Builder Beazer To Renovate, Rent Newer Homes

Atlanta, GA, April 4, 2011 -- Home builder Beazer Homes said it is expanding beyond new home sales with the introduction of a Pre-Owned Homes Division.

Beginning in the Phoenix market, the new division is charged with acquiring, improving and renting recently built, previously owned homes within select communities in markets where the company currently operates.

Homes targeted for inclusion in the program will have been built since 2004 by a reputable builder. All homes in the program will receive necessary repairs and upgrades.

Because the primary source of homes will be distressed sales, typically foreclosures or short sales, Beazer anticipates acquiring homes at a discount to their replacement cost.

The company said it completed its first acquisitions and tenant move-ins during March, and anticipates having more than 100 homes in Phoenix by the end of the current fiscal year.

Beazer said the program should appeal to consumers who have decided to rent instead of purchase a home, as well as potential buyers who may not qualify for a mortgage.

Beazer said the rental market for recently built homes in Phoenix is very strong, with an estimated vacancy rate below 5%.

Rich O'Connor, a longtime Beazer executive, has been appointed to lead the company's new division.

Beazer Homes is one of the 10 largest single-family homebuilders in the United States.