Already one of the nation’s largest homebuilders, D.R. Horton is about to get bigger, as the company announced Monday that it plans to acquire Wilson Parker Homes, a homebuilder that operates in Georgia, Arizona, North Carolina and South Carolina.
According to information provided by the company, D.R. Horton expects to pay approximately $90 million in cash for Wilson Parker Homes and its assets, which include approximately 490 lots, 390 homes in inventory and 300 homes in sales order backlog.
Per information from the company, the majority of the company assets (the lots, homes in inventory and the backlogged homes) are related to Wilson Parker’s Atlanta operations.
Wilson Parker Homes also builds homes in Augusta, Georgia; Raleigh, North Carolina; Columbia, South Carolina; and Phoenix, Arizona.
For the 12 months ending June 30, 2016, Wilson Parker closed 906 homes for $201 million in revenue. Those homes carried an average home size of approximately 2,700 square feet and an average sales price of $222,000.
As part of the sale, D.R. Horton also acquired control of approximately 1,850 lots through option contracts.
According to Donald Horton, D.R. Horton’s chairman of the board, the Wilson Parker acquisition gives the company, which bills itself as thelargest homebuilder by volume in the United States for 14 consecutive years, the opportunity to expand its reach in the Southeast and the Southwest.
D.R. Horton currently has homebuilding operations in 78 markets in 26 states across the United States and closed 38,638 homes in the 12-month period ended June 30, 2016.
“We welcome Wilson Parker Homes to the D.R. Horton family,” Donald Horton said.
“Their well-established lot position makes them a great fit as we continue to expand our presence in the greater Atlanta area,” Horton continued. “This acquisition will further expand D.R. Horton’s industry-leading market share in Atlanta to greater than 20% in 2016, in addition to improving our market share in Augusta, Raleigh and Phoenix.”