Lennar Acquires Urban Redevelopment Properties in
Miami, FL, February 15--Lennar Corporation and Roseland Property Company announced that Lennar will acquire, directly from Roseland and through joint ventures with Roseland, a portfolio of 15 properties located along the Hudson River waterfront facing mid-town Manhattan and in the greater Boston area. Roseland will continue to manage the development of the properties. JP Morgan Securities Inc and Rockwood Realty Associates, LLC acted as co-advisors to Roseland.
Jon Jaffe, chief operating officer of Lennar Corporation, said, "We are thrilled for the opportunity to work with Roseland's management team. Roseland is recognized as the premier developer of urban infill communities in the Northeast. They have an excellent reputation for creativity and quality that is unmatched in the marketplace."
Mr. Jaffe continued, "This transaction gives Lennar access to approximately 2,500 condominium homesites and over 300 apartments for conversion to condominiums. These structured transactions will position the Lennar brand as a leading homebuilder in some of the most supply constrained markets in the Northeast."
Marshall B. Tycher, principal of Roseland, said, "Each of the communities in this transaction have been master-planned by Roseland to reflect the highest standards of urban redesign. We look forward to working with the Lennar team toward achieving our vision of sustainable urban redevelopment for each of these exceptionally positioned properties."
The transaction includes the acquisition of approximately 1,300 residential homesites and 300 conversion apartments in Port Imperial, located in Weehawken and West New York, NJ. Port Imperial is one of the nation's largest urban redevelopment master-planned communities, stretching along the Hudson River waterfront directly across from mid-town Manhattan with mass transportation into Manhattan.
The transaction also includes the acquisition of approximately 1,200 residential homesites in the greater Boston area communities of Overlook Ridge, located in Malden/Revere, Hingham Shipyard, located in Hingham and Portside at Pier One, located in East Boston. These Boston-area communities are prime waterfront communities readily accessible to Boston's Financial District.
Average home sales prices in this transaction are expected to be in the high $600,000 with total gross sales proceeds expected to exceed $2 billion. Lennar expects new home deliveries to positively impact net earnings beginning in fiscal 2006.