Lennar Corporation, together with its subsidiaries, engages in the homebuilding activities in the United States. Segments The company operates through Homebuilding East, Homebuilding Central, Homebuilding West, Homebuilding Southeast Florida, Homebuilding Houston, Financial Services, Rialto, and Lennar Multifamily segments. Homebuilding Operations The company’s homebuilding operations include the construction and sale of single-family attached and detached homes, as well as the purchase, development and sale of residential land directly and through unconsolidated entities in which it has investments. The company primarily sells single-family attached and detached homes in communities targeted to first-time, move-up and active adult homebuyers. The company operates primarily under the Lennar brand name. As of November 30, 2014, the company owned 132,679 homesites and had access through option contracts to an additional 31,890 homesites, of which 24,855 homesites were through option contracts with third parties and 7,035 homesites were through option contracts with unconsolidated entities in which the company has investments. The company is engaged in all phases of planning and building in residential communities, including land acquisition, site planning, preparation and improvement of land and design, construction and marketing of homes. As of November 30, 2014, the company was actively building and marketing homes in 625 communities, including 3 communities being developed by unconsolidated entities. As of November 30, 2014, the company had 35 Lennar Homebuilding unconsolidated joint ventures, in which it was participating. Ancillary Businesses: The company has ancillary business activities that are related to its homebuilding business. FivePoint Communities - In 2011, the company transferred the management of large properties in California to FivePoint Communities Management, Inc., a consolidated joint venture. FivePoint Communities is undertaking six master planned mixed use developments, three in southern California and three in or near San Francisco. Lennar Commercial - Lennar Commercial is focused on the development, investment and management of retail, office and mixed-use projects in the same states as its homebuilding operations. Sunstreet – The company’s solar business is focused on providing homeowners in California and Colorado through its solar power purchase program. Strategy: Main elements of the company’s strategy include the following elements: strong operating margins; Everything’s Included Approach of marketing; innovative homebuilding; and flexible operating structure. Lennar Financial Services Operations Mortgage Financing The company primarily offers conforming conventional, FHA-insured and VA-guaranteed residential mortgage loan products and other products to buyers of homes and others through a financial services subsidiary, Universal American Mortgage Company, LLC. During 2014, the company originated approximately 23,300 residential mortgage loans. The company finances mortgage loan activities with borrowings under financial services warehouse facilities or from operating funds. Title Insurance and Closing Services The company provides title insurance and closing services to homebuyers and others. During 2014, the company provided title and closing services for approximately 90,700 real estate transactions, and issued approximately 220,400 title insurance policies through its underwriter, North American Title Insurance Company. Title and closing services are provided by agency subsidiaries in Arizona, California, Colorado, Delaware, District of Columbia, Florida, Illinois, Indiana, Maryland, Minnesota, Nevada, New Jersey, New York, Pennsylvania, Texas, Utah, Virginia and Wisconsin. Title insurance services are provided in 40 states. Rialto Operations The Rialto segment is a commercial real estate investment, investment management, and finance company. This segment’s primary focus is to manage third-party capital and to originate commercial mortgage loans which it sells into securitizations. It also has invested its own capital in mortgage loans, properties and real estate related securities. This segment is the sponsor of and an investor in private equity vehicles that invest in and manage real estate related assets. This includes the following: Rialto Real Estate Fund, LP (Fund I) invests in distressed real estate assets and other related investments; Rialto Real Estate Fund II, LP invests in distressed real estate assets and other related investments; and Rialto Mezzanine Partners Fund invests in performing mezzanine commercial loans that have expected durations of one to two years and are secured by equity interests in the borrowing entity owning the real estate assets. During 2013, Rialto Mortgage Finance (RMF) began originating and selling into securitizations 5, 7 and 10 year commercial first mortgage loans, which are secured by income producing properties. Lennar Multifamily Operations The Lennar Multifamily segment focuses on developing a geographically diversified portfolio of institutional quality multifamily rental properties in select U.S. markets. The Lennar Multifamily segment was participating in 26 unconsolidated entities, as of November 30, 2014. Seasonality The company’s homebuilding business is seasonal in nature and reflects higher levels of new home order activity in second fiscal quarter and increased deliveries in the second half of fiscal year. History Lennar Corporation was founded as a local Miami homebuilder in 1954.
lennar corp - b shs (LEN/B:New York)
700 Northwest 107th Avenue
Miami, FL 33172
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