Lennar Corp. (LEN), the third-largest U.S. homebuilder by revenue, bought 813 lots in Texas from affiliates of Covington Group Inc., a Dallas-based development firm.
The properties are in San Antonio and nearby Cibolo, Covington said in a statement today. The real estate investment company acquired the lots from Standard Pacific Corp. (SPF) in 2007.
The transaction “both assists Lennar with their continued expansion in the market, and provides Covington with a conclusive and successful exit from the original deal,” Covington said in the statement.
The housing industry in Texas has flourished amid economic growth, few environmental constraints and abundant land. The Dallas area has been the best performing of 20 major housing markets in the U.S. since the real estate bubble burst, based on S&P/Case-Shiller indexes. The north Texas area is the only one in the state included in the Case-Shiller 20-city measure.
Lennar, based in Miami, has been buying lots to expand as the U.S. housing market rebounds. The company said yesterday that it purchased 40 sites in Nashville, Tennessee, marking its entry into that market.
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