National homebuilder acquires South Carolina development company

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A Jacksonville, Fla.-based homebuilder has acquired the homebuilding assets of a Charleston development company.

Publicly traded Dream Finders Homes Inc. has acquired the core homebuilding assets of privately held homebuilder, Crescent Ventures LLC, according to a news release.

The acquisition will enhance Dream Finders’ geographic footprint and allow the company to expand into the markets of Charleston and Greenville, and Nashville, the release stated. Assets acquired include 457 homesites in varying stages of construction, a sales order backlog of approximately 460 homes with a value in excess of $265 million, and approximately 6,200 lots under control, the release stated.

“We are excited about this acquisition and our partnership with Crescent’s founder and CEO, Ted Terry, and the Crescent Homes team. We are impressed by Ted’s vision and his ability to deliver high-quality homes with exemplary craftsmanship over the past 15 years, growing from their headquarters in Charleston to the equally desirable housing markets of Greenville and Nashville,” Patrick Zalupski, Dream Finders’ Chairman and CEO, said in the release. “Our access to capital and efficient operations will enable Crescent to grow faster and achieve significant scale in each market. This transaction enhances our geographic reach and strategically diversifies our operations into three new metropolitan areas.”

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Financial terms of the deal were not disclosed.

Crescent Homes was founded in 2009 by Ted Terry and builds single-family homes in the South Carolina markets of Charleston and Greenville, and in Nashville, Tennessee. Since inception, Crescent has closed approximately 5,000 homes. Crescent serves entry-level, as well as first and second-time move-up homebuyers with price points starting in the low-$300,000s, and has over 25 active selling communities.

“Our partnership with Dream Finders Homes will allow the Crescent Homes Team to build upon an already successful track record and provide us with a tremendous platform for growth,” Ted Terry, Crescent Homes’ Founder and CEO, said in the release. “I am truly excited to join forces with a team who is so closely aligned with our core values, operating philosophy and commitment to professional growth and development. With Dream Finders’ access to the public capital markets, diverse operational expertise, and history of successful homebuilder integration, we are confident that we will be able to achieve superior operational performance and take the company to new heights.”

DFH funded the transaction with cash on hand and borrowings under its existing senior unsecured revolving credit facility, the release stated. Simultaneously with the acquisition closing, DFH paid off Crescent’s vertical lines of credit associated with the assets acquired.

Dream Finders Homes builds single-family homes throughout the Southeast, Mid-Atlantic and Midwest, including Florida, Texas, North Carolina, South Carolina, Georgia, Tennessee, Colorado, and the Washington, D.C. metropolitan area.