Toll Brothers, of Huntingdon Valley, Pa., signed an agreement in early September to acquire Richard R. Dostie Inc. and its affiliates, a Jacksonville, Fla., home builder. The firm operates under the name of Richard R. Dostie New Home Collection. The undisclosed purchase price is to be paid in cash. The acquisition, which was expected to close by the end of September, ushers Toll Brothers into the Jacksonville market.
Toll Brothers, which reaped $2.3 billion in revenues on 4,430 closings last year, entered Florida in 1995 and has a presence on both coasts, in Lee, Collier, and Sarasota counties on the southwest and in Martin and Palm Beach counties on the southeast. "This fiscal year we expect to deliver $230 million of homes in the state, not including the Jacksonville market," says CEO Robert Toll.
The Jacksonville homes of Richard R. Dostie Inc. generally range from the $190,000s to over $600,000. The company was started in 1974 and has delivered over 4,000 homes in the Jacksonville market since then. For calendar year 2003, Richard R. Dostie Inc. anticipates delivering approximately 230 new homes and producing revenues of $70 million at an average home price of approximately $300,000.