(Reuters) – Tri Pointe Homes Inc. is buying Weyerhaeuser Co’s homebuilding division in a $2.7 billion deal that will give it access to developed land in key markets such as California and Texas and make it one of the largest U.S. homebuilders.
Weyerhaeuser, whose shareholders will control Tri Pointe after the deal, has been looking to get rid of its homebuilding unit as it focuses on its core timber business.
Tri Pointe’s existing management, including Chief Executive Officer Doug Bauer, will run the combined entity. Barry Sternlicht, whose Starwood Capital Group LLC owned a 38 percent stake in Tri Pointe as of March, will continue as chairman.
Weyerhaeuser said in June that the “improving fundamentals” of the U.S. housing market made it a prudent time to explore strategic options for its housing business.
Tri Pointe said the deal would give it control of about 27,000 lots and brands such as Pardee Homes in California, Trendmaker Homes in Texas and Maracay Homes in Arizona
