2018.