e rtjd56 ushet by Derek Kolush

IPO Opportunity / WILL MORE PRIVATE BUIL D E R S S O O N F O L LOW I N D R E AM F I N D E R S H O M E S ’ FO OTS T E PS ?

Growth Goals

Builder u de 100 00 TThe top 100 00 firms reported p 16% 6 more oe cclosings g in 2020 than in 2019 09

Stanley Martin Homes, led by

ceo steve alloy and backed by daiwa house, seeks to someday be in every major u.s. market h e a rt h st o n e builder

Humanitarian Awards INSIDE

May 2021

OFFER A DREAM LAWN TO GO WITH THEIR DREAM HOME. WORLD LEADER IN ROBOTIC MOWING SINCE 1995 OVER 1.5 MILLION SOLD

HUSQVARNA AUTOMOWER®– A SMART HOME SOLUTION FOR ALL YOUR BUILDING PROJECTS..

NO NOISE. NO FUSS.

WORKS IN THE RAIN

ADVANCED NAVIGATION

AUTOMOWER® CONNECT

PUT HUSQVARNA AUTOMOWER® TO WORK FOR YOUR BUSINESS. Attract potential buyers by upgrading their new home with smart innovations from Husqvarna. Give them the perfect lawn 24/7 and their weekends back with a bonus Automower® robotic mower when they purchase a new home. Learn more at HUSQVARNA.COM

Connect with HusqvarnaUSA

SAFE AND SECURE

• Advanced navigation manages even the most complex lawns • Handles steep slopes, narrow passages, and uneven lawns leaving no track marks • Complete control with your mobile devices • Fits seamlessly into smart home systems such as Amazon Alexa, Google Home or IFTTT

Ask about our full line of robotic mowers for all types of lawns

Give homebuyers a smarter garage

When Builders install LiftMaster® Garage Door Openers, powered by myQ® smart technology, they help give homebuyers complete control and insight over the garage. This provides peace of mind and empowers homeowners to move seamlessly throughout their day. The user-friendly myQ app lets homeowners monitor and control the garage from their smartphones, while the Smart Garage Door Opener with Camera enables users to see and hear what’s happening. Plus, Key by Amazon In-Garage Delivery allows Amazon Prime members to protect packages against theft, damage and bad weather.

Build a smarter garage, Visit Liftmaster.com/for-pros/for-builders *View a live-stream of your garage for free. 7-day and 30-day video storage options are available via a monthly subscription.

Your Vision Our Passion As a building professional, your vision is to provide great design options for your customers. At Windsor Windows & Doors, our passion is to bring you a versatile line of window and door products to exceed your expectations and inspire your customers. Windsor’s product line provides vast design options, plus the quality craftsmanship for which we are known. Our easy-to-work-with professionals focus on providing you the right window and door product for your customers’ needs, making Windsor Windows & Doors a true partner in your success.

Download a FREE product guide, your go-to source for Windsor’s complete line of New Construction products at SucceedWithWindsor.com.

MAY 2021

Contents DEPARTMENTS 10

From the Editor Up Front

Pulse

Products

Economics

Design Trends

Wellness Projects

21st Century Townhomes

Last Detail

Cover: Colin Lenton; This page (clockwise): Neil Webb; Ryan Ketterman; Ford Photographs

O N L I N E 2 4 / 7 Visit us at builderonline.com for the latest home building industry news.

F E AT U R E S

Following a successful acquisition and solid performance in 2020, Stanley Martin Homes is our Builder of the Year. By Jennifer Lash

Despite COVID-19 changing daily life in 2020, the top 100 home building companies weathered the storm. By Jonathan Dienhart

GreenPointe Holdings’ Ed Burr and Taylor Morrison’s Sheryl Palmer earn honors for their charitable efforts. By Lydia Lee and Symone Strong

The public markets welcomed Dream Finders Homes with strong valuations, but will more private builders follow suit? By Les Shaver

The Right Fit

Built to Succeed

Hearthstone Awards

A New Era of IPOs?

Volume 44, number 5. Builder (ISSN 0744-1193; USPS 370-600) is published 12 times per year: monthly in Jan., Feb., March, April, May, June, July, Aug., Sept., Oct., Nov., and Dec. by Hanley Wood, 1152 15th St. NW, Suite 750, Washington, D.C. 20005, and printed in the USA. Copyright 2021 by Hanley Wood. Reproduction in whole or in part prohibited without written authorization. Single-copy price: $8.00 (except House Plans issues, which are $12.95). Periodicals postage paid at Washington, D.C., and at additional mailing offices. Postmaster: Send address changes to Builder, P.O. Box 3494, Northbrook, IL 60065-9831. Member: American Business Media

B U I L D E R O N L I N E .C O M

M AY 2 0 2 1

⚫

BUILDER 3

LOOK FOR THE

UES MARK

Jennifer Lash, editor-in-chief Tina Tabibi, design director Christine Serlin, editor Vincent Salandro, associate editor Mary Salmonsen, associate editor Symone Strong, assistant editor

When it comes to building product acceptability, we ask the tough questions. Our Uniform Evaluation Reports provide the assurance you need to specify with conﬁdence. We deliver:

Cathy Underwood, senior director, print production Margaret Coulter, senior director,print production/ circulation manager Bernadette Couture, ad production coordinator Stephanie Fischer, production manager, inside sales Chris Lustan, group director, audience marketing & circulation

hanley wood media

• Trusted third party recognition of compliance to building codes and national standards • Model code issuing agency • Extensive building product quality expertise and comprehensive internal and external review by known industry experts • Ongoing surveillance of manufacturing operations to verify continued product quality • ANSI Accreditation as an ISO/IEC 17065 Product Certification Body, IBC Sections 104.11 and 1703 compliant • Concise product certification information and support for your interactions with building departments and building owners For Assurance of Your Specified Building Products, visit https://bit.ly/2s0BQwU IAPMO’s Uniform Evaluation Service … Your Building Product Quality Assurance Company

Andy Reid, chief operating officer Jennifer Pearce, executive vice president/ chief content officer Bridget Forbes, vice president, digital strategy and operations Mari Skelnik, vice president, audience operations Lillian Spio, vice president, marketing

published by hanley wood

Jeff Meyers, chief executive officer Melissa Billiter, chief financial officer Andrew Reid, chief operating officer Tim Sullivan, senior managing principal, advisory group Kurt Nelson, group vice president, talent strategy Amy Dudley, executive vice president, national sales editorial and advertising offices 1152 15th St. NW, Suite 750, Washington, DC 20005 Phone: 202-452-0800; Fax: 202-785-1974 subscription inquiries and back issue orders 888-269-8410 or email: builder@omeda.com circulation customer service hanleywood.omeda.com/bldr list rental The Information Refinery, Brian Clotworthy, 800-529-9020; brian@inforefinery.com privacy of mailing list Sometimes we share our subscriber mailing list with reputable companies we think you’ll find interesting. However, if you do not wish to be included, please call us at 888-269-8410. Canada Post Registration #40612608/G.S.T. number: R-120931738. canadian return address IMEX, P.O. Box 25542, London, ON N6C 6B2 postmaster Send address changes to Builder, P.O. Box 3494, Northbrook, IL 60065 BUILDER occasionally will write about companies in which its parent organization, Hanley Wood, has an investment interest. When it does, the magazine will fully disclose that relationship.

Assurance

CALL THE INSURANCE COMPANYª

1-877-4-IESRPT INFO@UNIFORM-ES.ORG WWW.UNIFORM-ES.ORG ©IAPMO2021

B U I L D E R O N L I N E .C O M

THE WOODFORD MODEL 22 HOT/COLD

HOT

OUTSIDE!

Year-round hot water outdoors to ﬁll a pool, wash a dog, a car, a window or even yourself. And no matter how cold it gets, the Woodford Model 22 will never burst, even if a hose is left attached.* Homeowners love it. So do dirty dogs.

Model V22 Vertical conﬁguration

CTURED & ASSEMB UFA L AN

Model 22 Horizontal conﬁguration

IN T HE U S A

WOODFORD MANUFACTURING COMPANY Excellence. Always. 800.621.6032 www.woodfordmfg.com * If installed correctly

IT'S THE GAME-CHANGING PATIO DOOR IMPROVEMENT YOU CAN’T REALLY SEE.

subscription inquiries and back issue orders 888-269-8410 or builder@omeda.com

for list rentals 800-529-9020

to order reprints Wright’s Media 877-652-5295 or hanleywood@wrightsmedia.com

advertising sales offices Paul Tourbaf, executive vice president 847-778-9863 ptourbaf@zondahome.com Kay Ross-Baker, vice president 630-707-0811 krossbaker@zondahome.com John Tatusko, vice president 617-359-8619 jtatusko@zondahome.com

PROVIA’S NEW FINELINE™ WELDING TECHNOLOGY SETS THE STANDARD FOR CORNER AESTHETICS.

Deb Capone, strategic account director 646-455-8589 dcapone@zondahome.com Mark Rosenbaum, strategic account director 312-802-7002 mrosenbaum@zondahome.com Carol Weinman, strategic account director 847-778-9861 cweinman@zondahome.com

When Performance Matters.

t ou wi th

wi th

Fi n

e™

Brandy Weiss, strategic account director 310-591-7770 bweiss@zondahome.com Patrick Zazzara, strategic account director 571-488-5324 pzazzara@zondahome.com Rita Hicks, strategic account manager 484-467-1187 rhicks@zondahome.com D. John Magner, strategic account director—canada 416-598-0101, ext.220 jmagner@yorkmedia.net

provia.com/endure

DOORS | WINDOWS SIDING | STONE | ROOFING

Conquer market volatility Get market feasibility and customized strategic research for a variety of land uses — all from trusted advisors.

. Master Planned Communities . Multifamily Development . Build to Rent Communities

. Single Family Detached . So much more

Find us at zondahome.com/advisory

B U I L D E R O N L I N E .C O M

Higher loads. Fewer walls. ®

The new Simpson Strong-Tie Strong-Wall high-strength wood shearwall.

Our latest wood shearwall is an easier-to-install and more economical solution for light-frame residential and commercial construction. Now with the highest loads across a wide variety of applications, our code-listed, prefabricated wood panel helps optimize your designs with fewer, narrower walls. It’s also faster to install and field-trimmable for maximum versatility and cost savings. Backed by our unparalleled technical and field support, your shearwall installations will be stronger and more cost effective than ever. To learn more about how the Strong-Wall high-strength wood shearwall (WSWH) can make your next job more efficient and economical, visit go.strongtie.com/wswh or call (800) 999-5099.

Strong-Tie Company Inc. WSWH21-B

Content Licensing for Every Marketing Strategy Marketing solutions fit for: Outdoor | Direct Mail | Print Advertising | Tradeshow/ POP Displays | Social Media | Radio & TV Leverage branded content from Builder to create a more powerful and sophisticated statement about your product, service, or company in your next marketing campaign. Contact Wright’s Media to find out more about how we can customize your acknowledgements and recognitions to enhance your marketing strategies.

Call Wright’s Media at 877.652.5295, visit our website at wrightsmedia.com/sites/hanleywood or email us at hanleywood@wrightsmedia.com

You’re a Pro.

Shop for House Plans Like One. The Builder Advantage Club is free to join and only open to building professionals.

% OFF

YOUR FIRST PLAN PURCHASE!

CALL 855.598.5169 AND REFERENCE CODE BUILDERMAG Some exclusions apply

• Save $$$ on multiple purchases (up to 20%!) • Get personalized assistance finding the plans you need Sign up today by calling 855.598.5169 or at www.builderhouseplans.com/builder-advantage-program

Discover more at BuilderHousePlans.com We’ve made it easy to find the right design • More photos and images • Free tools to save plans and searches

• Advanced search filters • Curated collections to solve your building challenges

FROM THE EDITOR

Repeat Appearance BLAST B ST FROM THE PA T AST Steve A Alloy, preside p ent and CEO of o Stan nley Martin Homes H s—this year’s Builder Bu der of the Year—also appeared on o the t e cover of BUILD BU ER in 2007.

his issue might mark a milestone for builder as it may be the first time the magazine has repeated a cover subject. When we selected Reston, Virginia–based Stanley Martin Homes as the 2021 Builder of the Year (p. 52), we had no idea the firm’s president and CEO, Steve Alloy, had appeared on the cover of BUILDER earlier in his career. While on set for this issue’s photo shoot in March, Alloy pulled out his copy of the September 2007 magazine, joking that he “hasn’t aged much—right?” When I recently spoke with Alloy, even in the midst of a global pandemic that has upended most everything, genuine joy and fulfillment are readily apparent when he’s talking about the home building company his father founded and its 700-plus team members. “It’s a joy to work every day. I can’t imagine I’d ever retire,” Alloy said to me during our interview. “You’re lucky to have a job that you just love doing. It’s a great hobby for me, which makes me a little bit of a workaholic.” It’s a good thing retirement isn’t imminent for Alloy because he has ambitious growth plans for Stanley Martin, No. 21 on this year’s Builder 100. His sights are set on eventually breaking into the top five firms on the list. With the support of Japan-based

Daiwa House Group and armed with a published plan through 2030, Alloy and his team are ready to put in the work. Given the 17% increase in closings for the top 200 builders in 2020 compared with 2019, there likely are a few other workaholic builders out there in addition to Alloy. Building activity was hot, as evidenced by the fact that a firm needed 596 closings to break into the top 100 in 2020, compared with 427 in 2019. We welcome back the firms that previously have made our annual list, in addition to those that appear for the first time. The methodology changed slightly this year, as outlined by my colleague Jonathan Dienhart (p. 63), but the end result is still an impressive snapshot of what builders across the U.S. have been up to as the pandemic housing boom continues. Other notable features in the issue include profiles of this year’s Hearthstone BUILDER Humanitarian Award recipients (p. 68): Edward Burr, CEO of Jacksonville, Florida–based GreenPointe Holdings, and Sheryl Palmer, chairman and CEO of Scottsdale, Arizona–based Taylor Morrison; and a look at the current initial public offering landscape for private builders following the success of Dream Finders Homes’ IPO earlier this year (p. 78). The baseball-themed headline on the 2007 cover might have missed the mark given the fact that Alloy is a self-proclaimed tennis addict, but the message it communicates about the importance of builders remaining nimble and focused still rings true today. B

Jennifer Lash Editor-in-Chief, Residential Content Group

FEEDBACK We want to hear from you. Send story ideas, contributions, and comments to jlash@zondahome.com.

10 B U I L D E R

M AY 2 0 2 1

B U I L D E R O N L I N E .C O M

Designed to perform beautifully. The unmistakable quality and versatility of Bosch home appliances lend value to every project.

Full suite of appliances, from new refrigerators with the QuickIcePro System™ to our new industrial-style ranges and rangetops.

Smart appliances with Home Connect™ offer cutting-edge solutions clients seek.

A range of handle styles and ﬁnishes to match any aesthetic.

Dedicated trade tools and services, supporting your project from start to ﬁnish.

Let Your Imagination Go Outside And Play.

Watch our brand video Find your local representative by using the locator on our website. Find ideas and inspiration by joining our Instagram community. ___________________________________________________ Design/Build: Jirsa Construction Photo: Nick Laessig

We're always working on new ways to help you push the limits of your creativity. From the refined look of more glass and narrowed sight lines to door technology that turns a wall of glass into a moving masterpiece, our goal is to bring your next building project to life. Unmatched aesthetics and performance, that's the natural result of windows that never compromise. SierraPacificWindows.com

800-824-7744

A Division of

PULSE

by BUILDER STAFF

Notable news, trends, and data from around the industry

Adobe Stock

Concrete Homes to be Built Nationwide habitat for humanity recently partnered with Build with Strength, backed by the National Ready Mixed Concrete Association (NRMCA), to construct resilient, affordable, and sustainable housing across the U.S. Through the partnership, Build with Strength is coordinating the donation of concrete and other materials to the construction of Habitat homes and will work directly with local organizations to support home builds across 16 locations. Gregg Lewis, executive vice president of promotion strategy and communication at the NRMCA, says the partnership with Habitat for Humanity was born out of an effort by the concrete industry to provide aid for Puerto Rico after the large scale of hurricane damage in recent years. Through the effort, Habitat for Humanity plans to build at least 50 homes in 50 states in five years. Timelines, however, have been impacted by COVID-19. The first projects are set to break ground in Butte County, California, in May and include the construction of three homes in Paradise, California, 90% of which was destroyed by wildfires in 2018, according to Habitat for Humanity of Butte County. Other participating areas include Des Moines, Iowa; Joplin, Missouri; and Lincoln, Nebraska, all of which have been impacted by tornadoes in recent years. Concrete homes will also be built in Minnesota, where climate is more of a deterrent for homeowners and energy performance serves as an important criterion for housing affordability. “We want this [partnership] to help Habitat add value to the families that they’re working with and to help explore the viability of the [concrete] construction method for affordable housing,” Lewis says. “[It’s] kind of a different story and different interpretation based on the location and what the needs are in that location.” Homes built in the partnership’s initial 16 locations will use insulated concrete forms,

B U I L D E R O N L I N E .C O M

“We want this to help Habitat add value to the families they’re working with and to help explore the viability of the concrete construction method for affordable housing.”

according to Lewis. The Insulating Concrete Forms Manufacturers Association is donating materials to help project affordability. In subsequent years of the program, Lewis says there is a possibility homes will be built with concrete masonry. As many builders face challenges due to the rising costs of lumber and related supply-side issues, Lewis says concrete building is an affordable alternative for many builders. The NAHB recently estimated lumber price spikes had caused the cost of building an average new single-family home to increase by more than $24,000 since mid-April 2020. Beyond building resilient homes for the local communities, Lewis says one of the goals of the Habitat partnership is to raise awareness about building possibilities with concrete and to introduce the material to new audiences. “A lot of builders, I think either they don’t know or have never really considered [concrete] because they ‘know what they know,’” he says. “There’s obviously a cost to make a change from what you’re used to doing. You’ve got to learn it, you’ve got to figure it out, how it’s going to impact your profitability.” In addition to greater cost stability, concrete organizations highlight the resilience of concrete as an advantage over other building materials. Concrete homes are durable and resilient in regions impacted by severe weather events, and, according to Lewis, concrete homes also can offer strong sound insulation, reducing noise intrusion for homes located close to airports, rail lines, or high-traffic areas. One of the arguments against concrete is the environmental impacts of using the material. To that point, Lewis says the concrete industry is innovating and the NRMCA is preparing to build the first carbonpositive concrete home in the United States.—vincent salandro

M AY 2 0 2 1

⚫

B U I L D E R 15

PULSE

Fischer Homes Enters St. Louis Market fischer homes recently announced its expansion into the st. Louis market through an agreement with local builder Payne Family Homes. The arrangement is scheduled to be complete May 1. Privately held Fischer Homes—No. 33 on the Builder 100 (p. 63)— has been in business since 1980 with over 30,000 homes built. The company has more than 150 new-home communities throughout Georgia, Indiana, Kentucky, and Ohio. “We have been looking for the right opportunity for further expansion into the Midwest,” says Bob Hawksley, CEO of Fischer Homes. “This agreement presents a robust growth opportunity for Fischer Homes as the St. Louis housing market is showing no signs of slowing down.” Founded in 2007 by David Payne, Payne Family Homes has built over 2,400 homes throughout the St. Louis area and is the region’s second-largest home builder, according to the press release. The company is currently building in 22 area communities in St. Charles, St. Louis, and northern Jefferson counties. “This decision was certainly not an easy one, but we knew it would be a natural fit once we met the Fischer Homes team,” says Payne. “Their associates, like ours, are customer-driven and committed to providing high-quality homes and experiences.” Led by Ken Kruse, president at Payne Family Homes, the builder has grown exponentially and earned numerous awards. Kruse will continue to serve as market president of the St. Louis division for Fischer Homes. Builder Advisor Group served as the exclusive sell-side adviser to Payne Family Homes on the deal. “We knew right away that becoming part of the Fischer family would be a win-win for the Payne Family Homes team and our customers,” says Kruse. “The companies work both hard and smart and have fostered genuinely strong relationships internally and externally, while still managing to have fun along the way.”—symone strong *Fischer Homes is not affiliated with Fischer & Frichtel Homes of Chesterfield, Missouri.

⚫

M AY 2 0 2 1

Survey shows ongoing stress on rental home property owners

Single-family rental home owners have suffered widespread economic challenges as a result of the COVID-19 pandemic, according to a survey of owners conducted by Seven Letter Insight on behalf of the National Rental Home Council (NRHC). According to the NRHC, singlefamily rental homes currently account for more than half of the nation’s total rental housing. Of the survey’s respondents, half of the individual rental home owners had residents who had missed payments since March 2020. As a result, more than one-third of the owners had to dip into their own savings to cover rental shortfalls and costs of ownership, and one in five had taken out additional loans. Sixty percent of owners who reported receiving less than full rent had been given a financial hardship declaration from residents. Of those who received less than full rent, 52% had created flexible payment programs for residents, and 45% forgave some amount of missed rent. A majority of owners said they’ve

B U I L D E R O N L I N E .C O M

Courtesy Fischer Homes; Adobe Stock

16 B U I L D E R

Rental Woes

been negatively impacted by the eviction moratorium, in particular. Thirty percent said they will be forced to tighten future rental application evaluation standards, while 11% said they were forced to sell at least one property and 12% forced to sell all their properties. While the nationwide eviction moratorium was set to expire March 31, it was extended through the end of June. With the extension, one in five respondents said they “will have no remaining financial options to cover costs related to their rental property.” “The financial difficulties encountered by rental home property owners over the past year have created real uncertainty concerning the direction of the rental housing market, uncertainty that has only been exacerbated by myriad local, state, and federal eviction moratoria,” says David Howard, executive director of NRHC. “While rental assistance programs will certainly help, for many property owners it may be too late. There is less rental housing in the United States today than there was five years ago, even as owner-occupied housing has increased nearly 10% during that time. In 2020 alone, the amount of rental housing decreased by over 275,000 units. Even large single-family rental home companies grew their portfolios by only 6,000 units, an amount less than one-tenth of 1% of the 7.6 million homes bought in the U.S. last year.”—mary salmonsen

DO MORE ON THE GO WITH

myABCsupply

SCAN TO SIGN UP TODAY! Your job just got easier, wherever your projects take you. Place orders online 24/7 Track orders and deliveries Simplify your billing Find an ABC location near you Available in Spanish and Polish

>> DOWNLOAD THE APP

PULSE

“... you guys got this right, the program is awesome… SoftPlan is the best and I have used them all..” Andrew Bozeman, Montgomery, AL

Can Dallas-Forth Worth Remain No. 1 in Home Building?

design | 3D | materials lists

subscribe to SoftPlan

$95

/month

kitchens | baths | additions free trial: www.softplan.com or 1-800-248-0164

B U I L D E R O N L I N E .C O M

Adobe Stock

SoftPlan remodel

everyone loves to be no. 1. tony polito, zonda regional director in Tampa, Florida, often reminds our team that 2020 was the “Year of Tampa Bay,” with the city owning professional sports bragging rights. But just wait—everyone loves to beat the defending champs. The Dallas-Fort Worth Metroplex has been the perennial champion of home building, holding the top spot since 2016. Since DFW took the top spot, new-home sales have grown almost 75%, and the region has increased its lead over Houston by 5,900 starts. The market strength continues in 2021 with the average sales rate per project jumping more than 50% year over year in February. The demand is there for DFW to exceed 50,000 home starts in 2021, driven by the strong employment growth over the past decade, demographic trends, significant inmigration from out-of-state buyers, and low interest rates. But can the Metroplex hold on to the top spot? 2021 is becoming the “year of the gap out” in DFW. Since the start of 2020, builders sold out of 241 more projects than new projects were opened, with the gap-outs accelerating in the past six months. With demand outstripping supply, builders are aggressively raising prices to slow sales. The strategy is having little success. Over 12,000 price increases were implemented in the month of January alone, yet sales rates jumped more than 50% YOY in February. Many have resorted to capping sales to match production capacity and lot availability with the sales pace. Although land developers have accelerated lot deliveries, they are struggling to get ahead of the demand. Will the situation improve in 2021? Zonda is tracking 23,000 future lots in the late stage of construction, which should be delivered in the first half of the year. Zonda also is monitoring the progress on an additional 300,000 future lots through its satellite imagery service Bird.i and research team. The future pipeline should allow the current starts pace to continue in 2021—barely. DFW’s top spot looks safe in 2021, but for the market to continue to grow and to ensure DFW keeps its lead in 2022, new development activity and lot deliveries will need to grow beyond the current pace. We’ll soon see whether DFW will hold on to its No. 1 spot in home building.—david brown, zonda senior vice president

A Whole New: Machine Warranty Ballgame

Introducing the new Ameristar. Designed and engineered by American Standard Heating and Air Conditioning®—with the quality, availability, code compliance and design support you’d expect from an industry leader. When it comes to affordable equipment, it’s setting a whole new standard. Learn more at ameristarhvac.com/home-builders Product shown: 16 SEER Air Conditioner (A4AC6) is Assembled in Tyler, TX.

Upgrade your toolbox, today Work smarter with Zonda’s next-generation data solutions toolkit. Upgrade to the Zonda enterprise product suite and get the industry’s most powerful data solutions.

Visit zondahome.com

BACK WALL PIETRA DIVINA™ NERO MARQUINA M462

TABLE ONE QUARTZ SURFACES ® BROADWAY BLACK OQ03

MAKE A STATEMENT. As the world-class leader in Tile, Natural Stone & Countertops, Daltile offers the largest assortment of high-style solutions to elevate any space or design.

PRODUCTS

STANLEY

The Utility Knife with 10-Blade Storage and Control-Grip Utility Knife are made for heavy-duty jobsite cutting applications, including drywall, shingles, flooring, and packaging. The Control-Grip Utility Knife features a retractable blade with recessed blade slider, a two-step blade release process and offset knife nose, and a tether loop for lanyard attachments. The Utility Knife with 10-Blade Storage features a slip-resistant handle and a curved shape to accommodate challenging applications. stanleytool.com

Power on Hand New-to-market tools and equipment to help jobsite pros work faster, stronger, and longer b y M A RY S A L MON S E N

DEWALT

DeWalt is adding two new 2V MAX Impact Wrenches—1/2-inch and 3/8-inch—to the Xtreme Subcompact series, designed for job access in tight areas. Both impact wrenches measure 5.2 inches long, weigh 2 pounds as a bare tool, and deliver up to 250 foot-pounds of max tightening torque and up to 400 foot-pounds of max breakaway torque. Features include a hog ring anvil for easy socket changes and an LED light ring for visibility in low-light environments. Both models are available in a kit or as a bare tool. dewalt.com

◄ MILWAUKEE TOOL

The M12 23-Gauge Pin Nailer provides professional-level performance without the need for pneumatic components like a compressor hose or gas cartridge. It drives 23-gauge headless pin nails ranging from 1/2 inch to 1 3/8 inches in length, and can fire up to 750 nails per M12 RedLithium battery pack charge. The double-action trigger and non-marring precision point tip allow for fine trim work, and the dry-fire lockout mechanism serves to prevent misfires. The tool body also features an LED work light, a battery fuel gauge, a reversible belt clip, and a magazine reload indicator. milwaukeetool.com

22 B U I L D E R

⚫

M AY 2 0 2 1

TOUGHBUILT

ToughBuilt GelFit Fanatic Thigh Support Stabilization Knee Pads provide stability, comfort, and support for industry pros while kneeling. The guard’s integrated thigh support prevents the knee from twisting out of its pad, and the lower platform lifts the shinbone off the ground, reducing pressure on the ankle. Ergonomic gel and foam supports conform to the wearer’s knee and upper shin shape to maximize pressure distribution. The joints are designed to allow a range of forward, backward, and side-to-side movement. toughbuilt.com

PRODUCTS

BOSCH

MAKITA

Bosch Power Tools is expanding its recently launched ProFactor lineup with two new cordless saw products—the Strong Arm right circular and the Surgeon miter saws, both powered on Bosch Power Tools’ Core18V battery platform. The Strong Arm saws offer a 2.5inch cut capacity, designed to cut through two times the material across the entire 50-degree bevel range. The Surgeon saw features a tall fence design that supports cuts on taller materials, and features a 3.5-inch depth and 13.5-inch crosscut. boschtools.com

KLEIN TOOLS

The Reusable Face Mask with Replaceable Filters is made to provide basic protection against non-harmful common airborne irritants, like nontoxic dust, pollen, mold, and dander. The mask system features adjustable head and neck straps, a nose clip for proper fit, and vent attachments for breathing comfort. It includes one filter and one storage bag, with replacement filters sold separately in a three-pack. kleintools.com

24 B U I L D E R

⚫

M AY 2 0 2 1

Makita is launching its new 40V max and 80V max XGT System platforms together with over 50 new cordless tools and equipment products, each one powered by either one or two 40V XGT rechargeable batteries. The tools’ brushless motors utilize a higher volume of copper windings and rare earth magnets to provide greater speed and longer tool life, according to the firm. New tools include demolition hammers, rotary hammers, miter saws, circular and reciprocating saws, angle grinders, impact drivers and wrenches, drills, and lighting. makitatools.com

RIDGID

When connected to iOS, Android, or Windows devices and compatible Ridgid SeeSnake camera reels, the Ridgid SeeSnake CSx Via allows inspectors and other users to stream, capture, and share the SeeSnake’s capture footage. The CSx Via provides Wi-Fi capability for reels with an interconnect port, and connects to the HQx Live app to control the camera’s functions and features. Users can also mount their screen devices on a dock, sold separately, as either a freestanding unit or as an attachment to any Ridgid SeeSnake Compact Series reel. ridgid.com

B U I L D E R O N L I N E .C O M

Complete Door Systems Installed with Expert Guidance When you take pride in your projects and stand behind the products you use, you build more than just beautiful homes—you build trust with your customers. Which is why Therma-Tru is the brand builders prefer most.*

COMPLETE DOOR SYSTEMS From the door panel, glass and hinges to the weatherstrip, sill and finish system including rot-free composite frame solutions, Therma-Tru manufactures or specifies all of our components, resulting in a complete door system that stands the test of time and is backed by the industry’s most comprehensive lifetime limited warranty.

CERTIFIED INSTALLER PROGRAM The comprehensive Therma-Tru Certified ® Door System Installer Training Program walks through the proper techniques to correctly seal and install a Therma-Tru door ®

system and includes step-by-step videos with expert guidance, as well as job aids and supplemental video content for quick on-site reference. Plus, a Therma-Tru door system with Tru-Defense components installed by a Therma-Tru Certified Door System Installer is a high-performing, correctly installed Therma-Tru door system backed by a strong warranty rider for peace of mind. With high standards for style, quality and craftsmanship, only Therma-Tru offers complete door systems—and installation training to help ensure they perform as exceptionally as they look.

For more information, visit thermatru.com/installer. *Brand Use Study, 2021 BUILDER magazine. Note: See your Therma-Tru seller or visit www.thermatru.com for details on limited warranties and exclusions. ©2021 Therma-Tru Corp. All rights reserved.

Produced by Hanley Wood Strategic Marketing Services Group hanleywood.com

REFINED, TRANSITIONAL STYLE For the perfect balance of privacy and natural light, our new Reeded glass brightens up the entryway while obscuring views. Its vertical, linear texture brings a sleek, modern look to a variety of home styles, from traditional to contemporary. Like all of our privacy and textured glass options, Reeded glass features triple-pane construction for superior quality, thermal efficiency and easy cleaning. Explore glass options at thermatru.com/reeded

Where Home Begins

ECONOMICS

Government Debt Impact Some economic theories support an increase in debt levels to stimulate an economy, but more debt is not without risk b y A L I WOL F, Z O N DA C H I E F E C O N OM I S T

he u.s. national debt has been rising at a seemingly unsustainable rate throughout the COVID-19 pandemic and the subsequent economic downturn. As of February, the U.S. debt reached over $27.8 trillion, which is 105% of domestic gross domestic product (GDP). Economists have speculated what this rapid increase of debt will mean for the future of the economy, and we examine the arguments for and the risks of this approach.

•

• THE BACKGROUND The economy collapsed early in the pandemic as states across the country implemented lockdown measures and many Americans sheltered at home. In fact, GDP, the broadest measure of the U.S. economy, fell 5% on an annualized basis in the ﬁrst quarter of 2020 and an unprecedented 31.4% in the second quarter. Policymakers scrambled to support the economy during the recession and passed the $2.2 trillion CARES Act on March 27, 2020. The CARES Act received bipartisan support and was a critical lifeline to people and businesses negatively impacted by the pandemic. The subsequent relief bills in December 2020 and March 2021, however, were met with pushback as so-called deficit hawks fought to ensure every dollar was used wisely so government debt does not hinder longer-term economic prospects. Determining how much stimulus an economy needs is more art than science, but the debate ultimately comes down to whether taking on too much government debt will negatively impact our economy. Some economic theories, like Modern Monetary Theory (MMT) and Keynesian economics, suggest that increasing debt levels make sense to stimulate an economy, while others point to growth-hampering risks that should be seriously considered.

T H E A R G U M E N T S F O R TA K I N G O N M O R E D E B T According to MMT, a country can continuously borrow money from itself as long as it has the ability to create its own currency. Some of the basic ideas of MMT include:

•

The U.S. government can add to the national debt indeﬁnitely

28 B U I L D E R

M AY 2 0 2 1

because it can print more of the U.S. dollar to pay back the debt and the risk of default is virtually nonexistent. Extra stimulus shouldn’t be worrisome because programs and initiatives, like the COVID-19 stimulus packages, will simply be funded by creating more U.S. currency. The increased government spending would not create inﬂation because there would still be unused economic capacity or unemployment. The economy would have to hit a physical or natural constraint on productivity before inﬂation would occur.

Keynesian economics is another theory that encourages taking on more debt. Led by economist John Maynard Keynes, Keynesian economics supports government intervention to make an economy as productive as possible. Economists that follow this way of thinking also agree that during an economic crisis, increased government spending will stabilize the economy. For example, in response to the Great Depression, the Keynesian theory argued that:

•

Deliberate government involvement in the economy will reduce the unemployment rate and government policy can address or prevent recessions. Lowering taxes and increasing government spending will create a budget deﬁcit that will raise consumer demand and economic activity, which will then reduce unemployment. Economies require ﬁscal intervention to assist with stabilization.

Policies backed by Keynesian economics have been relied on and implemented in economic

B U I L D E R O N L I N E .C O M

Clean, Simple, Modern, Matching Elegance Better Home Products can elevate your next project from a mere show home, to a virtual showplace. Our complete collection of locksets and bath accessories with matching cabinet pulls and ﬁnishes provide the elegant decorative touch needed to enhance any décor.

STINSON BEACH LEVER WITH PARK PRESIDIO TOWEL BAR

MATCHING STINSON BEACH CABINET PULL

VAN NESS HANDLESET

PASSAGE

TOWEL BAR

PRIVACY

PAPER HOLDER

ENTRY

TOWEL RING

Available Finishes: 

Chrome



Satin Nickel



Satin Brass



Dark Bronze



Matte Black

Available builder programs—including our ‘Branded House Partnership’ program—will fulﬁll the needs of builders both large and small. Visit www.betterhomeproducts.com and click on the ‘Builder Programs’ tab for more details.

Matching Design and Finish Locksets and Bath Accessories GREAT FILL RATE • EXCELLENT QUALITY • SAME DAY SHIPPING FOR FAST DEALER DELIVERIES!

www.betterhomeproducts.com

ECONOMICS

recoveries across the globe. Consumers represent 70% of the economy, and, with money getting in the hands of individuals, consumerism historically rises, providing an argument for the benefits of raising government debt levels.

T H E R I S K S O F TA K I N G O N M O R E D E B T We don’t believe loading up on debt should be considered riskless, and many economists and theorists believe national debt can have lasting negative implications on an economy. Here are some of the main risks: Slow productivity. There’s a relationship between larger sustained federal debt and higher interest rates, which can decrease investments in the private sector. Higher interest rates limit the ability to invest, thereby decreasing productivity of the economy. Higher borrowing costs. As the debt continues to rise, some investors may lose confidence in the government’s ability to pay back its debt.

As such, investors may begin to demand higher interest rates on government debt to ensure greater return on their investment, which would drive up other borrowing costs as well. Decreased ability to respond to problems. A higher level of government debt can lead to a decrease in the government’s ability to respond to future crises. Deficit hawks may be less willing to provide stimulus when the federal debt is already at record-breaking levels. If today’s debt levels are maintained, there’s a chance the government may not be able to respond as quickly. Higher taxes. At some point, we may need to pay the piper, and this would likely come in the form of higher taxes. Beyond these hypotheticals, inflation is the most talked about risk today. As vaccines are given and economies reopen, pent-up consumer demand could cause the economy to rebound quickly, resulting in a spike in inflation as goods and services become more expensive.

FINAL THOUGHTS In response to COVID-19, three fiscal stimulus packages have been passed, totaling $5.7 trillion compared with $1.8 trillion during the Great Recession. Many of the COVID-19 stimulus programs have assisted the economy, allowing us to get within reach of pre-pandemic levels earlier than first forecasted. While the staggering U.S. government debt is intimidating, both MMT and Keynesian economics agree that high national debt is at times necessary and not inherently harmful. Despite evidence that fiscal policy can be good for an economy, economists still disagree as to whether the debt will have lasting negative impacts. It’s possible that increased national debt will slow productivity, lead to higher taxes, and/or result in inflation. Despite the possibility of these negative outcomes, a temporary increase in the U.S. national debt has and will continue to benefit the economy and society during our recovery from the pandemic. B Nicole Meyers contributed to this article.

Give the Dryer Some Space

Room to Breathe Today, you can place the dryer flush to the wall without crushing the exhaust hose or otherwise restricting airflow. Install the Dryerbox¨ for safer, roomier and more efficient homes.

NEW Standard Installation Model 480 22 Gauge Aluminized Steel—Shown Painted

888-443-7937 www.Dryerbox.com

W H AT C H A L L E N G E S A R E Y O U FA C I N G T O D AY ?

INCREASING CYCLE TIMES

SOFT BUILD TIME

LOT-SPECIFIC PLANS

ERODING MARGIN

CANCELLATIONS

MUNICIPALITIES

Let’s tackle them together. MiTek Homebuilder Solutions will be with you every step of the way. We learn your business to find the right solution for you – creating predictable outcomes for predictable results.

Learn more by visiting: MiTekHomebuilder.Solutions

We’re Back,

with a renewed focus on the Pro.

Exclusive products, dedicated support, quick-ship options and more! Welcome to Armstrong Flooring Pro, our new program created to support the unique needs of large home builders and their contractors during this time of significant growth in new residential construction.

Together, we build strong.

Learn more at armstrongflooring.com/pro.

TAMLYN

FAMILY. VALUE. SERVICE.

OF EXCELLENCE IN THE BUILDING SUPPLY INDUSTRY

We want to thank all of our builders, designers, architects and contractors for being a part of our history.

FAMILY. VALUE. SERVICE. WATER MANAGEMENT

E-mail: info@tamlyn.com

www.tamlyn.com

DESIGN TRENDS

The Next Step Move-up home design in 2021 includes a focus on comfort, convenience, and space b y AU RO R A Z E L E D ON

hat will move-up homes look like after the pandemic? What does luxury even mean now that we’ve spent much of the past year in sweatpants? Even as entertaining becomes a possibility again with more people getting vaccinated, is a formal dining room the most impressive amenity anymore? Busy homeowners need ample storage, large kitchens, and bathrooms that feel like a trip to the spa. That’s exactly what this new home plan, designed by House Plan Zone, provides. “This farmhouse style is all about simple elegance,” explains House Plan Zone partner Sted McCollough. “It encompasses a sense of classic and organic style that brings a whole new level of depth to a warm, relaxing, and comfortable way of living.” At just over 3,000 square feet with a home office and four bedrooms, the design offers a nice amount of space for growing families or even extended relatives living together. The master suite features a large walk-in shower, a freestanding tub, plenty of counter space, and a generous walk-in closet. Storage abounds throughout the entire home, particularly in the mudroom on the way in from the garage. See more modern move-up designs at go.hw.net/BD0521-plans. B

PLAN #430-248 View and browse plans at builderhouseplans.com.

square footage 3,145

dimensions 84’8” X 55’

bedrooms 4

foundation Crawlspace, slab, other options available

bathrooms 3.5

34 B U I L D E R

M AY 2 0 2 1

pdf $1,295

pdf with unlimited build $1,995 5-set and pdf $1,545 cad with unlimited build $2,295

B U I L D E R O N L I N E .C O M

#1 Provider of Healthy Air

EFFECTIVE

VIRUS PROTECTION Differentiate your homes with the

APRILAIRE HEALTHY AIR SYSTEM™ VENTILATION | AIR PURIFICATION | HUMIDITY CONTROL

visit aprilaire.com/healthy-builders today!

WELLNESS

The Road to Well-Being Consumer study breaks down health and wellness by generation b y T E R I S L AV I K-T S U Y U K I

36 B U I L D E R

⚫

M AY 2 0 2 1

The pandemic exposed health vulnerabilities in a way that challenged many consumers to reevaluate their personal well-being needs.

The data in the second wave of the America at Home Study conducted in October and November 2020 indicates that many of the behavior changes made during the pandemic appear to be lasting. And the importance people place on community features such as nature and open spaces, parks, trails, bike paths, and picnic areas all increased as the year, and the pandemic, wore on. The pandemic exposed health vulnerabilities in a way that challenged many consumers to reevaluate their personal well-being needs. To better understand this, questions specific to wellness were added to the second wave of the study. They provide insight overall, and clarity by generation, for a series of wellness aspects most important to consumers today, and their level of personal satisfaction with each. According to the survey of

B U I L D E R O N L I N E .C O M

Adobe Stock/Stratford Productions

he america at home study was inspired by the ex perience of living life from home during the COVID-19 global health pandemic. The results of the study showed the importance of health and wellness today, from virtual training rides and weight training in garages converted into home gyms, to mindfulness meditation breaks between Zoom calls. What may have not been as clear a year ago, but is abundantly so now, is the impact our homes and communities have on our overall well-being. According to the Global Wellness Institute’s (GWI) White Paper Series, “Resetting the World with Wellness: Healthy Built Environments for Healthy People,” 80% to 90% of our health outcomes depend on the external and environmental factors in our “wellness ecosystem,” defined as a complex web of external factors including access to health care, socioeconomic factors, and our natural and built environments. It’s that last part, which includes our homes and our communities, that took on even greater importance as the majority of the nation spent a large part of 2020 living life from home.

The Art of outdoor living. When looks and durability are everything, why settle for anything less? With industry-leading warranties and quality beyond comparison, we've made it easier to oﬀer your customers more. Decking designed for pros, decking built by pros.

Learn more at ﬁberondecking.com.

Fiberon Discovery AR App

Note: See your Fiberon seller or visit www.ﬁberondecking.com for details on limited warranties and exclusions. Actual board colors may vary from photography. ©2020 Fiberon. All rights reserved. FIBERON and the Fiberon logo are trademarks of Fiber Composites, LLC. Registered trademarks are registered in the U.S. and may be registered internationally. Apple and the Apple logo are trademarks of Apple Inc., registered in the U.S. and other countries. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google, Inc.

WELLNESS

BUILD WELL TO LIVE WELL

3,935 U.S. consumers age 25 to 74 years old with household incomes of $50,000 or more, financial well-being, emotional well-being, and mental health and engagement were the three most important aspects of wellness overall. These were followed by physical health and fitness and an environment free of hazards and toxins rounding out the top five. While ranked the highest by baby boomers at 87% and by Gen X at 84%, slightly more than 83% of respondents overall said financial well-being was the most important area of wellness in their lives. Perhaps not surprisingly, this was also the pillar of wellness with the largest gap—21% overall—between the importance placed on it and consumers’ satisfaction with achieving it.

According to the GWI, wellness real estate accounts for $134 billion of the global wellness economy (2017 data) and has been growing at 6.4% annually since 2015. GWI calculates that our homes represent about 20% of global consumer spending, or more than $8 trillion per year. The built environment’s importance in promoting our health and wellness could not be more important—where and how we live has a huge effect on all dimensions of our wellness. For home builders and community designers alike, in its 2018 report, “Build Well to Live Well,” GWI has some specific recommendations for putting wellness at the forefront of the communities we create and homes we build:

• • • • •

G A P S B E T W E E N I M P O R TA N C E A N D ACHIEVEMENT OF WELLNESS Looking at the gaps by generation exposes the different and uneven impacts the pandemic has had on areas of wellness in people’s lives. And, in some cases, those gaps are significant. For Gen X, the majority of whom are in their peak earning years and beginning to think about retirement, the biggest pain point is financial wellness. This group is also most likely to have equity locked up in move-up family homes, and the millennial buyers behind them may not need, or want, that traditional family home. Millennials’ concerns with their level of financial wellness are just marginally lower than their Gen X counterparts, sounding the call for more innovative and attainable new homes in communities that focus on health and wellness. For the 72 million boomers in the nation, the oldest ones turning 75 this year, physical health and fitness is the wellness area in their lives with the largest gap between importance and satisfaction. In addition to this generation’s desire to remain active and healthy, the effects of COVID-19 were more significant on them than younger generations. It’s also no surprise that boomers are the generation, at 82%, most inclined to say they will continue to disinfect things more going forward, and look to use their backyard, patio, porch, or deck (cited by 78%) as safe entertaining spaces to maintain their needed social connections.

38 B U I L D E R

⚫

M AY 2 0 2 1

•

Make movement the default option in our daily lives; Provide free and accessible spaces for active recreation; Use nature’s power to improve mental, emotional, and physical well-being; Create environments that promote better sleep, rest, and stress reduction; Design spaces that encourage pro-social behavior and a sense of community; and Promote healthy behaviors and provide good digital infrastructure.

The challenge is clear, and the opportunity is here to employ this thinking to create homes and communities intentionally designed to positively affect all areas of wellness in a lasting, meaningful way. B Teri Slavik-Tsuyuki is a marketing expert and founder of tst ink. The America at Home Study was hosted online in two waves during the COVID-19 pandemic and was spearheaded by Slavik-Tsuyuki, consumer strategist Belinda Sward, and architect Nancy Keenan.

COMMUNITY FEATURE

APR 2020

OCT 2020

DIFFERENCE

Nature and open space hikes and activities

N/A**

59%

N/A

Large parks with open fields and green space

52%

56%

+4%

Controlled environments for safety, sanitization, maintenance

45%

54%

+9%

Trails

47%

51%

+4%

Gyms/fitness facilities

40%

47%

+7%

Small neighborhood parks with seating and playground areas

39%

47%

+8%

Health and wellness clinics

38%

46%

+8%

Picnic, BBQ, open-air pavilions

40%

46%

+6%

Outdoor fitness spaces

N/A**

45%

N/A

Pools (standard occupancy allowed anytime)

37%

44%

+7%

*In thinking about buying or renting your next home, what community features would more or less influence your decision? April n = 3,001; October n = 3,935. **Not asked in April Wave 1 study.

B U I L D E R O N L I N E .C O M

MIdnight Majesty

Dark & Dreamy Chic. Moody. Cozy

Soapstone Metropolis

Midnight Corvo

There’s a hint of intrigue in deeper toned countertops that gives a space gravitas. From concrete-inspired graphites to polished blacks with white veins, darker shades work wonders to ground a kitchen and add depth. Visit one of over 30 MSI showroom and distribution centers nationwide. SLABS & COUNTERTOPS PORCELAIN & CERAMIC LUXURY VINYL TILE HARDSCAPES NATURAL STONE DECORATIVE ACCENTS

Scan & get started Marquina Midnight

Soapstone Metropolis Concrete

Fantasy Gray

Midnight Majesty Concrete

Shadow Gray

Galant Gray

Manhattan Gray

All the tools you need to stay ahead Stay ahead of real-time housing project developments by adding Zonda to your toolkit.

Visit zondahome.com to get a demo

SPECIAL ADVERTISING SECTION

Builder HOUSE PLANS presented by

ON-TREND HOME DESIGNS INCLUDING:

See photos of this stylish home on page 06

www.builderhouseplans.com

SPECIAL ADVERTISING SECTION

Order online at builderhouseplans.com or call 1.800.634.4773 BuilderHousePlans.com

is owned and operated by Zonda, the premier information, media, event, and strategic marketing services company serving the residential and commercial design and construction industries. With more than 65 years of experience in the stock home plans industry, our Home Plans Group is the market leader in providing high-quality, high-value, pre-drawn home plans. We operate seven e-commerce websites including builderhouseplans.com, eplans.com, and houseplans.com.

Why Shop at BuilderHousePlans.com? The Lowest Price, Guaranteed! If you find the same plan elsewhere for a better price, we’ll match it.

Discounts for Professional Builders Our Builder Advantage program rewards you for repeat purchases – up to 20% off!

Free Shipping! We offer FREE ground shipping, and FREE modification quotes for most plans.

Experienced Customer Service Team Have questions? Our experienced customer service representatives can help. Just call 1.800.634.4773 or visit www.builderhouseplans.com today.

ADDITIONAL SERVICES:

Modiﬁcations Our full-service design professionals can customize just about any plan that is available in Repro, PDF, or CAD format. A cost estimate can be provided within two business days, and is free for most plans.

28,000+ Designs from Hundreds of Designers

Cost-to-Build Reports Compiled from real-world market information supplied by industry professionals, the construction cost data used in our reports will help you plan your projects. Each estimate is made to order for the house plan, construction quality, and postal code you choose.

ADDITIONAL PRODUCTS: Many plans include the following options: Right-Reading Reverse Materials List Alternate Foundations Alternate Wall Framing We also offer: Garage Plans Deck Plans Landscape Plans Outbuilding and Project Plans

Our vast selection of high-quality plans means you’re sure to find the perfect plan.

We’re the Industry’s #1 Choice Professional builders trust us.

Important Building Codes and Zoning Requirements Each plan was designed to meet or exceed the requirements of a nationally recognized model building code in effect at the time and place the plan was drawn. However, plans may need to be modified to comply with local requirements. In addition, you may need to obtain permits or inspections from local governments before and in the course of construction.

Architectural and Engineering Seals Some cities and states require that a licensed architect or engineer review and seal a blueprint prior to construction. Before applying for a building permit or starting construction, you must consult your local building official who can tell you if such a review is required.

Nevada residents Nevada law requires your plans to be redrawn by a Nevada-registered professional. Consult 2

your local building official for more information.

Disclaimer Our licensed designers have put substantial care and effort into the creation of their blueprints. However, because we cannot provide on-site consultation, supervision, and control over actual construction, and because of the great variance in local building requirements, building practices, and soil, seismic, weather, and other conditions, we make no warranty of any kind, expressed or implied, with respect to the content or use of the blueprints, including but not limited to any warranty of merchantability or fitness for a particular purpose. Photographed homes may have been modified from original design. Please check floor plans carefully. Items, prices, terms and conditions are subject to change without notice.

States copyright law. It is ILLEGAL to do any of the following: ■ Copy designs or floor plans from any

publication, electronic media, or existing home ■ Make copies of or modifications to your plan (unless you have purchased a package that includes a license to do so) ■ Build more than one home from your plan (unless you have purchased a multiple or unlimited use license) Any of these actions may incur substantial penalties. Avoid legal action by purchasing any home plan that you intend to use in any way, along with the proper license for your intended use.

ORDER ONLINE www.builderhouseplans.com Or call 1.800.634.4773

SPECIAL ADVERTISING SECTION

CONTENTS

HANLEY WOOD CONSUMER MEDIA Executive Vice President, Chief Content Officer Jennifer Pearce Vice President, Consumer Media Larry Cooper EDITORIAL Director, e-Commerce Marketing, Merchandising, and Content Aurora Zeledon Content Manager Courtney Pittman Senior Director, Print Production

Cathy Underwood GRAPHIC DESIGN Design Director Tina Tabibi For media kits, please visit www.zondahome.com For all other inquiries, contact azeledon@zondahome.com.

Builder House Plans is published by Zonda

Media, a Delaware corporation. Editorial and Corporate Offices: 1152 15th Street NW, Suite 750; Washington, DC 20005. All floor plans and elevations are copyrighted by the individual designers and may not be reproduced by any means without permission. All text and illustrative material as a whole copyright © 2021 by Zonda Media. All rights reserved. Printed in the United States of America.

04. 06. 08. 13. 19. 24. 28.

Feature Home: Stylish Curb Appeal Feature Home: Big Island Kitchen Immersive Outdoor Living Dazzling Farmhouse Designs Relaxing Master Baths Stunning Kitchens Storage Solutions

See the beautiful cover home on page 06.

Order online at builderhouseplans.com or call 1.800.634.4773 3

SPECIAL ADVERTISING SECTION

Feature Home

PLAN CODE: 1070-33 Style: Country Square Footage: 2,486 (Includes Bonus) Bedrooms: 3 Bathrooms: 2.5 Dimensions: 75' x 37' Foundation: Crawlspace

Order online at builderhouseplans.com or call 1.800.634.4773 4

Main Level

Second Level

STYLISH CURB APPEAL Stylish curb appeal meets a relaxing, modern layout in this striking home. The master suite is easy to reach on the main floor and gives homeowners a walk-in closet, a five-piece bathroom, and a view to the backyard. Check out the kitchen's big island.

Photos courtesy of Nick Graves. This home, as shown in the photograph, may differ from the actual blueprints. For more detailed information, please check the floor plans carefully.

SPECIAL ADVERTISING SECTION

Feature Home

PLAN CODE: 461-74 Style: Farmhouse Square Footage: 2,485 Bedrooms: 4 Bathrooms: 2.5 Dimensions: 36' x 60' Foundation: Crawl Space/Partial Basement

Order online at builderhouseplans.com or call 1.800.634.4773 6

Main Level

Second Level

BIG ISLAND KITCHEN With a big island and total openness to the living and dining areas, the kitchen in this two-story farmhouse design will become the undisputed hangout zone. The master suite is easy to reach on the main level and shows off a huge walk-in closet. Another nice touch: the mudroom, which is ready to hold boots and coats.

Photos courtesy of Joe Purvis. This home, as shown in the photograph, may differ from the actual blueprints. For more detailed information, please check the floor plans carefully.

SPECIAL ADVERTISING SECTION

Immersive Outdoor Living

RELAXED AND OPEN Elegant and spacious, this modern design gives clients lots of room to unwind. The great room and dining area open out to the back loggia, making it easy to move from inside to outside. Peek inside to see the relaxed open layout, big master shower, island kitchen, and other upscale details. Don't miss the generous kitchen island.

Photos courtesy of Dylan Jon Wade Cox. This home, as shown in the photograph, may differ from the actual blueprints. For more detailed information, please check the floor plans carefully.

Main Level

PLAN CODE: 930-519 Style: Modern Square Footage: 3,726 Bedrooms: 4 Bathrooms: 4.5 Dimensions: 52' 8" x 107' 8" Foundation: Slab

Second Level

Order online at builderhouseplans.com or call 1.800.634.4773 8

SPECIAL ADVERTISING SECTION

Immersive Outdoor Living

PLAN CODE: 929-1120 Style: Farmhouse Square Footage: 3,641 Bonus Space: 1,172 Bedrooms: 4 Bathrooms: 4.5 Dimensions: 50' x 76'

Main Level

Second Level

SCREENED PORCH WITH FIREPLACE

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 1074-38 Style: Southern Square Footage: 3,535 Bedrooms: 4 Bathrooms: 3.5 Dimensions: 110' 5" x 69' 3"

Main Level

SPACIOUS OUTDOOR KITCHEN

Foundation: Crawlspace/Monolithic Slab/Slab

Order online at builderhouseplans.com or call 1.800.634.4773 9

SPECIAL ADVERTISING SECTION

Immersive Outdoor Living

PLAN CODE: 1074-33 Style: Southern Square Footage: 2,350 Bedrooms: 4 Bathrooms: 3.5 Dimensions: 75' 11" x 65' 1" Foundation: Crawlspace/Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773

EASY INDOOR-OUTDOOR LIVING

PLAN CODE: 1074-41 Style: Modern Square Footage: 3,976 Bedrooms: 4 Bathrooms: 4.5 Dimensions: 94' 4" x 69' 3" Foundation: Crawlspace/Monolithic Slab/Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 10

Second Level

JAW-DROPPING GRILLING PORCH

SPECIAL ADVERTISING SECTION

Immersive Outdoor Living

PLAN CODE: 928-352 Style: Contemporary Square Footage: 4,159 Bonus Space: 233 Bedrooms: 4 Bathrooms: 4.5 Dimensions: 54' x 50' 2" Foundation: Walkout Basement

Main Level

Second Level

Lower Level

MULTIPLE OUTDOOR SPACES

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 430-242 Style: Ranch Square Footage: 2,974 Bedrooms: 3 Bathrooms: 3.5 Dimensions: 86' 8" x 73' Foundation: Crawlspace/Slab

Main Level

VAULTED REAR PORCH

Order online at builderhouseplans.com or call 1.800.634.4773 11

SPECIAL ADVERTISING SECTION

Immersive Outdoor Living

LUXURIOUS ONE-STORY DESIGN This luxurious one-story layout gives clients a lot of room to spread out and relax. An impressive porch in back features an outdoor kitchen and fireplace to create cozy atmosphere. The versatile gameroom can be used in a variety of ways. Check out the island in the master closet.

PLAN CODE: 1074-40 Style: Country Square Footage: 3,690 Bedrooms: 4 Bathrooms: 3.5 Dimensions: 120' 2" x 78' 8" Foundation: Crawlspace/Monolithic Slab/Slab

Order online at builderhouseplans.com or call 1.800.634.4773 12

Main Level

SPECIAL ADVERTISING SECTION

Dazzling Farmhouse Designs

MODEST FARMHOUSE PLAN Simple and modern, this farmhouse design gives homeowners impressive curb appeal and a floor plan full of delightful surprises. For example, you'll find an oversized kitchen that boasts an island (with an eating bar) and a spacious pantry. The open floor plan between the main living areas creates a relaxing vibe and makes this plan feel bigger than it is.

PLAN CODE: 430-247 Style: Farmhouse Square Footage: 1,254 Bedrooms: 2 Bathrooms: 2 Dimensions: 35' 10" x 49' 4"

Main Level

Foundation: Crawlspace/Slab

Order online at builderhouseplans.com or call 1.800.634.4773 13

SPECIAL ADVERTISING SECTION

Dazzling Farmhouse Designs

PLAN CODE: 929-1119 Style: Farmhouse Square Footage: 1,497 Bedrooms: 3 Bathrooms: 2 Dimensions: 59' 4" x 45' 8"

Main Level

CUTE FRONT PORCH

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 51-1166 Style: Farmhouse Square Footage: 2,456 Bonus Space: 378 Bedrooms: 3 Bathrooms: 2.5 Dimensions: 40' x 60' 6" Foundation: Crawlspace

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 14

Second Level

HANDY HOME OFFICE

SPECIAL ADVERTISING SECTION

Dazzling Farmhouse Designs

PLAN CODE: 51-1162 Style: Farmhouse Square Footage: 2,925 Bonus Space: 376 Bedrooms: 4 Bathrooms: 3.5 Dimensions: 73' 10" x 47' 10" Foundation: Crawlspace

Main Level

Second Level

DOUBLE WALK-IN CLOSETS

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 1074-39 Style: Farmhouse Square Footage: 2,534 Bedrooms: 4 Bathrooms: 3.5 Dimensions: 87' 2" x 56' 1" Foundation: Crawlspace/Monolithic Slab/Slab

Main Level

WOOD BEAM CEILINGS

Order online at builderhouseplans.com or call 1.800.634.4773 15

SPECIAL ADVERTISING SECTION

Dazzling Farmhouse Designs

PLAN CODE: 120-262 Style: Farmhouse Square Footage: 1,486 Bonus Space: 513 Bedrooms: 3 Bathrooms: 2 Dimensions: 68' 11" x 51' Foundation: Crawlspace/Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773

Second Level

SMALL FARMHOUSE PLAN

PLAN CODE: 927-1010 Style: Farmhouse Square Footage: 2,575 Bonus Space: 336 Bedrooms: 4 Bathrooms: 4.5 Dimensions: 56' x 60' Foundation: Daylight Basement

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 16

Second Level

OPEN-CONCEPT DESIGN

SPECIAL ADVERTISING SECTION

Dazzling Farmhouse Designs

PLAN CODE: 48-1034 Style: Farmhouse Square Footage: 2,062 Bonus Space: 504 Bedrooms: 3 Bathrooms: 2.5 Dimensions: 62' x 63' Foundation: Crawlspace

Main Level

Bonus

TWO PORCHES

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 928-356 Style: Farmhouse Square Footage: 2,252 Bedrooms: 4 Bathrooms: 3 Dimensions: 62' x 72' Foundation: Slab

Main Level

FUNCTIONAL AND COMFORTABLE

Second Level

Order online at builderhouseplans.com or call 1.800.634.4773 17

SPECIAL ADVERTISING SECTION

Dazzling Farmhouse Designs

SPECIAL TOUCHES THROUGHOUT Here's a new farmhouse design with four bedrooms, an open layout, and lots of special touches. For example, the master suite gives homeowners a big walk-in closet and direct access to the laundry room. An optional bonus space could become a home office. The kitchen shows off a large island and plenty of counter space.

Main Level

PLAN CODE: 927-1009 Style: Farmhouse Square Footage: 2,823 Bonus Space: 349 Bedrooms: 4 Bathrooms: 3 Dimensions: 69' x 66' Foundation: Daylight Basement/Slab

Second Level

Order online at builderhouseplans.com or call 1.800.634.4773 18

SPECIAL ADVERTISING SECTION

Relaxing Master Baths

HUGE MASTER SHOWER It's all about the unexpected amenities inside this two-story house plan. First, take a look at the kitchen where a wide island overlooks the living spaces. The master suite treats clients to two sinks, a large shower and soaking tub, and a big walk-in closet. A mudroom in back keeps things organized. Main Level

PLAN CODE: 48-1035 Style: Farmhouse Square Footage: 2,577 Bedrooms: 4 Bathrooms: 2.5 Dimensions: 38' x 55' Foundation: Crawlspace

Second Level

Order online at builderhouseplans.com or call 1.800.634.4773 19

SPECIAL ADVERTISING SECTION

Relaxing Master Baths

PLAN CODE: 928-355 Style: Farmhouse Square Footage: 2,252 Bedrooms: 4 Bathrooms: 3 Dimensions: 62' x 70' Foundation: Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773

Second Level

SPACIOUS LAUNDRY ROOM

PLAN CODE: 929-1121 Style: Cottage Square Footage: 2,465 Bonus Space: 552 Bedrooms: 4 Bathrooms: 4 Dimensions: 47' 4" x 60' 4"

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 20

Second Level

COOL POCKET OFFICE

SPECIAL ADVERTISING SECTION

Relaxing Master Baths

PLAN CODE: 930-526 Style: Classical Square Footage: 2,811 Bedrooms: 3 Bathrooms: 2.5 Dimensions: 41' 6" x 123' 2" Foundation: Basement

Main Level

Second Level

WRAPAROUND PORCH

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 929-1124 Style: Farmhouse Square Footage: 1,827 Bonus Space: 361 Bedrooms: 3 Bathrooms: 2 Dimensions: 45' x 57' 8"

Main Level

BIG SHOWER

Second Level

Order online at builderhouseplans.com or call 1.800.634.4773 21

SPECIAL ADVERTISING SECTION

Relaxing Master Baths

PLAN CODE: 430-245 Style: Farmhouse Square Footage: 2,020 Bedrooms: 3 Bathrooms: 2.5 Dimensions: 71' 6" x 49' Foundation: Crawlspace/Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773

MUDROOM WITH LOCKERS

PLAN CODE: 930-524 Style: Modern Square Footage: 2,415 Bedrooms: 3 Bathrooms: 3.5 Dimensions: 43' 4" x 107' 4" Foundation: Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 22

NARROW-LOT DESIGN

SPECIAL ADVERTISING SECTION

Relaxing Master Baths

SPA-LIKE MASTER BATHROOM This farmhouse plan makes it easy to get around and stay organized, with a mudroom just inside the garage entrance, a large walk-in pantry for the island kitchen, and a huge walk-in closet in the master suite. The mainlevel master features a spa-like bathroom. Main Level

PLAN CODE: 927-1011 Style: Farmhouse Square Footage: 3,009 Bonus Space: 365 Bedrooms: 4 Bathrooms: 4 Dimensions: 60' x 65' Foundation: Crawlspace/Daylight Basement

Second Level

Order online at builderhouseplans.com or call 1.800.634.4773 23

SPECIAL ADVERTISING SECTION

Stunning Kitchens

GENEROUS WALK-IN PANTRY This stunning home features all kinds of impressive details, like ceiling treatments that draw the eye up. The open floor plan creates flow around the kitchen island. Don't miss the upscale master bathroom or the walk-in pantry.

PLAN CODE: 930-525 Style: Ranch Square Footage: 2,535 Bedrooms: 3 Bathrooms: 3.5 Dimensions: 43' 8" x 107' 4" Foundation: Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 24

SPECIAL ADVERTISING SECTION

Stunning Kitchens

PLAN CODE: 51-1173 Style: Craftsman Square Footage: 2,793 Bonus Space: 258 Bedrooms: 3 Bathrooms: 2.5 Dimensions: 49' x 68' 6" Foundation: Crawlspace

Main Level

Second Level

EXTRA-LARGE KITCHEN ISLAND

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 923-197 Style: Farmhouse Square Footage: 2,351 Bonus Space: 654 Bedrooms: 3 Bathrooms: 2.5 Dimensions: 78' 10" x 67' 10" Foundation: Crawlspace/Slab

Main Level

UPSCALE AND RUSTIC

Bonus

Order online at builderhouseplans.com or call 1.800.634.4773 25

SPECIAL ADVERTISING SECTION

Stunning Kitchens

PLAN CODE: 51-1163 Style: Farmhouse Square Footage: 2,655 Bedrooms: 4 Bathrooms: 3.5 Dimensions: 76' 6" x 61' Foundation: Crawlspace

Main Level

Second Level

PREP KITCHEN

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 1070-134 Style: Farmhouse Square Footage: 3,168 Bonus Space: 376 Bedrooms: 3 Bathrooms: 3.5 Dimensions: 52' x 55' Foundation: Crawlspace

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 26

Second Level

Bonus

TWO-STORY MODERN FARMHOUSE

SPECIAL ADVERTISING SECTION

Stunning Kitchens

PLAN CODE: 51-1167 Style: Farmhouse Square Footage: 2,657 Bonus Space: 277 Bedrooms: 3 Bathrooms: 2.5 Dimensions: 49' x 68' 6" Foundation: Crawlspace

Main Level

Second Level

WALK-IN PANTRY WITH BUILT-INS

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 929-1118 Style: Ranch Square Footage: 1,486 Bonus Space: 370 Bedrooms: 3 Bathrooms: 2 Dimensions: 63' x 60' 8"

Main Level

Bonus

ONE-STORY RANCH DESIGN

Order online at builderhouseplans.com or call 1.800.634.4773 27

SPECIAL ADVERTISING SECTION

Storage Solutions

GENEROUS MUDROOM Curb appeal abounds with this farmhouse plan. The easygoing layout flows from the great room into the island kitchen, and also out to the spacious rear porch. A mudroom with lockers keeps things tidy. The large island in the kitchen overlooks both the great room and the open dining area.

PLAN CODE: 430-240 Style: Farmhouse Square Footage: 2,002 Bedrooms: 3 Bathrooms: 2 Dimensions: 79' 6" x 49' 8" Foundation: Crawlspace/Slab

Order online at builderhouseplans.com or call 1.800.634.4773 28

Main Level

SPECIAL ADVERTISING SECTION

Storage Solutions

PLAN CODE: 430-239 Style: Farmhouse Square Footage: 1,301 Bedrooms: 2 Bathrooms: 2 Dimensions: 45' 6" x 64' 4" Foundation: Crawlspace/Slab

Main Level

LAUNDRY ROOM WITH BUILT-INS

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 1074-32 Style: Farmhouse Square Footage: 2,300 Bedrooms: 4 Bathrooms: 2.5 Dimensions: 76' x 65' 8" Foundation: Crawlspace/Slab/Stem Wall Foundation

Main Level

WELCOMING FRONT PORCH

Order online at builderhouseplans.com or call 1.800.634.4773 29

SPECIAL ADVERTISING SECTION

Storage Solutions

PLAN CODE: 927-1008 Style: Farmhouse Square Footage: 2,732 Bonus Space: 334 Bedrooms: 4 Bathrooms: 3.5 Dimensions: 71' x 68' Foundation: Crawlspace/Daylight Basement/Slab

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773

Second Level

OPTIONAL BONUS ROOM

PLAN CODE: 437-126 Style: Farmhouse Square Footage: 3,059 Bedrooms: 4 Bathrooms: 4 Dimensions: 62' x 82' Foundation: Walkout Basement

Main Level

Order online at builderhouseplans.com or call 1.800.634.4773 30

Lower Level

PRACTICAL LAYOUT

SPECIAL ADVERTISING SECTION

Storage Solutions

PLAN CODE: 21-462 Style: Farmhouse Square Footage: 2,041 Bonus Space: 462 Bedrooms: 3 Bathrooms: 2 Dimensions: 60' x 72' 10" Foundation: Crawlspace/Slab

Main Level

Bonus

GARAGE STORAGE SPACE

Order online at builderhouseplans.com or call 1.800.634.4773

PLAN CODE: 51-1169 Style: Farmhouse Square Footage: 2,112 Bonus Space: 280 Bedrooms: 3 Bathrooms: 2 Dimensions: 62' x 64' 4" Foundation: Crawlspace

Main Level

Bonus

TIMELESS AND ELEGANT

Order online at builderhouseplans.com or call 1.800.634.4773 31

You’re a Pro.

Shop for House Plans Like One. The Builder Advantage Club is free to join and only open to building professionals.

% OFF

YOUR FIRST PLAN PURCHASE!

CALL 855.598.5169 AND REFERENCE CODE BUILDERMAG Some exclusions apply

Discover more at BuilderHousePlans.com We’ve made it easy to find the right design • More photos and images • Free tools to save plans and searches

• Advanced search filters • Curated collections to solve your building challenges

YOU WON’T BELIEVE WHAT THIS HABITAT FOR HUMANITY BUILDS WITH How the Colorado project achieves surprising affordability, quality, and constructability.

The requirements for the new 18-unit townhome community in scenic Woodland Park, Colo. may be unlike anything you’ve ever seen. The nine two- and three-bedroom duplexes must be certified net-zero ready, achieve at least LEED Gold certification, and be mostly built with unskilled local volunteers. They also must be priced for a buyer making 60 to 80 percent of the area median income. Welcome to Trailhead Townhomes, a Habitat for Humanity of Teller County project that tackles the county’s grave lack of workforce housing in ways that reimagines the organization’s 45-year-old mission.

Habitat for Humanity volunteers attend a training on how to use insulated concrete forms (ICF) for the build of Trailhead Townhomes in Woodland Park, CO.

NEW BUILDING STRATEGY

“Woodland Park is an affluent community,” explains the Habitat Teller County executive director Keith Meier. “The problem is, our police, teachers, nurses, restaurant managers, all the hard-working people that make this a community can’t afford to live here.” Meier knew it was time to rethink the usual one-anddone annual home project. The chapter decided to build an entire neighborhood. Audacious? You bet. To help realize the vision, the chapter enlisted Mark Bowers, AIA, principal-in-charge of Denver-based AW Architects. LOGICAL SOLUTION

Bowers says an early conversation with the general contractor, High Performance Structures, was an epiphany. “Yes, we can do stick built, they advised. But let’s think through the objectives. Why not ICF (insulated concrete forms)? Not just ICF for the foundations, but the whole house,” Bowers recalls.

Some in the home building trade may think ICF construction—stacking foam-framed, Lego-like blocks to create cast-in-place concrete walls—is a specialized, less affordable construction method. That’s a misconception. In fact, ICF ticks off many boxes: b Affordability. “ICF is on track to come in below stick-built,” Meier reports. Townhome mortgage payments may be up to half of a typical monthly rent payment. b Quality. “This is an opportunity to build a better home that’s affordable,” Meier says. “It’s concrete. These buildings will outlive the great, great grandkids. ICF makes so much sense on all levels,” Meier, a long-time architect, observes. b Sustainability. Eight-inch-thick ICF walls are a thermal mass marvel, rated at R26

without extra insulation. The monthly household energy bill is projected at $30 a month and likely zero (or less) with optional photovoltaic panels on the solar-ready roof. Each townhome is hot water-heated with in-floor radiant heat. The project is likely to achieve LEED Platinum certification. b Resilience. Meier says the location has had three forest fires in the last 15 years, often fueled by high country winds (elevation: 8,465 feet). ICF withstands wind speeds up to 250 mph and the concrete core does not weaken, warp, twist, smoke, or burn regardless of fire temperature. b Volunteer Friendly. Sweat equity is central to the Habitat for Humanity philosophy. ICF complements a no-previous-skillrequired spirit with surprising simplicity and volunteer safety. If you can stack Lego blocks, you have ICF figured out. Work is now well underway on the nine duplexes, with ribbon-cutting expected in June. Meier is thrilled by what the project may signal for the future. “This is the right thing to do. ICF is the right solution. I wish we were building a hundred of these, not just 18.”

Learn more about how ICF can transform your next project with affordability, quality, and constructability at BuildwithStrength.com. Produced by Hanley Wood Strategic Marketing Services Group hanleywood.com

Thank you!

to our 2021 Builder 100 Sponsors JOIN US FOR THE 2021 EVENT ON SEPTEMBER 8-10 IN THE RITZ-CARLTON, LAGUNA NIGUEL, DANA POINT, CA.

FOUNDING PARTNER:

TITLE PARTNERS:

GOLD PARTNERS:

SILVER PARTNERS:

BY PANELIZING THE FUTURE

VISIT BUILDER100.COM TO LEARN MORE AND REGISTER!

Why Wait on Tall Profile Siding When Composite Options Are Available? At least one on-trend, award-winning material is shipping now

Is everything in short supply today? Land, lumber, shingles, appliances, windows, lighting, you name it… hardly a day goes by without another disheartening report of shortage or higher cost of building materials. Even vinyl, fiber cement and engineered wood siding are under the gun with lead times extending up to eight weeks or more in many markets. Now add the other big shortage: labor. Combine the two, and you have the makings for another year with fewer new homes to build and sell. What’s a cash flow-minded builder to do? The recent virtual edition of the NAHB International Builders’ Show (IBSx) offers a clue.

2021 IBSX “MOST INNOVATIVE” SOLUTION The 2021 show featured the Best of IBSx Awards. A jury of industry veterans and journalists honored five products, and the winner in the Most Innovative Building Material category was a siding product from Alside called ASCEND. The new composite cladding system is composed of patented glass-reinforced polymer and graphiteinfused polystyrene, or (GP)2 Technology. The fact the new product can be installed with as few as ONE person is a huge plus for builders and subcontractors facing labor shortages. “My vinyl installer had no problems and completed it easily,” reports Greg Rowland, owner of Georgia-based GR Exteriors LLC. “Plus, ASCEND looks great. Everyone thinks it’s fiber cement.” The ease of installation is explained by ASCEND’s self-aligning stack lock, ideal for one-person hanging. No sealing, touching up, joint flashing, or caulking, either. Ditto for weight: An ASCEND

plank weighs just 25% of a comparably sized fiber cement panel.

10 REASONS There may be many reasons why this tall profile siding earned a top honor at IBSx this year. Those factors probably include some or all of these 10 builder and contractor benefits: 1. Speed. Fewer steps, less work and time, faster completion, more jobs per week. 2. Savings. Lowers total installed cladding cost by a minimum of 10 percent. 3. Aesthetics. Tall 7" on-trend flat face and cedar mill grain texture with the look of real wood. 4. Warranty. Lifetime, with labor included through the first five years. 5. Installer Safety. No respirator mask or vacuum saws required. 6. Color. 20 low-gloss and low-maintenance

hues include darks that maintain “like-new” appearance with strong ultraviolet resistance. 7. Fire Rating. Class A Fire Rating for both flame spread and smoke-developed. 8. Wind Resilience. Reinforced and rated to resist wind speeds up to 180 mph. 9. Impact Resistance. Guaranteed to resist up to 1-inch hail stones without damage. 10. Thermal. R-2 for reduced thermal bridging and energy efficiency.

PEACE OF MIND Shawn Hardy understands the stakes in a time of scarcity and delay. The senior vice president of integrated products at Alside says “ASCEND mediates two of the biggest issues facing builders: siding shortages and labor. The homeowner gets a maintenancefree product. It’s peace of mind for both.”

To learn more about how to accelerate home closings with award-winning cladding that’s available now and easier to install, visit ascendcompositecladding.com.

Produced by Hanley Wood Strategic Marketing Services Group

Fresh Façade For the exterior of the volumes, The Bradley Projects selected a locally sourced light brick, which blends well with the landscape and showcases an earthy hue.

21st Century Townhomes

In Nashville, an architect-developer reinvents the traditional townhouse into a modern interpretation with lots of light b y S Y MO N E S T RO N G p h o t o g ra p h y b y F O R D P H O T O GR A P H S

ordering the belmont-hillsboro neighborhood outside of downtown Nashville, Tennessee, on the previous site of the Catholic Diocese of Nashville headquarters, Linden Row adds new contemporary townhomes to a sought-after location minutes from shopping, entertainment, and dining. Unlike traditional residential projects, the modern collection—executed in two phases—was spearheaded by vertically integrated firms that specialize in all three major construction components: architecture, building, and development. Through the architecture firm The Bradley Projects, developing company The Bradley Development Group, and builder Certified Construction Services, president Jared Bradley can operate his businesses under one umbrella or three separate entities, depending on the needs of a project.

For Linden Row, Bradley is part of the ownership and development team, but also serves as the architect of record and the construction company. “To put it into context, I moved to Nashville from San Diego about eight years ago and I was fortunate enough to be around a lot of architects who became developers and builders through their careers. That’s sort of a common business model out West,” says Bradley. “When we relocated, it was a little bit like crickets. It took us the first couple of years to break the mold.” As the architect for the multifamily project that includes 38 single-family townhome units at full buildout, Bradley and his design team studied row homes from both United States and British history and aimed to reinterpret the typology into a modern context. Made up of windows, balconies, and various intentional

M AY 2 0 2 1

⚫

B U I L D E R 45

setbacks, the façade of the volumes take on a modern form that was intended to “ be sculpted from the earth and not something that is picked up and dropped off on the site,” explains Bradley. A locally sourced light brick was chosen for the complete envelope, as the material blends well with the surrounding landscape and provides an earthy palette. Balcony railings were painted the same hue for consistency, but windows were trimmed in a dark color to exaggerate the openings. During their research, the team also noticed townhomes can be really dark in their centers, as continuous fire walls on either side

46 B U I L D E R

⚫

M AY 2 0 2 1

block natural light for the units sandwiched in the middle. Bradley wanted to avoid pockets of darkness and instead create light-filled interiors for every unit. “We basically figured out how to bring natural light deep into the space from the front, the back, and the top,” explains Bradley. “Inside these units, you’ll never see any dark areas. In fact, you don’t need any lights on during the day.” Custom, large-format windows along all outward-facing façades open up the ends as much as possible. Plus, on the third floor of every unit, a cathedral-like volume carries up to the upper roofline, with windows and

oversized skylights that draw daylight deeper into the spaces. “We lifted those spaces up to engage the roof and bring the roof into the floor plan, instead of making the roof another stop,” continues Bradley. “When you are up on those roof terraces, you can look down into your space.” The floor plans range in size from approximately 2,600 to 3,200 square feet and include three levels of interior living space outfitted with a total of three bedrooms and 3 1/2 bathrooms. Owners and their guests can enter the dwellings on the ground floor from two entry points, either the front sidewalks or the rear

B U I L D E R O N L I N E .C O M

Third Floor Plan

Roof

First Floor Plan

Second Floor Plan

MODERN & MINIMAL On the townhomes’ second levels, the design team installed 42-inch, linear gas fireplaces with modern glass openings.

B U I L D E R O N L I N E .C O M

M AY 2 0 2 1

B U I L D E R 47

PROJECTS

two-car garages. A bedroom, or a home office, with an en suite bath completes the amenities on the townhomes’ first levels. For added convenience, the residences also come standard with private elevators that extend to the rooftop terraces. On the second levels, or the entertainment floors, the design team desired open floor plans with clear sightlines and a neutral color palette. The living rooms with modern, glassfaced, gas fireplaces and wide-plank white oak flooring blend with the adjacent dining areas and kitchens. To give the project a luxury look and feel, the kitchens boast Viking appliances, quartz countertops, custom wood cabinetry, and walk-in pantries. En-suite bathrooms were designed with backlit vanity mirrors and coordinating quartz counters, while the master bath retreats include walk-in showers, dual vanities, and soaking tubs. Third floors house the owner’s suites and one of the guest bedrooms, while the above rooftop terraces include gas line access, electrical outlets, and the neighborhood’s city views. “The floor plans work traditionally, in terms of the way that the program works— arrival, party, sleep, roof—but we’ve blended the floors together spatially to blur the edges,” notes Bradley. “When you go inside these spaces, our goal was to focus on the feeling of openness, cleanliness, and a modern, progressive way of living.” Phase one of the project was completed in late 2020 and included 17 of the 38 units. Phase two, which includes the vertical construction of the additional 21 units, is expected to begin this summer with full completion 12 to 13 months beyond the start date. As of print time, the units on the market range in price from $925,000 to $1.2 million and target the younger entertainer demographic that may frequently visit Los Angeles or New York, empty nesters looking to downsize, and physicians and professors, due to the nearby campuses of Belmont University and Vanderbilt University. “We love how it fits in with the community and how it responds to the architectural context around it,” concludes Bradley. “We always look at the theory of concept, content, and context, and I feel like we really nailed it on this project.” B

48 B U I L D E R

⚫

M AY 2 0 2 1

LINDEN ROW Location Nashville, Tennessee Architect The Bradley Projects Builder Certified Construction Services Unit Size 2,600 to 3,200 square feet Site Size 2 acres List Price $925,000 to $1.2 million

B U I L D E R O N L I N E .C O M

BEDROOM LIGHT Large windows from the Pella Architect Series provide copious amounts of natural light in several rooms.

BATH RETREATS Master baths in each of the units are outfitted with dual vanities, walk-in showers, and soaking tubs.

LUXURY FINISHES From the wide-plank white oak flooring to the quartz counters, all the units boast an elevated look and feel.

Our goal was to focus on the feeling of ”openness, cleanliness, and a modern, progressive way of living.” —JARED BRADLEY, president at The Bradley Projects

B U I L D E R O N L I N E .C O M

M AY 2 0 2 1

⚫

B U I L D E R 49

Get more, do more Keep a pulse on the housing market’s rapidly changing landscape through powerful data intelligence and analytical research, in an easy-to-use format.

Visit zondahome.com to get a demo

Construction and design practices that protect the environment are more than a good idea, they're becoming an essential part of doing business. But when it comes to building in a way that truly respects and preserves our limited resources, it's only part of the story.

Building Values That Go Beyond Sustainability SierraPacificWindows.com

800-824-7744

A Division of

Sustainable vertical integration, our unique seed-to-window manufacturing approach. Owning every step of the manufacturing process gives us something no other window company has – complete control of everything from product quality to how we practice environmental stewardship. We’re the only window and door company that builds this way, and it affects everything about us as a company, starting with where we get our wood.

The benefits of being your own supplier. We buy wood from ourselves. Our parent company owns over two million acres of prime forestland, maintained with strict adherence to the environmental protection standards of the Sustainable Forestry Initiative® (SFI). As a result, we'll plant 7 million new trees this year, and schedule frequent visits from our professional foresters and wildlife biologists to help protect wildlife habitat. For generations, we've been growing more than we harvest, to make us more than sustainable. Much more.

Every step of the process helps us do more. The vertical integration manufacturing cycle that produces our world-class windows and doors gives us more ways to protect resources too. We process the wood, convert the lumber, assemble the components, and ship the products. The bark and sawdust left over? It fuels seven cogeneration energy plants that produce energy for our local communities. This approach makes us different. It makes us better at protecting quality, our people, our communities and our environment.

Windows and doors greater than the sum of their parts. Building products this way is an expression of what we value as a company, one that will have lasting effects for generations to come. Increased forest growth reduces greenhouse gasses through carbon sequestration. Vertical integration helps us respect our limited resources. Our goal is to work with you to become part of something bigger than ourselves. And on this point, we will never compromise. Watch our values come to life at sierrapacificwindows.com/videos Or use this QR code to watch our brand video. Find your local representative by using the locator on our website. Find ideas and inspiration by joining our Instagram community.

Stanley Martin Hom mess

virginia-based is s forging o g g ahead with an ambitious o s goal that it plans to meet via organic g o cq s o one o co ic growth and acquisition, company

52 B U I L D E R

M AY 2 0 2 1

Steve Alloyy

market expansion s o e at a time

s o story by

Je e Lash Jennifer s

portrait o by

Co Lenton Colin e to

M AY 2 0 2 1

B U I L D E R 53

iming is everything. In February 2020, two top 100 U.S. home building companies—Reston, Virginia–based Stanley Martin Homes and Columbia, South Carolina–based Essex Homes—were pushing hard to close the deal that brought Essex’s operations and all of its employees under the Stanley Martin umbrella. “We closed on Feb. 25 and had big plans for how to wildly succeed with the integration of over 200 new team members,” recalls Steve Alloy, president and CEO at Stanley Martin Homes, about the acquisition. Those plans—while still a success—shifted significantly when, within weeks, COVID-19 shut down all travel and closed the company’s offices. “If [the deal closing] had been three weeks later, it wouldn’t have happened,” says Alloy, later noting that, thanks to the pandemic-induced housing boom and the cultural fit of the two firms, “it turned out to be the greatest deal ever.” Despite the uncertainty many home builders felt in March and April last year, 2020 turned out to be good for business but fairly quiet in terms of mergers and acquisitions within the industry. But the Stanley Martin and Essex deal was a notable one: The combination of the two companies added more than 1,000 closings to Stanley Martin’s numbers for 2020, resulting in an impressive 11-spot jump to No. 21 on the Builder 100 list (p. 63) with 3,436 closings.

MUTUALLY BENEFICIAL PARTNERSHIP

Karl Haslinger, founder of Essex Homes and current regional president at Stanley Martin, jokes that in hindsight had he known how good of a year 2020 would be for home builders, he might have delayed selling. But just over a year later, he has zero regrets with where he and his company landed with Stanley Martin. “When you get to a certain age, and it’s time to sell your company, you start realizing you only have so many windows to do things in,” he says. “At the time I was 64, and I’m 66 now. It was time to do something. I didn’t want to be 70 and risk going into another downturn.”

54 B U I L D E R

⚫

M AY 2 0 2 1

In looking for a buyer, Haslinger says taking care of his people—225 of them at the time—was a top priority. As soon as talks started with the team at Stanley Martin, he felt at ease. In fact, he never considered any other offers. “With a big builder, like a Lennar or D.R. Horton, I’m not saying anything bad about them, but there are multiple overlaps in markets, which usually means people are displaced,” Haslinger says. “Steve and several of his top managers flew into Columbia, I believe it was December 2018, and literally the meeting and the conversation started out with, ‘If we buy Essex, we’re going to need all of your people. Do you have management and do you have people that will move over in the acquisition?’ Which was exactly what I wanted to hear, I wanted to hear somebody that wanted all of my people and had places for them and

Stanley Martin “started to look at where in the doughnut.’ We covered the central

we’re at and immediately made the comment that ‘this fits like the hole missing piece of geography they were surrounding.”—Karl Haslinger needed to have them. So the conversation really started about people and about corporate culture.” According to Alloy, that kind of fit is exactly what Stanley Martin is looking for and is how it plans to grow its market presence via acquisition going forward. “Karl was really trying to figure out, one day as he retires, what will that look like? He wanted to protect everybody,” Alloy notes. “And because of the beautiful fit with us, there was no overlap. And because we were growing so fast, we needed all the corporate people he had. We wanted everybody. [His team members] recognized, ‘Wow, Karl really took care of us,’ so they had buy-in.” For Alloy, his take on M&A is that “who the company is is more important than the geography.” That being said, the Essex deal was a home run in both areas as Essex was operating in five Southeast markets that were

B U I L D E R O N L I N E .C O M

surrounded by Stanley Martin’s existing markets. “They already had offices in Raleigh, Charleston, and Atlanta,” Haslinger says of Stanley Martin. “They started to look at where we’re at and immediately made the comment that ‘this fits like the hole in the doughnut.’ We covered the central missing piece of geography they were surrounding.”

PATH TO GROWTH

Despite the fact Stanley Martin was founded by Alloy’s father, Martin Alloy, and Stanley Halle in 1966, Steve Alloy never intended to work there. While Steve Alloy was studying at The Wharton School of the University of Pennsylvania, it was “during a time when there was a buying wave of real estate investment

The Springfield at Grantham in Charlotte, North Carolina

Steve Alloy at the Stanley Martin Homes headquarters in Reston, Virginia

M AY 2 0 2 1

⚫

B U I L D E R 55

from Japan into the U.S., and Japan at the time was the new economy to take over the world,” he says. “So I studied some Japanese and went that direction, I thought my career was global. I never thought I’d be at a D.C.-based home building company that my father had founded. The only reason it changed is because the Japanese economy collapsed in 1990-91.” In 1991, Alloy returned to the U.S. and became the land acquisition manager for Stanley Martin. Roughly six months later, the company realized it didn’t have the money to buy new land. “It was the best thing that ever happened to me because instead of getting laid off, I moved into a sales training role and sold houses on the floor.” From there, he held other positions in departments throughout the company, which proved beneficial to prepare him for when his father stepped down in 1998. That’s when, at just 33 years old, Steve Alloy took over as president. “I don’t know how many top 25 CEOs were shoveling curb, taking a fire hose into drainage pipes, and hauling refrigerators, but that’s what I used to do,” laughs Alloy, reflecting on his varied former jobs. “I’ve been in almost every role in the company. It’s incredibly helpful. Lots of people come up through the industry, but often they’re recruited into a management-level role. I have a lot of non-management roles on my resume in our industry.” Alloy has an older brother and a younger sister, but neither of them have current involvement with the company. “None of us were really coming into the home building business,” he says. “It just happened that I shifted there, and it’s been fantastic.”

POSITIONED FOR SUCCESS From its start in the ’60s until 2009, Stanley Martin Homes operated as a single-market family business, building in the Washington, D.C., area. Following that, it joined up with private equity in December 2009 to grow the company coming out of the downturn.

56 B U I L D E R

M AY 2 0 2 1

While 50% private equity owned, Stanley Martin expanded into Richmond and Charlottesville, Virginia, and Raleigh, North Carolina, and it grew from 302 sales in 2009 to 862 sales in 2016. With a six-year time horizon, however, the private equity funds needed to be replaced come 2016. In another bout of good timing, Stanley Martin joined Daiwa House Group, one of Japan’s largest home builders, in February 2017. The expiration of Stanley Martin’s private equity funds nicely coincided with the Daiwa House goal to expand into the U.S. single-family home business. “We had hired a financial adviser to find a replacement for the private equity funds, and the adviser reached out to

2020 CLOSINGS → 10 months only

stanley martin operations from maryland → georgia

1,263

D.C. METRO

173

CHARLOTTESVILLE

CHARLOTTE GREENVILLE

193 186

209 79 AIKEN/AUGUSTA

RICHMOND

RALEIGH

327 16

136 ATLANTA

The Prescott at Fulton Park in Mount Pleasant, South Carolina

507

N.C. COAST

COLUMBIA

153

CHARLESTON

B U I L D E R O N L I N E .C O M

Daiwa House,” Alloy recalls. “In the early meetings, it became evident that they were the absolute best match.” Alloy’s work experience and time spent in Japan—and what he calls a conversational grasp of the language—certainly didn’t hurt, but again, the deal came down to people. “If I think about where Daiwa House was, they weren’t looking to pick a Washington, D.C.–based home builder,” Alloy says, noting that Daiwa House had spent five years looking for the right partner. “You think coming from Japan to find a U.S. partner, you’re probably looking at California or Texas. Maybe Florida. And they picked Washington, and I think the reason was that it wasn’t about the geography, because it was longer term than that. It was about the who. And I think it served them really well, and that’s our approach to [M&A] as well, we’ve kind of mirrored it.” From the start, Daiwa House was explicit about not wanting to change Stanley Martin’s operations, and Alloy attributes that to the partnership being a success. “Where there were synergies, they wanted to apply them,” he says, “and where there weren’t synergies, they said, ‘Do it your way.’” Since joining Daiwa House, Stanley Martin acquired the assets of FrontDoor Communities in February 2018 to enter the Atlanta and Charleston, South Carolina, markets, in addition to completing the Essex Homes acquisition in February 2020 to enter markets in Georgia, North Carolina, and South Carolina.

TECH TRANSITION

While Stanley Martin plans to do and is budgeting for one acquisition per year—“the reason we don’t do more is it takes so much work to integrate,” says Alloy—there was no transaction in 2019 because the company took the time to update its technology platform. “One of the impediments to the industry is that most large companies are on dated systems,” Alloy explains, noting that almost all of the software in the home building space was developed before the iPhone was invented. “It’s a huge lift to change. It’s enormous. But we went through that and changed it, and it’s great. We think it’s a big advantage for us.” The company replaced its existing enterprise software system and launched DXC Homebuilder One, and it upgraded everything to the cloud. It needed to focus on that instead of an acquisition because “it is really hard to do that kind of technology upgrade while growing at the pace we have been growing,” Alloy says. Yet again, timing worked in the company’s favor. “Because we had gone through that massive enterprise process to abandon all of our servers and everything is in the cloud, you can work from anywhere,” Alloy says. “Well, as soon as COVID hit, nobody missed a beat. You could sell houses from your iPhone. It doesn’t matter what device you’re on or where you are—everything works. It became really easy that we weren’t reliant on anything technologically happening locally.”

B U I L D E R O N L I N E .C O M

People: ‘The Secret Sauce’ At Stanley Martin Homes, the people— more specifically, its team members—are the most important thing. “When I took over the business I was 33 years old. I had some experience in the business and outside the business, but it took some years for me to figure out the secret sauce,” reflects Steve Alloy, Stanley Martin Homes president and CEO. “That secret sauce around people came years later. The tinkering to get the culture and the structure right, and to get the right people in the various seats, it took time.” Less than two years ago, the company shifted away from a traditional human resources department toward more of a focus on team and culture. “Knowing we were going to be an acquisition company, it was important that there was a vision to take HR recruiting, learning, and development under this bigger-picture department,” says Debra Fletcher, vice president of team and culture. “My role was created to bring that together strategically.” With the Essex Homes deal, Stanley Martin experienced about 30% growth for its company size. “We were close to doubling in size with one company acquisition,” Fletcher says. “What is exciting now as we get bigger are the growth opportunities.

Now we are finally getting to a scale where people can move around. People can get to the next role within the company that was previously hard to do.” Stanley Martin conducts various team member surveys, most notably an annual one around Labor Day—and Alloy reads every comment. “In 2020, in the middle of a pandemic, massive growing pains, material shortages, and government approval delays, we had the highest team member survey results in our history,” Alloy says. The main survey, according to Fletcher, covers everything from “broad overall engagement and satisfaction—would you refer someone to work here?—to how are we doing operationally? Are you receiving career development to be successful?” When new members join the company, Alloy puts in face time with each of them— currently via Zoom because of the pandemic. “They all spend an hour with Steve,” Fletcher says. “They introduce themselves and say why they joined the company, and then they get a Q&A with the CEO.” Alloy looks forward to those new-hire meetings, which are just one part of how the company promotes and fosters a positive culture. “If we keep taking care of our team, everything else will work,” Alloy says.

Some members of Stanley Martin’s executive team (left to right): Michael Barrett, Atsuo Suzuki, Debra Fletcher, Steve Alloy, Randy Kotler, Lisa Lausten, Nick Jones, Carla Pezzullo

M AY 2 0 2 1

B U I L D E R 57

In mid-March, mere weeks following the close of the Essex deal, Alloy became symptomatic with what he calls a “really bad case” of COVID-19. He had a fever for 15 days and considers the timing of his symptoms coming on the heels of the shutdown of the company’s offices to be lucky. “I think one of the things that helped us is that I was one of the first people in the area to get COVID,” says Alloy. “We mandated closed offices. We took it very seriously. The investment in people alongside the investment of technology made a huge difference for us.”

LOVE OF LAND

Alloy remembers being in bed with a COVID fever, worrying about occupancy permits and cash flow. One thing that reassured him is the fact the company has Daiwa House standing behind it. Another was the lack of hesitancy his firm had regarding land opportunities. “Our philosophy in every downturn, it’s always keep selling,” Alloy says. “Nothing good happens when we stop selling. We kept selling, and it kept working. Another thing we did during COVID, very early, we said all of the public builders will likely hesitate on land—now is the time to go sign up land contracts. That was in April. So in April, our land team started saying, ‘Hey, we’re in, we’re ready.’

58 B U I L D E R

⚫

M AY 2 0 2 1

We signed so many land contracts in April and May that are now really paying off for us.” Land is precisely how Stanley Martin, the No. 2 builder in the D.C. area, has competed with NVR, the No. 1 builder in D.C. and No. 4 on the Builder 100, for the past 30-plus years. Not only are the firms operating in the same market, but also within the same office park in Reston. “Our towers are next to each other,” Alloy says. “We have always had this thing because NVR is land light, and how would we compete by the No. 1 market-share builder? One of the ways we compete is our approach to land is land heavy. We do lots of complicated land transactions. NVR made us better at the land business, because we had to be. We love land. Land is how we thrive. Fortunately, we’re capitalized to be able to do that.”

THE LONG GAME

The best part about Stanley Martin’s growth story is that it’s just beginning. Alloy says things are “very long term” with Daiwa House, noting that during his first meeting with its team members, they shared their 100th anniversary target, and “at the time I think they had 30, 40 years to go?” Stanley Martin itself has a published plan through 2030. Ultimately, the long-term goal is for the firm to be a

The Edison II at Cresset Overlook in Durham, North Carolina

B U I L D E R O N L I N E .C O M

Build better. Build beyond. Build for sure.

Discover more at buildforsure.dupont.com © 2021 DuPont. All rights reserved. DuPont™, the DuPont Oval Logo, and all trademarks and service marks denoted with TM, SM or ® are owned by affiliates of DuPont de Nemours, Inc. unless otherwise noted.

top five builder operating in every major U.S. market. Part of the plan is to hit 10,000 sales by 2030. While Alloy says the company is ahead of schedule, he knows it will need to be larger to break into the top five. (As reference, this year’s No. 5 firm, Taylor Morrison, closed 12,524 homes in 2020.) “I don’t think we make top five in the next 10 years, but I do think we could get there in the next 15,” he says. “There’s no reason to think that if we’re not in Seattle today that we wouldn’t be in Seattle one day. As we’re building a national company, we should be in every major market. It just takes a lot of years. We think about it over decades, not quarters.” There’s no wish list of markets where Stanley Martin wants to be next, although Alloy does point out that it “makes no sense” that the firm isn’t in Florida given its significant presence in the Southeast. “What we really want to do is find the right team that we want to have join the company,” he explains. “We don’t actually care where they are, because we’ll eventually find the team in every market.” As the company continues to expand, Alloy admits growing pains are a definite issue. “We were just trying to figure out how to be a 1,000-home builder for the first time in 2017 when we hit 2,000 sales in 2019, and then the next year we did almost 4,000 sales,” he says. At some point, Stanley Martin hopes to adopt and find efficiencies in some of the building solutions used by Daiwa House in Japan, but they’re not quite there yet.

NET HOME SALES

→ Daiwa House period

4,000

3,000

2,000

1,000

0 2001

2005

2010

2015

2020

“As we’re building a national company, we should be in every major market. It just takes a lot of years. We think about it over decades, not quarters.”—Steve Alloy “They have extraordinary technology and robotics,” Alloy says about Daiwa House. “Their manufacturing plants are like walking into an automotive plant. We’ve been talking for the past few years about how we adopt off-site solutions in the U.S. and what they can help contribute through that. It’s something our team is studying now. We don’t have the answer, but we may be able to benefit from some Daiwa House synergies around manufacturing.” Stanley Martin’s path forward to a nationwide presence includes a mix of growing existing markets and adding new markets through mergers and acquisitions. “It’s a very forward-looking company,” Haslinger says. “If I were to look at the top 50 or 25 [home builders] right now and place a bet, I would bet on Stanley Martin. Daiwa House is a powerhouse. You look at the physical size of that company compared with the largest companies in America

60 B U I L D E R

M AY 2 0 2 1

and you see just how much financial muscle is behind Stanley Martin right now, and that’s huge.” Currently, 75% of Stanley Martin’s business is entry-level or first move-up, and that percentage is growing not shrinking. So while the company is striving toward ambitious growth in the coming years, it’s also determined to stay true to its mission, vision, and values. “Seven years ago we did a huge shift to go affordable with the belief system that affordability will be one of the most important factors in the housing industry in the future,” Alloy says. “That has really served us well with our land positions. How we do great houses that people can afford is a really important part of who we are—it’s what drives us to pursue greater efficiencies. We’re very mission focused to design and build homes at a price that people can afford. That just really simply states what we’re all about.” B

B U I L D E R O N L I N E .C O M

Built to

Succeed despite covid-19 changing daily life in 2020, the top 100 home building firms weathered the storm by

Jonathan Dienhart

when we released our builder 100/next 100 list a year ago,

we were all reeling. Housing starts and new-home sales had contracted in April as lockdowns were ordered and the future increasingly uncertain. Builders were concerned about demand and their ability to stay open. “Housing was crushed for six to eight weeks in March and April, and the general fear was that we were about to live through another housing bust,” notes Ali Wolf, chief economist at Zonda. “Economists, builders, developers, and other housing analysts were scouring for signs of distress, like tracking standing inventory, incentives, and prices cuts.” But then, something happened. As Americans discovered Zoom, became part-time teachers, part-time line cooks, and jigsaw puzzle experts, a sudden focus turned to home. What followed was historic; home sales not only rebounded from April’s decline, but they would accelerate in the coming months. Concerns over demand quickly evaporated and were replaced by concerns over production capacity, labor shortages, and material costs. Zonda’s New Home Pending Sales Index, a residential real estate indicator based on the number of new-home sales contracts signed across the U.S., fell to 90.3 in April 2020,

B U I L D E R O N L I N E .C O M

the lowest reading since its creation. By January 2021, the index skyrocketed to 174.2, a meteoric and unprecedented increase. “Living in one space 24/7 that is our office, gym, restaurant, bedroom, and ‘third place’ forced us to reexamine how, and where, we live,” says Tim Sullivan, senior managing principal at Zonda. “Work from home gave us permission to act upon the realization that we needed better space, possibly a bigger place, and certainly a larger geography to choose from.” The resulting purchases from consumers redefining “home” boosted builders’ financial health, with two-thirds of total survey respondents seeing an increase in their gross margins during the year. Overall, the Builder 100/Next 100 firms accounted for 441,420 new homes in 2020, a 17% increase compared with 2019. Similarly, the $165 billion in associated revenue was a 15% rise over 2019. Also, for the first time in the survey’s history, we’re including single-family build-to-rent homes in our totals. We feel this growing segment is more closely related to production of forsale housing than it is to traditional apartment construction. Read on for the top 100 firms ranked by their 2020 closings, and visit builderonline.com for the full survey results. B

M AY 2 0 2 1

B U I L D E R 63

View and download the entire Builder 100/Next 100 list at builderonline.com

RANK/PRIOR YEAR RANK

C O M PA N Y

2020 U.S. CLOSINGS

RANK/PRIOR YEAR RANK

2020 U.S. CLOSINGS

D.R. Horton ●❖

71,292

Martin Homes ❖ 32 Stanley Reston, VA

3,436

Lennar Corp. ●❖

53,376

Homes 23 Highland Plano, TX

3,361 3,261

PulteGroup ●

24,624

Homes 24 Perry Houston, TX

NVR ●

19,766

—

Taylor Morrison ●

12,524

Homes 26 Gehan Addison, TX

Meritage Homes Corp. ●

11,834

—

DSLD Homes

3,051

KB Home ●

10,672

—

Rausch Coleman Homes

3,029

Clayton Properties Group

9,475

Homes 22 Shea Walnut, CA

2,979

Century Communities ●

9,453

Group 25 DRB Rockville, MD

2,877

Homes ●❖ 10 LGI The Woodlands, TX

9,339

—

Toll Brothers ●

8,496

Homes 28 Woodside Salt Lake City, UT

2,465

Holdings ● 12 M.D.C. Denver, CO

8,158

Villages of Lake Sumter 27 The The Villages, FL

2,346

Homes ● 13 M/I Columbus, OH

7,709

Homes 30 Fischer Erlanger, KY

2,336

Enterprises ● 14 Hovnanian Matawan, NJ

6,414

Homes 29 Drees Fort Mitchell, KY

2,322

Woods Homes ❖ 18 Ashton Alpharetta, GA

5,998

Green Brick Partners ● 34 Plano, TX

2,208

Weekley Homes 17 David Houston , TX

5,560

Homes 41 Legend Houston, TX

2,205

Homes ● 15 Beazer Atlanta, GA

5,492

Homebuilders 33 MHI-McGuyer Houston, TX

2,082

Pointe Homes ● 16 Tri Incline Village, NV

5,123

—

Homes 21 Mattamy Orlando, FL

4,228

Homes ❖ 36 True Monroe, NC

2,004

for Humanity International 20 Habitat Atlanta, GA

3,466

Residential Properties 31 Brookfield Calgary, Alberta

1,929

Arlington, TX

Atlanta, GA

Reston, VA

Scottsdale, AZ

● → PUBLIC

64 B U I L D E R

Miami, FL

⚫

Los Angeles, CA

Maryville, TN

Greenwood Village, CO

Fort Washington, PA

❖ → S I N G L E - F A M I LY B U I L D -T O - R E N T

M AY 2 0 2 1

Dream Finders Homes ● Jacksonville, FL

Denham Springs, LA

Fayetteville, AR

Adams Homes Gulf Breeze, FL

Maronda Homes Imperial, PA

3,154 3,053

2,701

2,070

T O P 10 R A N K I N G S U P D AT E D 5/1 1 /21 D U E T O M I S C A L C U L AT I O N F O R L G I H O M E S .

B U I L D E R O N L I N E .C O M

RANK/PRIOR YEAR RANK

C O M PA N Y

2020 U.S. CLOSINGS

C O M PA N Y

RANK/PRIOR YEAR RANK

2020 U.S. CLOSINGS

GL Homes 37 Sunrise, FL

1,912

View Homes 35 Colorado Springs, CO

1,448

Douglas Homes 39 Smith Woodstock, GA

1,876

Homes 50 Betenbough Lubbock, TX

1,439

Homes ❖ 38 CBH Meridian, ID

1,869

Ivory Homes ❖ 48 Salt Lake City, UT

1,323

Homes 43 Chesmar Spring, TX

1,692

Texas Homes 46 First Dallas, TX

1,273

—

1,647

—

Hayden Homes

1,267

Communities 52 CastleRock Houston, TX

1,628

Communities 49 Minto Tampa, FL

1,217

eld Homes 40 Bloomﬁ Southlake, TX

1,567

Homes 42 Edge Draper, UT

1,200

—

Landsea Homes ●

1,527

Long Lake 47 Houston, TX

1,126

Homes 45 Eastwood Charlotte, NC

1,525

Epcon Communities 53 Dublin, OH

1,119

Southern Homes 44 Great Irmo, SC

1,471

—

Kolter Homes

1,088

American Homes 4 Rent ●❖

Calabasas, CA

Newport Beach, CA

Redmond, OR

West Palm Beach, FL

BytheNumbers

56,314

the increase in U.S. closings by the top 100 firms in 2020 compared with the year prior

of the top 100 firms are active in the single-family build-to-rent segment

SOURCE → 2021 BUILDER 100 SURVEY

B U I L D E R O N L I N E .C O M

M AY 2 0 2 1

B U I L D E R 65

View and download the entire Builder 100/Next 100 list at builderonline.com RANK/PRIOR YEAR RANK

C O M PA N Y

2020 U.S. CLOSINGS

RANK/PRIOR YEAR RANK

C O M PA N Y

2020 U.S. CLOSINGS

Homes ❖ 57 HistoryMaker Grapevine, TX

1,045

Park Square Homes 56 Orlando, FL

726

South Properties ❖ 67 Ole Murfreesboro, TN

1,015

Pacesetter Homes 90 Pflugerville, TX

723

Legend Homes ❖ 66 American Lewisville, TX

980

Communities 72 Empire Vaughn, Ontario

711

—

969

—

Homes By Taber

704

Communities 54 Neal Sarasota, FL

954

Martin Builders ❖ 94 Stone Opelika, AL

670

—

BBL Building Co. ❖

935

Properties of America 80 Elite Colorado Springs, CO

668

—

Megatel Homes

921

and Cates Communities 87 Caviness Fayetteville, NC

660

& Son Cos. 63 McBride Chesterfield, MO

917

Corp. 77 HHHunt Glen Allen, VA

653

Community Builders 55 MileStone Austin, TX

903

—

Homes by WestBay 74 Riverview, FL

847

Homes 88 Hubble Meridian, ID

650

Allen Edwin Homes 58 Portage, MI

831

Creations ❖ 83 Home Moore, OK

635

Homes 69 Saratoga El Paso, TX

806

Homes 68 Lombardo Shelby Township, MI

635

Westin Homes 62 Sugarland, TX

806

Homes 136 Davidson Huntsville, AL

630

Stylecraft Builders 64 College Station, TX

804

—

Journey Homes

626

Saint Aubyn Homes 71 Colorado Springs, CO

800

Homebuilders 96 Riverside Fort Worth, TX

624

Homes 59 Fulton Tempe, AZ

798

Homes 75 ICI Daytona Beach, FL

623

Resort Communities 65 Robson Sun Lakes, AZ

796

—

Homes 79 Knight Fayetteville, GA

759

Built Homes 89 United Shreveport, LA

609

Classic Homes ❖ 73 American Jacksonville, FL

746

Homes 128 Colina Houston, TX

597

—

744

100

Homes 70 Ball Lexington, KY

596

● → PUBLIC

66 B U I L D E R

⚫

Holiday Builders Melbourne, FL

Plano, TX

Dallas, TX

Impression Homes Southlake, TX

Edmond, OK

John Houston Custom Homes

Red Oak, TX

Greeley, CO

The Challenger Group

Colorado Springs, CO

650

619

❖ → S I N G L E - F A M I LY B U I L D -T O - R E N T

M AY 2 0 2 1

B U I L D E R O N L I N E .C O M

h e a rt h st o n e builder

Humanitarian Award

he global pandemic has impacted our commu-

nities in so many ways. One of the unfortunate effects of school closures, economic uncertainty, and isolation has been an increased risk of violence against children, both within the home and online, according to a report by the World Health Organization. Worldwide, one out of two children suffers some form of violence each year—a staggering statistic. This year's

Hearthstone BUILDER Humanitarian Award recognizes someone who has been working

to combat child abuse for more than two decades. Florida real estate developer Edward Burr

EDWARD BURR launched a nonprofit that is leading the way by educating and empowering young people.

Story by

68 B U I L D E R

⚫

M AY 2 0 2 1

ly d i a l e e

Portrait by

ryan ketterman

B U I L D E R O N L I N E .C O M

College of Business 2019 Alumni Hall of Fame inductee at Florida State University.

“The prevention education programs that the Monique Burr Foundation has provided to over 5 million children and teens throughout Florida and the U.S. is truly inspiring.”–Mark Porath 70 B U I L D E R

⚫

M AY 2 0 2 1

akesha burton, assistant chief in Jacksonville, Florida’s Sheriff’s Office, understands what it’s like to feel helpless. One of an estimated 60,000 minors who are victims of sexual abuse each year in the U.S., she was 12 when her stepfather began to molest her. The abuse continued for the next four years, until Burton told a police officer. Her stepfather went to jail, and Burton decided to pursue a career in law enforcement. In 2016, she helped to pilot a Monique Burr Foundation for Children (MBF) after-school program designed to prevent not only sexual abuse, but also bullying and cyberbullying. “You just see that knowledge is power,” says Burton. “Had I had this training in fifth grade, I wouldn’t have been molested.” MBF, which has educated more than 5 million children in Florida, shows how big a difference one person can make. Edward Burr, the CEO of GreenPointe Holdings in Jacksonville, started the foundation in 1997 in honor of his late wife. Like Burton, personal tragedy also led Burr to look for ways to serve the community. “Hearthstone is proud to recognize Mr. Ed Burr as our 2021 private home builder winner for 25 years of dedication and support to educate and protect children and teens from all types of bullying, abuse, and victimization,” says Mark Porath, CEO of Hearthstone. “The prevention education programs that the Monique Burr Foundation has provided to over 5 million children and teens throughout Florida and the U.S. is truly inspiring.” Burr’s own story is also inspiring. A native of Jacksonville, he longed to be a professional athlete. He was captain of his high school football team and went to the University of Tampa on a football scholarship, but quickly realized that he didn’t have the physicality of other players. Switching gears, he left before the football season started and transferred to Florida State University. The first person in his family to go to college, he supported himself through school by working as a bartender and studied accounting. In his senior year, he began dating a freshman named Monique Anne Carsten, who was a marketing major.

B U I L D E R O N L I N E .C O M

h e a rt h st o n e builder

Humanitarian Award

FSU Photography Services (left); Courtesy GreenPointe Holdings

TrailMark is a master-planned community in St. Johns County, Florida.

Burr took a job with the accounting firm Coopers & Lybrand in Miami after graduating in 1979. His first client was a real estate developer, and Burr developed expertise in that area, joining Coopers & Lybrand’s real estate group. He transferred to the firm’s New York City office. But after the death of his father in 1984, he began spending more time in Florida. In 1986, he and Carsten, who was working in sales for Xerox, moved back to Jacksonville and got married. Shortly thereafter, Burr started his own real estate development company, LandMar Group. He saw an opportunity to create something different with Osprey Pointe, a development with 276 single-family lots. “It was the first community in Jacksonville that was highly amenitized, but wasn’t a country club. It had a nice clubhouse, swimming pools, tennis, and architectural review controls—our tagline was ‘Country club living without the golf course,’” he says. He continued to build more planned communities. When he started working on his first golf-course community, he cofounded a company, Hampton Golf and Lifestyles Management, in order to have quality control over those amenities. Meanwhile, Monique Burr launched a career in children’s advocacy. After moving to Jacksonville, she started a franchise of the health care staffing company Norrell.

B U I L D E R O N L I N E .C O M

AT A GLANCE

Company _ GreenPointe Holdings loCation _ Jacksonville, Florida title _ President and CEO number of employees _ 30 age _ 64 other philanthropists i admire _ Great businessmen and women who also give so much back to their communities. There are many of them in our industry, including [Jacksonville real-estate developer] Peter Rummell, [chairman and CEO of ICI Homes] Mori Hosseini, and [CEO of Lennar] Stuart Miller. Our industry generates people that recognize the need to give back. if i had unlimited funds for philanthropy, i would _ Make sure that every child in America and around the world had the benefit of MBF abuse prevention programs. I can promise you that lives would be changed if they had our programs. Ninety-five percent of women in prison were sexually abused. This program won’t just change lives. It will change generations.

M AY 2 0 2 1

⚫

B U I L D E R 71

h e a rt h st o n e builder

Humanitarian Award

out as a private operating foundation and funded a range of child advocacy programs, including a sexual abuse prevention program called “Good Touch, Bad Touch.” In 2008, MBF hired a new executive director, Lynn Layton. She helped the organization transition into a nonprofit and developed Child Safety Matters, which continues to be the only comprehensive, evidence-based program for abuse prevention education. “If a child is victimized in one way, they are much more likely to be victimized in another,” says Burr. “Therefore, research tells us the best way to protect children is to provide tools and strategies they can use anytime they do not feel safe.” The MBF programs cover four types of child abuse—neglect, emotional abuse, physical abuse, and sexual abuse—in an age-appropriate way. By 2007, LandMar was responsible for 30,000 homesites in Florida and coastal Georgia. That year, Burr sold his interest in the company to his financial partner—for reasons that had nothing to do with the subsequent recession. But the timing was fortuitous. To take advantage of the market

“Ed is a very compassionate man.” –Lakesha Burton

72 B U I L D E R

⚫

M AY 2 0 2 1

distress, Burr promptly started a new company, GreenPointe Holdings. Today, it has 14 communities completed or under development, including the Quay, an ambitious 14-acre mixed-use waterfront development in Sarasota, Florida. “Ed and his team have developed some of the most sought-after residential and mixed-use communities in the Southeast,” says Rick Beckwitt, co-CEO and president of Lennar, who nominated Burr for the Hearthstone award. “Ed is a trusted business partner for Lennar and has a big heart. He is constantly there to help those around him and always does the right thing for the right reasons.” In addition to his involvement with MBF, Burr also has put his energy and resources into several other community organizations. He has served as chair of Florida State University’s board since 2014; spent eight years on the board of the local transportation authority; and was a board member of the local chamber of commerce for 12 years. “Ed is a very compassionate man,” says Burton. “He is very authentic, genuine, and trustworthy—I can’t say enough about him.” B

B U I L D E R O N L I N E .C O M

Abby Magill

The Dream Finders Homes MBF Champions for Child Safety Pro Am Golf Tournament is a vital source of funding for the foundation.

She noticed that there was a gap in services for sick children and infants. To address this need, she sold her franchise and opened the nonprofit PALS Center, one of the nation’s first prescribed pediatric extended care facilities— essentially, a specialized day care for children requiring medical assistance. She also began serving on the board of the Children’s Crisis Center, a local nonprofit in charge of handling all cases of child abuse in northeast Florida. In 1996, Ed and Monique Burr went to California’s Napa Valley, where they had honeymooned, to celebrate their 10th wedding anniversary. They were driving along the celebrated Silverado Trail when an oncoming truck blew a tire and smashed into their car, killing Monique, who was 36, and injuring Ed. Their sons, who were at home in Jacksonville, were 2 and 5 years old. The next year, Ed Burr started MBF. “I wanted to try to hold on to my wife—and especially hold on to her memory for my children—by having the foundation and being actively involved in the work that she was doing,” he says. Launched with a $1.4 million endowment, MBF started

Here for you, so you can be there for your clients Now more than ever, our entire team is rising to the challenge of serving our incredible customers. We know how hard you’ve been working – not just this past week, or last month, but while managing the volumes of the past year. Pricing, pipeline and capacity are interconnected, and we’re monitoring all three to make the best decisions for your customers and business. Here’s how we can help: Reliable preapprovals — with preapprovals you can count on, you’ll feel confident your buyers are ready to purchase. Home financing options — no two buyers are alike, that’s why we provide a wide variety of financing options to meet your buyers’ unique needs. Ongoing communications — keeping everything moving along towards closing.

Start-to-finish support — your buyers will have the support they need to make well-informed decisions. Along with support, your buyers may wish to protect and extend their interest rate range. Our Builder Best® Extended Rate Lock program lets buyers lock down a range of interest rates for 6 and up to 24 months. A required, non-refundable extended rate lock fee may apply. Or if you have spec homes that are ready to sell, our Builder Spec Lock program allows you to lock in a current interest rate range for either 90 or 120 days.1 A nonrefundable fee is required.

Let’s work together to help more home shoppers become homeowners. Kelly Ann Zuccarelli National Sales Manager of New Construction and Condominium Finance 732-977-5366 kellyann.zuccarelli@wellsfargo.com

1. The loan must close within the remaining term of the lock-in period. If rates have improved, the homebuyer can take advantage of current rates by registering a new lock. Restrictions apply This information is for real estate and builder professionals only and is not intended for distribution to consumers or other third parties. Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A. © 2019 Wells Fargo Bank, N.A. All rights reserved. NMLSR ID 399801 AP58719592 04/2021

h e a rt h St o n e builder

Humanitarian Award

hrough both internal programs, such as

Build Joy, an annual campaign that distributes funds to employees to give back to their local communities, and external ventures, such as serving as the chairman of HomeAid America for the past two-and-a-half years, Taylor Morrison chairman and CEO Sheryl Palmer has demonstrated a lifetime to public service in a variety of ways. For her dedication

to building communities and making a positive difference in the lives of her employees and

SHERYL PALMER customers, Palmer has been awarded a 2021 Hearthstone BUILDER Humanitarian Award.

Story by

B U I L D E R O N L I N E .C O M

Symo n e St ro ng

Portrait by

Colin lenton

M AY 2 0 2 1

⚫

B U I L D E R 75

h e a rt h st o n e builder

Humanitarian Award passion for public service has been ingrained in Sheryl Palmer’s way of life since age 16, when she worked for McDonald’s as a community relations representative. In the role, she would dress up as some of the restaurant’s iconic characters, such as the Hamburglar or Mayor McCheese, and go into hospitals to visit sick children. “It’s going to sound really silly, but the Hamburglar was a hated character because he stole the kids’ burgers,” says Palmer. “When I went into hospitals, I got to give. The Hamburglar wasn’t allowed to talk, so it was through your actions and creating relationships with these really sick kids that just wanted to have fun.” From there, Palmer studied special education and teaching at San Diego State University, but after graduation her career path went in another direction. One that would lead her to become the chairman and CEO of Taylor Morrison— No. 5 on the latest Builder 100 list (p. 63)—and a 2021 Hearthstone BUILDER Humanitarian Award recipient. “Hearthstone is proud to recognize Ms. Sheryl Palmer as our 2021 public home builder winner for her leadership and far-reaching efforts that support her team members, customers, and the hundreds of communities in which Taylor Morrison serves,” says Mark Porath, CEO of Hearthstone. As a person, parent, and leader who always chooses to pay it forward, Palmer has fostered a workplace that continually gives back. Taylor Morrison’s employee-value proposition, called TMLiving, includes daily huddles that allow employees to have regular conversations about everyone’s charitable efforts and provide inspiring examples of how team members give back to their communities.

AT A GLANCE

Company _ Taylor Morrison LoCation _ Scottsdale, Arizona titLe _ Chairman and CEO number of empLoyees _

“Rethinking Success” by my dear friend Doug Holladay.

76 B U I L D E R

⚫

M AY 2 0 2 1

America. The impact they make in the communities they serve helping individuals get back on their feet is beyond admirable. I’m honored to be a part of that organization. greatest mentor _ I'd have to say Ray Kroc, the McDonald’s

founder. Without him, the Ronald McDonald House wouldn’t exist, which is core to the DNA of McDonald’s (and my first job). It was there that I first experienced the life-changing impact of giving. proudest CharitabLe moment _ Taylor Morrison’s annual Build Joy program. It brings me immense pride each year to see the heart of our people—the heart of our organization—come out through several acts of kindness.

B U I L D E R O N L I N E .C O M

Courtesy Taylor Morrison

Approximately 3,000 age _ 59 favorite quote _ “My mission in life is not merely to survive, but to thrive; and to do so with some passion, some compassion, some humor, and some style.”—Maya Angelou reCommended reading _

This book helps individuals think about their life differently, and gives you the tools and perspective to find greater meaning at work, at home, and within our communities. Charity of ChoiCe _ HomeAid

“We build communities literally and figuratively,” says Palmer. “It’s one of the core tenets around our commitment to serving our communities.” Palmer has also established the TM Care Fund, run in partnership through the St. Louis Community Foundation, to help team members with financial burdens during trying times. If needed, an employee can request and receive $2,000 up to three times throughout their career for events like natural disasters, serious illnesses or injuries, or death where loss of income, funeral costs, or uninsured medical expenses impact the ability to cover basic living expenses. Beyond TMLiving and the TM Care Fund, Palmer and her team launched Build Joy in 2017, an annual internal campaign. In lieu of one large donation to a charity, the builder asks its employees, “If you were given $1,000 to ‘build joy’ in your community, how would you spend it?” Each year, from hundreds of submissions, roughly 10 people are selected to bring their ideas to life. “An individual in Denver may submit the request, but the whole division comes together,” Palmer explains. “It is so inspirational for me to know that’s part of the DNA of this organization.” Outside of Taylor Morrison, Palmer has served as chairman of the board for HomeAid America, which is devoted to building new lives for America’s homeless population through housing and community outreach, for a two-and-

“We build communities literally and figuratively.” –Sheryl Palmer

a-half-year term that ends July 2021. Under her leadership, Taylor Morrison has deepened its chapter presence with involvement in 12 HomeAid chapters across the U.S. The divisions partner with HomeAid to build and refurbish housing options for local homeless residents, including building tiny homes in Austin’s Community First! Village, renovating a North Georgia shelter for young women in foster care, and renovating apartment homes for veterans in Sacramento. Palmer also helped spearhead the creation of the Building Talent Foundation, a nonprofit founded by the Leading Builders of America to address the industry’s labor shortage. As chairman, Palmer aids the organization in building a robust, sustainable talent pipeline nationwide. In addition, Palmer has partnered with the National

B U I L D E R O N L I N E .C O M

Wildlife Federation to restore and protect wildlife habitats in the builder’s communities, has participated with Habitat for Humanity Sarasota’s Veterans Build program, and has been involved with Special Olympics. “Sheryl has created a reputation for herself and Taylor Morrison unlike any in the industry, simply by being her authentic self and having a passion for giving back,” says Alice Giedraitis, director of corporate communications, in Palmer’s nomination form. “Through her leadership, employees strongly desire to work for Taylor Morrison, customers are validated in their decision to choose Taylor Morrison, and the communities in which Taylor Morrison builds benefit from its commitment to bettering the places and neighborhoods customers call home.” B

(Far left) HomeAid's tiny house ribboncutting ceremony in Austin, Texas. (Top to bottom) The Construction Skills Boot Camp in Littleton, Colorado. Palmer at the Management Conference in 2019.

M AY 2 0 2 1

⚫

B U I L D E R 77

A NEW ERA OF IPOs?

The public markets welcomed Floridabased Dream Finders Homes with strong valuations, but questions remain whether more private builders will follow suit

LES SHAVER i l l u s t r a t i o n s by

NEIL WEBB

in 2017, the executive team at dream finders Homes in Jacksonville, Florida, began to put the infrastructure and processes in place to eventually launch an initial public offering (IPO). Over the next three years, the company worked toward that goal, but it wasn’t urgently striving to hit the public markets by a certain target date. But in June 2020, Dream Finders executives decided it was time. While it may seem odd to kick off the IPO process in the middle of a global pandemic, Dream Finders’ management team determined that the market was open for the company because of its asset-light model focused on entry-level homes in the Southeast. As the firm went through the process, home building multiples were improving through the pandemic. “We always had it as a three- to four-year goal, but coming out of COVID, we realized the acceleration in the housing sector probably presented a good time to move forward with it,” says Rick Moyer, senior vice president and chief financial officer at Dream Finders, about going public.

B U I L D E R O N L I N E .C O M

M AY 2 0 2 1

⚫

B U I L D E R 79

After completing the Securities and Exchange Commission (SEC) process to become a public company, Dream Finders stock began trading Jan. 21, under the ticker symbol “DFH,” becoming the first home builder IPO since Century Communities in 2014. When the shares were released, investors snapped up stock like it was a hot tech innovation from Silicon Valley. On its first day of trading, Dream Finders’ shares closed 61% higher. The reception surprised many longtime public home builder watchers. The market is usually more cautious when small-cap builders, like Dream Finders, go public, according to Tony McGill, head of investment banking at Zelman Associates. There’s little doubt that other private builders have taken note of that strong debut. “There are a handful of groups that are giving it a hard look,” McGill says. “Nothing is imminent, but that can change quickly. Dream Finders has a lot of people thinking more seriously about it.” As other private builders look to accumulate land, scale up, and cash in on robust demand for new homes, an IPO could be one way to generate cash for growth. But there are questions about how long the IPO window will remain open and how many builders might try to push their way through.

“DREAM FINDERS DID WELL BECAUSE IT HAS A UNIQUE ASSETLIGHT STRATEGY THAT ALLOWS FOR A GREAT RETURN ON CAPITAL METRICS, WHICH IS WHAT INVESTORS LIKE.” —DREW MACKINTOSH Strong Investor Appetite Dream Finders, No. 24 on the latest Builder 100 list (p. 63), isn’t the only company to benefit from the white-hot home sales market of the past year. Since the stay-at-home orders were issued across the country in March 2020, home builder valuations have jumped. Two indexes that show the health of publicly traded home builders, the iShares U.S. Home Construction Exchange Traded Fund (known as the ITB) and SPDR S&P Homebuilders Exchange Traded Fund (known as the XHB) have jumped 184% and 187%, respectively, from March 23, 2020, to March 26, 2021. While the strong home sales market is pushing valuations, it’s not the only reason. “Valuations in the space are also a product of all of the Federal Reserve stimulus,”

80 B U I L D E R

⚫

M AY 2 0 2 1

McGill says. “Liquidity and yields are so low that the investment community is willing to pay today what they ordinarily would have waited until year two or three or more in the future [to pay].” Jamie Pirrello, president of the Southeast and Texas regions at Century Communities—ranked No. 10 on the Builder 100—sees many of the same trends driving home building valuations. “Clearly, investors have felt good about the home building sector over the last year,” he says. “If you look at home builder prices, all of them have traded very positively. In that regard, for Dream Finders, it was a good time to go and it was smart of them to go.” There were other factors specific to Dream Finders that set the builder up well for its public debut. For one thing, it has a land-light model that boosts valuations. Just look at No. 4 builder NVR, which has been trading at a premium to the overall home building sector for years. “Dream Finders did well because it has a unique asset-light strategy that allows for a great return on capital metrics, which is what investors like,” says

B U I L D E R O N L I N E .C O M

Builder Services. For better building.

With more than 4,400 stores and over 3,200 reps nationwide, Sherwin-Williams® offers assistance everywhere you need it, from personalized service to color expertise. We help you exceed homebuyer expectations. For better building.

Visit buildersolutions.sherwin-williams.com

Drew Mackintosh, principal and founder of Mackintosh Investor Relations. “They had that niche of having a unique business model that appealed to investors.” NVR’s success helped potential investors understand Dream Finders’ strategy. “There were a lot of discussions about the comparisons to NVR 25 or 30 years ago and the way we’re operating,” Moyer says. The Florida builder’s focus on entry-level and move-up homes in Sun Belt markets that have been attracting new residents throughout the pandemic—such as Jacksonville and Orlando in Florida and Austin, Texas—also helped feed interest. “Our markets aligned very well with where the migration trends were headed,” Moyer says. Still, despite the positive initial reaction, some analysts have concerns about Dream Finders’ valuation. In February, Bank of America slapped an “underperform” on the company because it anticipated that the builder’s valuation would “normalize.” “We also believe that the valuation premium earned by the premier asset-light home builder, NVR, over the course of 20 years was driven by much more than its land acquisition strategy,” Bank of America said in the report.

The Time Is Now Dream Finders’ IPO success certainly opens the door for more builders to go public. “I think the IPO window is wide open right now,” says Tony Avila, founder and CEO of Builder Advisor Group. “There is a big demand for public stocks right now, including builders.” Margaret Whelan, founder and CEO of Whelan Advisory, agrees. “If there is any home builder that is interested in raising permanent equity and going public, this is absolutely the time to do it,” she says. “The window is wide open from a capital markets perspective, and valuations are high. They also have great business fundamentals in

82 B U I L D E R

⚫

M AY 2 0 2 1

XHB and ITB Stock Price Performance XH B

187% $70.84 ITB

184% $68.53

Source: Zelman & Associates Investment Banking, FactSet; percent increase from March 23, 2020, to March 26, 2021

terms of pricing power, gross margins, and backlog growth, which is driving their cash flow and their returns. So it’s a very good time to think about going public.” In 2013, the window for home builders opened when Tri Pointe Homes went public, and firms such as William Lyon Homes, Taylor Morrison Homes, WCI Communities, UCP, and The New Home Co. followed suit. The window then closed after the Century Communities IPO in 2014, and it remained shut until the Dream Finders IPO in January. “The window opens, but it can just as quickly close,” Pirrello acknowledges. “If you’re a builder and you’re thinking about going public, you want to go fast while the window’s open.” Many events might close the window. Avila sees too much stimulus money being pumped into the economy as a potential issue. If interest rates start climbing dramatically, monthly mortgage payments will inflate as a result. “If we see a significant amount of inflation and high-interest rates, that will dampen the demand for housing,” he says. Affordability is another wild card, according to Avila. “Housing prices running up too fast can create a lack of affordability and the potential for a bubble,” he says.

Pluses and Minuses Despite the path being paved for more IPOs this year, there still may not be a mad rush to the public markets. Sitting at the helm of a public company brings board and analyst oversight and shareholder interaction. That can be a tough adjustment for entrepreneurial builders who are accustomed to not answering to anyone. “There are significant costs and governance required to be a public company, and principals ultimately have to decide whether or not they want to run a public company,” Whelan says.

B U I L D E R O N L I N E .C O M

Designed with the whole home in mind.

Find beauty, durability, and versatility all in one place. Wilsonart® Home offers an endless, customizable selection of engineered surfaces that outperform expectations.

QUARTZ

SOLID SURFACE

H I G H P R E S S U R E L A M I N AT E ( H P L )

Find everything you’re looking for at W I L S O N A R T. C O M / AT H O M E

THINSCAPE® PERFORMANCE TOPS

W E T W A L L™

The Emergence of SPACs over the next 12 to 24 months.

While Dream Finders Homes might

of the work to go public. For certain

have been the first traditional IPO

builders, SPACs could offer an entry

the home building industry has seen

point to the public markets without going

tion point where it expects to grow

in years, it wasn’t the first private

through the traditional IPO hurdles.

dramatically over the next five to 10

builder to hit the public markets.

SPACs have taken the financial

On Jan. 7, LF Capital Acquisition Corp.

“If a company is hitting an inflec-

years, a SPAC may give them more

world by storm over the past couple of

valuation upfront,” Moyer says. But there are advantages to going

and Newport Beach, California–based

years. In 2010, only seven companies

builder Landsea Homes announced that

went public through a SPAC, according

the traditional route. Margaret Whelan,

they closed their previously announced

to SPACInsider. That number hit 59

founder and CEO of Whelan Advisory,

“business combination,” which was initially

in 2019 and jumped to 248 in 2020.

says companies can benefit from a

announced in August 2020. With the

As of March 21, 276 companies had

traditional IPO when they have multiple

closing, LF Capital was renamed Land-

already initiated SPACs in 2021.

underwriters filing research reports,

sea Homes Corp. and began trading on the Nasdaq Stock Market on Jan. 8. What made Landsea unique was that it was taken public through a special purpose acquisition company (SPAC).

There is no doubt more SPACs are

which doesn’t always happen with a SPAC.

coming, and Tony Avila, CEO of Builder

“You get support because you get

Advisor Group, thinks at least a couple

coverage from the research analysts

of those could be home builders.

and also you can put together a credit facility with comments from the banks

SPACs could be helpful for high-

A SPAC, also known as a blank check

growth builders. In that situation,

that have acted as underwriters,”

company, is a corporation listed on a

the SPAC sponsors can perform due

Whelan says. “So when Dream Finders

stock exchange formed to acquire a

diligence over more extended periods.

announced their IPO, they got a cred-

private company and take it public.

With a traditional IPO, companies are

it facility from the lenders within the

limited to projecting growth trends

banks that had worked on the IPO.”

Essentially, the SPAC has done much

SPAC IPO Transactions Source: SPACInsider; as of April 15, 2021

84 B U I L D E R

⚫

M AY 2 0 2 1

YEAR

IP O COUN T

GROS S P ROCEEDS ( MMS)

AV ER A GE IP O SIZE ( MMS)

2021

308

99,842

324

2020

248

83,348

336

2019

13,600

231

2018

10,752

234

2017

10,049

296

2016

3,499

269

2015

3,902

195

2014

1,750

146

2013

1,455

146

2012

491

2011

1,082

2010

503

2009

B U I L D E R O N L I N E .C O M

“GOING PUBLIC OFFERS A DIRECT ROUTE TO RAISING CAPITAL MORE EFFICIENTLY. IT ALSO RAISES THE PRESTIGE OF THE COMPANY.” —TIM SULLIVAN Then there are the performance expectations. If you tell Wall Street you’re going to deliver a certain number of homes, you better follow through. “You have to have the right operational processes up and running because once you’re putting out guidance on closing numbers, your ops teams need to make sure you’re getting the homes built and closed in the right cadence,” Moyer says. “Then, on the back end, you need the finance, accounting, human resources, and legal compliance set up to be a public company.” Despite these extra hurdles, the benefits of being a public company outweighed the additional compliance for Dream Finders. There are reasons to believe other private builders will feel the same. Tim Sullivan, senior managing principal for Zonda, thinks a few more builders will go public. “Going public offers a direct route to raising capital more efficiently,” he says. “It also raises the prestige of the company.” Cheaper capital is an often-cited reason for doing an IPO. And there are tangible financial benefits. Whelan says the cost of equity for public builders is 9% or 10%, which is where the stocks are trading today. Joint-venture equity, on the other hand, costs about 20%. “One of the reasons going public is so popular is because you get access to permanent equity, plus it’s substantially less expensive than private equity,” Whelan says. While Dream Finders could raise a significant amount of capital as a private company, it was difficult to fund ongoing vertical construction and lot acquisition costs once it hit a certain scale. Not only was the company able to get access to public equity, but it also received an unsecured credit facility led by Bank of America with the IPO. “It probably would have taken us a couple of more years to get to an unsecured credit facility, which just allows the company to build and start homes much more rapidly,” Moyer says. If a builder wants to gain scale through mergers and acquisitions or land acquisition, it will need this efficient capital to compete. “We have a tremendous amount of capital looking to invest into the sector,” Avila says. “That creates a tremendous demand to buy companies.”

The Right Candidates? With more IPOs possibly coming, the question becomes what builder profiles would make suitable candidates? A central theme in Dream Finders’ public reception was its land-light model. Mackintosh says he could see other builders with specific niches or “interesting operating models” hitting the public markets. For instance, investors may welcome a company, like Dream Finders, that can consistently produce homes for entry-level buyers. Sullivan agrees, noting builders that have a “unique business proposition” in addition to significant land holdings and operational capabilities will make

B U I L D E R O N L I N E .C O M

good public candidates. “If they only have land and have owners that want to cash out, then they are more of an acquisition candidate,” he says. For builders of a certain size, an IPO could be a viable alternative to selling out to a larger company. In a market where it is already hard to find viable merger-and-acquisition targets, this could make it even harder for builders looking to acquire other companies. “Could Dream Finders potentially make an IPO something that is a higher probability for a very small number of groups?” McGill asks. “It could, possibly, on the margin.” Pirrello sees scale as the driving factor behind a possible IPO. “I don’t think a builder can go public right now if it’s a single-market builder,” he says. “You need more size. And you need to diversify the risk by having multiple markets. I don’t think you’re going to see small builders go public.” To be a viable candidate for an IPO, a builder needs to be in the top 50 of the Builder 100 list, according to both Sullivan and Pirrello. “Given that a company needs significant size to grab attention in the public markets, it is unlikely that builders outside of the top 50 will make the move,” Sullivan says. But that doesn’t mean smaller, fast-growing builders don’t have hope of being public one day. “To get a sense of companies that are not ready but may consider going public in the future, look at the builders that have gone from the bottom of the top 200 list and are rising fast,” Sullivan says. “They are also acquisition candidates.” Whelan also sees a pretty limited pool of potential public companies. “The industry has been getting increasingly consolidated over the last decade,” she says. “There are not a lot of companies that would have the right scale or critical mass to go public.” But for those builders with the right scale and critical mass, the time appears right to make a move. Investors are waiting. “A lot of people are becoming more invested in the home building sector because of the macroeconomic forces—the millennials are coming of age and the baby boomers are moving into their active adult communities,” Moyer says. “There is a big multiyear demand cycle that needs to play out. I don’t believe that’s going away anytime soon.” B

M AY 2 0 2 1

⚫

B U I L D E R 85

Special Advertising Section – Builder’s Best Resources/Classifieds

DIRT GRABBER® BRAND TAKMAT

3 63

)7 00

Visit BUILDERONLINE.COM for industry news and much more

tiv

-6

Tacky surface that grabs and removes the dirt and dust from footwear, cutting the cost of cleanup.

Celebrating 56 Years of Authentic Saunas! We are a cut above the rest with complete custom and precut saunas as well as modular, freestanding saunas that include heater, prehung door, premade benches, and accessories. We use true 1" x 4" Western Red Cedar paneling and have designer etched glass designs. A sauna can be included in new construction, remodel, garage, on a deck, or unused space or closet.

Finlandia Sauna Products, Inc., Portland OR ﬁnlandiasauna.com • info@ﬁnlandiasauna.com | 800-354-3342

For information on how to be a part of the next

BUILDER MAGAZINE

special advertising section, contact

Paul Tourbaf 202.729.3629 | ptourbaf@zondahome.com 86 B U I L D E R

Call Wright’s Media at 877.652.5295, visit our website at wrightsmedia.com/sites/hanleywood or email us at hanleywood@wrightsmedia.com

B U I L D E R O N L I N E .C O M

AD Index Advertiser

PG number

URL

ABC Supply Company

AdvanTech

23, 25

AdvanTechXFactor.com

Alside

ascendcompositecladding.com

Ameristar

ameristarhvac.com | ameristarhvac.com/home-builders

Aprilaire

aprilaire.com/healthy-builders

Armstrong Flooring

armstrongflooring.com/pro

AT&T

att.com/fiberproperties

BAC Auctions

bacauctions.com

Better Home Products

betterhomeproducts.com

Bosch Appliances

bosch-home.com/us/trade

Builder 100

BUILDER100.com

Builder House Plans

BuilderHousePlans.com

Cantilo & Bennett, L.L.P.

Chief Architect

chiefarchitect.com/FreeTrial

Constellation Homebuilder System

constellationhb.com

Daltile

daltile.com

Dryerbox

Dryerbox.com

DuPont Building Innovations

buildforsure.dupont.com

Fiberon

fiberondecking.com

Husqvarna Construction Products

HUSQVARNA.com

IAPMO

UNIFORM-ES.org

LiftMaster

Liftmaster.com/for-pros/for-builders

MiTek

MiTekHomebuilder.Solutions

MSI International, Inc.

National Ready Mixed Concrete Association

BuildWithStrength.com

ProVia

provia.com/endure

Sherwin-Williams

buildersolutions.sherwin-williams.com

Sierra Pacific Windows

12-13

SierraPacificWindows.com

Sierra Pacific Windows

SierraPacificWindows.com | SierraPacificWindows.com/videos

Simpson Strong-Tie

go.strongtie.com/wswh

SoftPlan

softplan.com

Tamlyn

tamlyn.com

Therma-Tru Doors

thermatru.com/installer

Therma-Tru Doors

thermatru.com/reeded

Trus Joist by Weyerhaeuser

Weyerhaeuser.com/woodproducts

TruWood

8a-b *

TruWoodSiding.com

Wells Fargo

West Fraser

WESTFRASER.com/OSB

Whirlpool

WHIRLPOOLPRO.com/110YEARS

Wilsonart

WILSONART.com/ATHOME

Windsor Windows & Doors

SucceedWithWindsor.com

Woodford Manufacturing Company

woodfordmfg.com

Zonda

20, 40, 50

zondahome.com

*Issue mailed in regional editions. B U I L D E R O N L I N E .C O M

Advertisers: To update your listing, contact Bernadette Couture at 802.316.3733 or send an email to bcouture@zondahome.com BUILDER 87

LAST DETAIL

Pizza Plans b y S Y MO N E S T RO N G

ooking to transform their overgrown backyard into a space where people could gather, a Seattle-based client enlisted local firm SHED Architecture & Design to design an outdoor area with three main elements: a wood-fired pizza oven, a fire pit, and a modern cantilevered garage. The client—an avid pizza-maker who hosts weekly pizza dinners—was particular about the functional details of the oven. Using concrete blocks, concrete, and steel, the team designed the contemporary oven with a cantilevered prep surface and wood

storage underneath. The focal structure also anchors the yard, with concrete block walls extending to the adjacent fire pit and fireproof stone pavers leading to the dining area. For those interested in replicating the pizza oven, SHED recently launched a special project called Pizza for Change, an initiative to trade the oven’s plans to anyone willing to make a donation of $100 or more to organizations advocating for change. So far, the project has raised over $10,000 in donations to the ACLU, Black Lives Matter, and others. Mark Woods

SHARE YOUR WORK We’re always in search of great projects. Add your best work to our online gallery at builderonline.com/project-gallery.

88 B U I L D E R

⚫

M AY 2 0 2 1

B U I L D E R O N L I N E .C O M

It’s all anyone wants in an apartment. AT&T Fiber

DELIVERS MORE BANDWIDTH than cable.

Based on combined upload and download capacity versus major cable providers: X Spectrum & COX 1 Gig cable service with uploads of 35 Mbps.

Up to 20x

FASTER UPLOAD SPEEDS than cable.

Comparison of Internet 1000 wired upload connection speed to major cable providers: X , Spectrum & COX 1 Gig cable service with uploads of 35 Mbps. For more information, go to att.com/speed101.

Go to att.com/fiberproperties to learn more. Limited availability in select areas. ©2020 AT&T Intellectual Property. All Rights Reserved. AT&T, the AT&T logo and all other AT&T marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies.

A FLOOR THOUSANDS OF REPUTATIONS STAND ON.

When floors are engineered together, they work together. You can stake your reputation on it. We do. We start with the best framing components in the industry, Weyerhaeuser Trus Joist® TJI® Joists and TimberStrand® LSL Rim Board. Pull them together with our Diamond™ premium floor panels with patented Down Pore® technology and you’ve got a floor system built to last, from a company whose reputation has stood strong since 1900. For more info go to Weyerhaeuser.com/woodproducts Weyerhaeuser, Trus Joist, TJI, TimberStrand Rim Board and Down Pore are registered trademarks and Diamond is a trademark of Weyerhaeuser NR. © 2020 Weyerhaeuser NR Company. All rights reserved.