A Dallas-based homebuilder with a growing Texas presence will be acquired by the New Home Company in a $1.2 billion all-cash transaction.
Irvine, California–based New Home is acquiring Landsea Homes at $11.30 per share, the Orange County Business Journal reported. New Home’s majority shareholder is Apollo Global Management, which also bought the publicly traded real estate investment firm Bridge Investment Group for $1.5 billion in late February. Apollo is directly involved in the transaction, injecting $650 million of cash equity, a news release said.
The new merged company will be privately held, emerging a top 25 homebuilder active across 10 markets, including Texas, Arizona, California, Florida and Oregon. The deal is expected to close later this year.
Landsea, founded in 2013 and initially backed by Hong Kong–based Landsea Green Management, relocated its national headquarters to Dallas two years ago. The firm entered the Texas market in 2021 and has aggressively expanded since, acquiring Arlington-based Antares Homes for $232 million early last year.
That deal added 3,000 lots and gave Landsea a solid foothold in North Texas cities like Midlothian, Van Alstyne and Fort Worth, particularly along the Chisholm Trail Parkway corridor.
Landsea posted a net loss of $7.3 million, or 20 cents per share, in the first quarter, falling short of analysts’ expectations for an 8-cent loss per share.
Nevertheless, the builder’s stock surged 60 percent in after-hours trading Monday following the announcement, closing just below Apollo’s bid at $11.23, up from $7.02, according to TradingView. The jump capped a strong week for the stock, which gained nearly 21 percent. It hovered around $11.24 today.
Landsea is active in 24 communities across the Dallas-Fort Worth and Austin regions, with developments in Kyle, Liberty Hill and Manor. The company has tailored its approach to serve first-time buyers and move-up households, offering features like Apple Home integration, energy-efficient designs, mortgage-rate buy-downs and other financing incentives through Landsea Mortgage, its in-house lending arm.
The company delivered 2,162 homes in the first nine months of 2023, and in Texas, it sold out communities like Village at Manor Commons, where 45 homes closed in a matter of weeks last year.
The acquisition comes at a time of consolidation in the U.S. homebuilding sector as firms seek scale, stable capital and geographic diversity amid persistent affordability challenges and rising construction costs.
In February, Florida–based Dream Finders Homes broke onto the Atlanta scene and secured the assets of Liberty Communities, including its homebuilding operations, manufacturing facilities and component import businesses. The trend was in full effect when Lennar acquired Rausch Coleman Homes last November and Houston-based Perry Homes acquired Florida firm MasterCraft Builder Group in December.
Some leadership positionings at Landsea have been underway. In March, Stewart Parker — previously of San Francisco–based Homebound — was named president of Landsea’s DFW division, replacing Melissa Kelly, who helped lead the Antares acquisition.
Once the deal closes, Landsea will exit the public markets but remain a key player in Texas homebuilding.
— Judah Duke
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