Cheaper New Builds on the Way?
Standard Pacific and Ryland Group, both based in Southern California, merged last year becoming CalAtlantic Homes. It is a major player in the new home market, building houses in 20 of the top 25 metro areas in the U.S. It owned or controlled about 74,000 home sites at the time of the merger, and has more than 30 communities in the Phoenix metro area. The hope is that the merger will save CalAtlantic Homes $50 million to $70 million a year. The reduced overhead should allow it to lower the cost of its product and become more competitive in the new home construction market.