Developer Buys Colorado Farm for Master Plan
Builder Online, 2020/01/07
Walton Global is in talks with an unidentified home builder for a community in Loveland of approximately 900 homes.
Walton Global Holdings Ltd., a real estate investment and land asset company, has acquired the 245-acre Lee Farms property located at 4300 Wilson Ave. in Loveland, Colo.
The pre-developed land is slated for a single-family residential master planned community of approximately 900 units, offering a variety of sizes and types of home sites. Walton said has "secured interest from a top publicly-traded home builder" with plans to begin development of the land in 2020. It did not identify the home builder but said negotiations are underway with an Exit Focused Letter of Intent that affords the builder a first right of refusal for a phased procurement of the property. It is anticipated the land will be developed in multiple phases, providing distributions to investors as the builder sells homes.
The parcel is located within close proximity to existing and actively selling new-home communities of Meadowbrook Ridge, Mariana Butte and The Lakes at Centerra. The property was acquired from The True Life Companies and the Lee Family.
Located 14 minutes from Fort Collins, Colo., home to Colorado State University, the Loveland region boasts a strong economy featuring dozens of innovative businesses from tech start-ups to Fortune 500 companies, low unemployment, and a steady population growth that is driving demand for residential construction.
The Loveland, Colo. land acquisition adds to Walton’s 85,000-acre portfolio located across the United States, providing a scalable land acquisition platform to support home builders with just-in-time inventory management. Walton’s approach is an innovative response to secular shifts in the land development industry, which is increasingly challenged to finance acquisition with debt.
Walton recently announced its first Builder Option Land Development fund (the BOLD Fund), that provides home builders with a land acquisition opportunity to work alongside an international real estate investment and asset management company for securing a land pipeline with minor upfront capital contribution.
“The benefits of working with national builders through these Exit Focused Agreements by holding land for future development, is opening up tremendous opportunities for Walton in all markets where we research and acquire land,” said Barry Dluzen, senior vice president - land of Walton Global Holdings.