A prolific local land development company has taken over as master developer for Sacramento’s Delta Shores project.
Roseville-based Taylor Builders LLC announced late last week it had acquired the land and development rights to the project planned for 5,200 homes at build-out.
“We are immensely proud to continue our partnership with the city of Sacramento and to build upon the solid foundation laid by Merlone Geier,” said Clifton Taylor, CEO of Taylor Builders, in a news release about the deal, referring to the company it acquired the property from. “Merlone Geier has done a tremendous job in preparing Delta Shores for future growth, making it an ideal location for immediate development of community housing units.”
According to Taylor Builders, the land it acquired includes 1,227 future home lots and four sites for multifamily housing, three of them designated for affordable projects.
Merlone Geier Partners retains ownership of a piece of development land west of Interstate 5, an unspecified amount of land south of Cosumnes River Boulevard and a piece within the land Taylor Builders acquired, Noah Painter, a spokesman for Taylor Builders, said in an email Sunday.
Painter said Taylor Builders declined to share the purchase price for the property and its entitlements. A message left Sunday afternoon with Merlone Geier’s local office was not immediately returned.
Taylor Builders will begin infrastructure work on the land it acquired in the second half of this year, and make improvements to allow new home construction into early 2025.
When construction begins, Taylor Builders will disclose builders who will carry out home construction on the newly acquired lots, according to the company.
In the last couple years, both KB Home (NYSE: KBH) and Signature Homes have bought lots from Merlone Geier and begun construction on Delta Shores homes. City records indicate Meritage Homes Corp. (NYSE: MTH) has also recently filed plans to build within Delta Shores.
For Taylor Builders, the acquisition also creates a symmetry with Stone Beetland, a planned 1,100-home project the company acquired earlier this year that borders Delta Shores to the north.
“Our acquisition not only promises to enhance the community but also aligns perfectly with our vision of creating sustainable and vibrant neighborhoods,” Isabel Domeyko Taylor, Taylor Builders’ co-founder, said in the release about the Delta Shores deal.
Painter said the two projects share some overlapping technical plans, giving Taylor Builders some economy of scale with the acquisition.
“We feel that this is a natural progression and allows us to make a significant investment in South Sacramento, where we see a great opportunity for a growing community,” he said. “With the investment in infrastructure that Merlone Geier has made, we can hit the ground running much sooner than if we were starting from scratch and taking this project through the entitlement process.”
For Merlone Geier, the sale appears to reflect an ongoing pivot lessening its portfolio in the Sacramento region. In the last year, the firm has sold four existing retail centers it owned and land near Sky River Casino in Elk Grove planned for retail development.
| Rank | Prior Rank | Company / Rank last year |
|---|---|---|
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1 |
1 |
AKT Development Corp. |
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2 |
2 |
Lennar Homes of California Inc. |
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3 |
3 |
Tsakopoulos Investments |
