The New Home Co. is poised to invest more than $325 million in metro

By Angela Gonzales - Senior Reporter, Phoenix Business Journal

The New Home Co. is poised to invest more than $325 million in metro

Phoenix as the Aliso Viejo, California-based homebuilder introduces eight new communities here over the next few years.

The New Home Co. (NYSE: NWHM), which opened a Scottsdale office two years ago, currently is investing about $125 million in land development and construction in metro Phoenix, said Christopher Cady, who was named president of the company's Arizona division late last year. He most recently served as Beazer Homes' Southern California division president.

New Home's latest project is 222 townhomes and flats on nearly 20 acres within Layton Lakes master-planned community in Gilbert.

To be called Mosaic, the homes will start in the high $200,000s shooting up to the $400,000s. Nine floor plans will range from nearly 1,300 square feet to more than 2,000 square feet.

"These will be attached townhomes and single-level condo-type living with a modern desert contemporary look," Cady said.

Mosaic will be the developer's second community in Gilbert. The first is called Belmont, which opened in 2018 and features 53 single-family homes that Cady expects to sell out later this year.

It also debuted its ICON model homes in January within Silverleaf in Scottsdale, where homes are being sold for around $2 million. The company also is selling within Mountain Shadows in Paradise Valley, where its homes range from $1.5 million for condos to $3 million for detached, single-family homes.

What's more, Cady told the Business Journal that he has his eye on three other potential communities in Chandler, Mesa and Goodyear.

"We're gonna have a busy next six to nine months of new communities coming online," he said. "The company is very focused on growing our business here in Phoenix. They've been very busy acquiring new opportunities."

The high growth employment area is balanced with a historical destination for retirees, he said.

"But it's got a real young vibrant up-and-coming economic feel to it," Cady said. "We're trying to provide opportunities where we can match these buyer profiles with the home style that benefits them."

The company has about 40 employees in Scottsdale, with plans to add another 25 percent by the end of the year, Cady said.

With a market cap rate of $86.8 million, The New Home Co.'s 52-week range is between $3.62 and $10.50 a share. The stock closed at $4.29 on June 10.

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