Taylor Morrison Home Corporation (“Taylor Morrison”, NYSE: TMHC) today
announced that it has formed a joint venture with its two largest
shareholders, funds managed by Oaktree Capital Management, L.P.
(“Oaktree”) and TPG to acquire and develop Marblehead, a prestigious
coastal residential development in San Clemente, California. Marblehead
consists of 195.5 coastal acres and can accommodate over 300 luxury home
sites.
The joint venture partners have entered into a purchase and sale
agreement for the Marblehead site with LV Marblehead, a subsidiary owned
by Lehman Brothers Holdings Inc. The acquisition of the site, which is
subject to customary closing conditions, is expected to occur in April
2014. Home construction in the community is expected to begin in 2015.
A subsidiary of Taylor Morrison and affiliates of Oaktree and TPG will
each be capital partners in the joint venture. In addition, Taylor
Morrison is the partner responsible for land development and
homebuilding on the Marblehead site.
“Marblehead is a truly unique site and one of the last undeveloped
tracts of coastal land in California. It presents a tremendous
opportunity that will deepen our land inventory of exceptional sites and
further our standard of building high-quality homes in premier locations
across North America,” said Sheryl Palmer, President and CEO of Taylor
Morrison. “For Taylor Morrison, this venture reflects our objectives of
strategically utilizing our strong balance sheet, selectively investing
in our land portfolio to meet future demand and providing continued
returns for our shareholders.”
“Taylor Morrison is excited to partner with long-time investors Oaktree
and TPG on such an important and landmark endeavor like Marblehead.
Oaktree and TPG’s continued investment in Taylor Morrison showcases
their confidence in our long-term vision, and we are delighted to
further expand our relationship through this joint venture,” Palmer
concluded.
Jason Keller of Oaktree stated, “Oaktree is always looking for premier
real estate opportunities with first class partners. Our long-standing
relationship with TPG and our belief that Taylor Morrison is the right
developer and builder to execute on this remarkable site, makes this the
perfect fit.”
Jamie Sholem of TPG Real Estate stated, “This transaction highlights
Taylor Morrison’s ability to execute quality investments while
leveraging existing relationships. TPG is fortunate to have great
partners in Oaktree and Taylor Morrison, and we look forward to the
development of this truly unique coastal California site.”
About Taylor Morrison
Headquartered in Scottsdale, Arizona, Taylor Morrison Home Corporation
(NYSE:TMHC) operates in the U.S. under the Taylor Morrison and Darling
Homes brands and in Canada under the Monarch brand. Taylor Morrison is a
builder and developer of single-family detached and attached homes,
serving a wide array of customers including first-time, move-up,
luxury and active adult customers. Taylor Morrison divisions operate in
Arizona, California, Colorado, Florida and Texas. Darling Homes
serves move-up and luxury homebuyers in Texas. Monarch, Canada’s oldest
homebuilder, builds homes for first-time and move-up buyers in Toronto
and Ottawa as well as high rise condominiums in Toronto.
For more information about Taylor Morrison, Darling Homes or Monarch,
please visit www.taylormorrison.com,
www.darlinghomes.com
and www.monarchgroup.net.
About Oaktree Capital
Oaktree is a leader among global investment managers specializing in
alternative investments, with $83.6 billion in assets under management
as of December 31, 2013. The firm emphasizes an opportunistic,
value-oriented and risk-controlled approach to investments in distressed
debt, corporate debt (including high yield debt and senior loans),
control investing, convertible securities, real estate and listed
equities. Headquartered in Los Angeles, the firm has over 800 employees
and offices in 16 cities worldwide. For additional information, please
visit Oaktree's website at http://www.oaktreecapital.com/.
About TPG Real Estate
TPG Real Estate is the real estate platform of TPG, a leading global
private investment firm founded in 1992 with over $59 billion of assets
under management and offices in San Francisco, Fort Worth, Austin,
Beijing, Chongqing, Hong Kong, London, Luxembourg, Melbourne, Moscow,
Mumbai, New York, Paris, São Paulo, Shanghai, Singapore and Tokyo. TPG
has extensive experience with global public and private investments
executed through leveraged buyouts, recapitalizations, spinouts, joint
ventures and restructurings. The firm's real estate transactions have
included ST Residential, Catellus Development Corporation, Parkway
Properties, Inc. (NYSE:PKY), Merin BV, the Woolgate Exchange building in
the City of London, MWest Properties, Assisted Living Concepts, LLC, AV
Homes, Inc. (Nasdaq:AVHI), and PointPark Properties (P3), among others.
For more information visit www.tpg.com.
Copyright Business Wire 2014