JULY 2010

•Toll Bros. forms Gibraltar Capital and Asset Management to acquire distressed assets. Toll is one of “several builders” that with Oaktree Capital Management acquire $1.7 billion in distressed loans at auction from the FDIC. AmTrust once held these 208 loans.

•Mountain Real Estate Capital acquires 135 residential projects in greater Atlanta, which include 1,300 acres and 1,500 homesites. Mountain will build houses on this land through joint ventures with local and regional builders. That same month, Mountain acquires 56-community portfolio from Bank of North Georgia, including 500 acres and 700-plus homesites, and consummates a $15 million joint venture with Shea Homes Active Adult Communities to purchase the 1,000-unit Cascade Communities in Orlando, Fla., at which Shea will build-out the remaining 175 homesites.

•The FDIC awards $1.65 billion in distressed commercial real estate loans to Colony Capital and The Cogsville Group. They paid $455 million, or 59 cents on the dollar, to acquire a 40 percent stake in 1,660 commercial property loans that had been held by 22 now-defunct banks.

•Huntington Bancshares invests $100 million in Ohio Capital Corp. for Housing, to buy developer tax credits for low-income housing.

•Ares Management invests $100 million to become majority shareholder of Los Angeles–based builder City Ventures, which controls 1,000 lots in 13 Southern California communities and has three projects in the works.

•Hedge fund manager John Paulson is the leading bidder for TOUSA’s assets in Western U.S. Last November, Paulson offered $42.4 million for these assets, which include 8,277 unstarted lots and 22 models in Arizona, Colorado, and Nevada


JUNE 2010

•KB Home purchases 664 homesites near Riverside and San Bernardino, Calif., from the Lewis Group of Cos.

•Since Jan. 31, 2009, Hovnanian Enterprises has bought or optioned 7,100 lots in 98 communities.

•Mountain Real Estate Capital and GL Homes form $75 million partnership to purchase one project and recapitalize six others. The deal includes 8,300 acres and 6,500 homesites in Tampa, West Palm Beach, Naples, and Fort Myers, Fla.

•McMillin Communities, backed by Oaktree Capital Management, forms partnership with GEP Inc. to complete Branson Creek in Missouri, which is entitled for 12,000 homesites on 6,500 acres. McMillin and Oaktree assume GEP’s loan obligation with Regent Bank.

•Minto Group in Ottawa pays $9.9 million to acquire 200 finished lots, with the potential to acquire 800 more, in the Sun Center community in Tampa, Fla. Last September, Minto paid $8 million for raw land on Perico Island in Bradenton, Fla.

•Shea Homes pays Bank of America $5.3 million for 345 developed homesites, eight models, two spec homes, 12 partially built homes and four slabs at The Cascades of Groveland in Orlando.

MAY 2010

•Sun Terra Communities and JEN Partners seek approval to start first phase of 700-lot, mixed-use village within the 38,000-acre Horizon West master plan near Orlando. JEN Florida II, their LLC, had purchased 446 acres in that master plan from KB Home and investor Barry Walker.

•Through the first quarter of 2010, Sentinel Capital provided $40 million in debt financing to builders in California.

•H.I.G. Capital acquires modular-home manufacturer Excel Homes from Huron Capital for an undisclosed amount. H.I.G. reopens Excel’s Avis, Pa., plant and talks about opening a third plant in the Northeast.

APRIL 2010

•Toll Bros. acquires 92 acres in Colleyville, Texas, which include 77 finished lots and 94 partially finished lots.

•McGuyer Homebuilders Inc. (MHI) and Wheelock Street Capital form partnership to acquire 3,000 homesites in Texas for $15 million.

•LGI Homes enters into a joint venture with GTIS Partners (formerly Golden Tree Insite Partners) to spend $50 million on home lots in Texas. The partners expect to acquire between 900 and 1,300 lots.

MARCH 2010

•GTIS Partners teams up with Southwest Value Partners to acquire 4,500-acre Merrill Ranch in Pinal County, Ariz., from a consortium of 60 banks. GTIS kicks in 70 percent of the equity for this deal.

•Midway Cos. and David Weekley Homes create investment fund to raise $25 million to build between 700 and 1,000 homes. The fund will buy land from lenders, servicers, and owners.

•Ennis Homes, coming out of Chapter 11, secures an $8 million revolver and $12.2 million construction loan from Bank of America to complete 300 homes in four neighborhoods. Another loan from United Security Bank will allow Ennis to build out 38 lots in Williams Ranch in Porterville, Calif. Ennis also has joint ventures with investors on two other projects.


•Homebuilder Capital Solutions and Lowe Enterprises pay $21.9 million to acquire most of the assets and the brand from Village Homes in Colorado. The purchase includes 57 homes, 506 finished lots, 444 unfinished lots, and 3.7 acres of raw land. The investors retain Village’s management team to run the operation.

•Lennar and Starwood Capital pay $243 million for a 40 percent stake in a portfolio of residential and commercial loans held by the FDIC. In that same month, Lennar subsidiary Rialto forms public-private partnership with the FDIC to buy and manage $3.05 billion in distressed real estate.

•Toll Bros. pays $8.9 million to acquire 102 homesites from WCI Communities’ Four Corners community in Fishkill, N.Y.


•Starwood Capital pays $81 million to acquire TOUSA’s assets in Florida, which include 5,499 homesites and 36 models. It then options 1,408 of those lots in 38 communities to Lennar, which will take them down over a 24-month period. Lennar has right of first look on another 1,348 lots through this agreement.


•Hearthstone picks Beazer Homes to manage, build-out, and market 462 lots in six communities in Atlanta that had been controlled by McCar Homes. The single-family and townhome units will be priced in the high $100s to the high $300s.


•The Colony Financial subsidiary of Colony Capital lends $206 million to William Lyon Homes, which employs the capital to stabilize its balance sheet and finance strategic acquisitions.

Learn more about markets featured in this article: Los Angeles, CA, Atlanta, GA, Riverside, CA, Naples, FL.