ATLANTA, GA -- PulteGroup, Inc. announced this week that it has acquired the real estate assets of Dominion Homes, one of the largest builders in Columbus, Ohio, and Louisville, Ky. Dominion also maintains operations in Lexington, Ky. In 2013, Dominion delivered approximately 850 homes across its three markets and generated revenues of approximately $170 million. Financial terms for the transaction were not disclosed.
PulteGroup has initially acquired approximately 6,500 lots owned or under option and expects to purchase approximately 1,600 additional lots within the next 45 days upon completion of certain additional due diligence. The acquired Dominion assets, which serve entry-level and move-up buyers, include 27 open communities in Columbus, 11 open communities in Louisville and three open communities in Lexington.
"In purchasing Dominion's real estate portfolio, we acquired a number of well-located communities and immediately establish PulteGroup among the top builders in three new markets: Columbus, Louisville and Lexington, two of which are top 50 homebuilding markets in the US," said Richard J. Dugas, Jr., Chairman, President and Chief Executive Officer of PulteGroup. "Dominion's land pipeline expands our Midwest operations into three top metro markets, and gives us a great platform for further investment and growth. We are also pleased to have Dominion CEO Keith Tomlinson, a former Pulte employee, and his team join our organization as we deliver an exceptional consumer experience to homebuyers in these markets."
According to Bob O'Shaughnessy, Executive Vice President and Chief Financial Officer of PulteGroup, "We expect this transaction to be accretive to earnings and overall returns on invested capital, while recording little, if any, goodwill. Furthermore, PulteGroup's proven Value Creation platform positions us to generate operational improvements as we build out the acquired assets."
PulteGroup, Inc. (PHM), based in Atlanta, GA, is one of America's largest homebuilding companies with operations in approximately 50 markets throughout the country. Through its brand portfolio that includes Centex, Pulte Homes, Del Webb and DiVosta Homes, the Company is one of the industry's most versatile homebuilders able to meet the needs of multiple buyer groups and respond to changing consumer demand. PulteGroup conducts extensive research to provide homebuyers with innovative solutions and consumer inspired homes and communities to make lives better.
For more information about PulteGroup, Inc. and PulteGroup brands, go to pultegroupinc.com.