Friday, July 10, 2015

Exclusive: Dallas developers make big push in DFW with $775M in new construction

Two Dallas-Fort Worth master-planned communities totaling $775 million — one in Denton County and another in Wylie — are under construction after two Dallas-based developers have formed a new joint venture, called Allegiant Realty Partners.
The master-planned communities — Bozman Farms and ArrowBrooke — will bring thousands of homes to the region and is part of a larger strategy of the newly formed partnership between Dallas-based Siepiela Interests and Dallas-based Taylor-Duncan Interests to quickly expand in the Lone Star state.
Since forming the new venture, the developers have bought more than 2,200 acres of land in North Texas and in the Austin area with plans to develop 5,500 home lots. 
"We have about five communities totaling more than 5,500 potential lots that we plan to develop in the next five to seven years," Larry Taylor, a partner at Taylor-Duncan Interests, told the Dallas Business Journal in an exclusive interview.
"These two markets happen to be the hottest markets in North Texas," Taylor told me. "There was not enough development in North Texas and the builders were running out of affordable lots to build in. These two sites fit our market research and we think they will be highly successful."
In North Texas, the partnership expects to spend $250 million expanding Bozman Farms, a master-planned community in Wylie south of Lake Lavon, by about 300 acres or about 800 single-family lots over the next five to seven years. About 200 of those single-family lots are currently under construction in the community.
The Bozman Farms community will total nearly 1,300 single-family homes on 600 acres. The community's builders are Horizon Homes (a subsidiary of Highland Homes) and History Maker Homes.

The duo also plans to spend $525 million developing 1,750 single-family home lots in the 410-acre ArrowBrooke development in Denton County, which sits near U.S. 380 and F.M. 1385 north of the Savannah and Union Park master-planned communities. Allegiant already has more than 300 home sites under construction.
The ArrowBrooke community's builders are Beazer Homes, Horizon Homes (a subsidiary of Highland Homes) and History Maker Homes.
The Dallas-Fort Worth master-planned communities will market their homes to residents with prices ranging from $225,000 to $350,000. The communities will also feature amenities such as playground, walking trails and pools.
Allegiant's other three master-planned communities — Caliterra (600 acres), Crosswinds (445 acres) and a community in Leander (179 acres) -- are located in the Austin area.
By the end of 2016, Allegiant plans to deliver about 1,000 new home sites throughout its five Texas master-planned communities.
"Dallas-Fort Worth and Austin are really exciting markets," Taylor told me. "We have the capital and we know what we are doing with the right builders."
Taylor said the partnership is looking for other master-planned community development opportunities throughout Texas. Taylor-Duncan also has a partnership with Charlotte-based Crescent Communities on Wildridge, a $500 million master-planned community under construction in Denton County.
Candace Carlisle/Dallas Business Journal