Green Brick Partners, Inc. Closes on Land for New Mixed-Use Concept in North Atlanta Suburb Market

Rhea-AI Summary

Green Brick Partners (NYSE: GRBK) has acquired 152 acres in Cumming, GA, to develop a mixed-use community named Sawnee Village. The project will feature 474 homes, 250+ apartments, and 220,000 SF of senior living and commercial space, with an estimated value exceeding $400 million. Located near major highways, the development aims to address the undersupplied housing market in the Forsyth Central High School area, which currently has only 0.7 months of housing inventory. Development is expected to commence in early Summer 2022.

Positive

• Acquisition of 152 acres for mixed-use development.
• Project estimated to exceed $400 million in value.
• Addresses significant housing inventory shortages in the local market.

Negative

• None.

Green Brick Partners’ subsidiary, The Providence Group of Georgia, to manage development and exclusively construct homes in the amenity-rich mixed-use community to address surging demand in the growing area

PLANO, Texas--(BUSINESS WIRE)-- Green Brick Partners, Inc. (NYSE: GRBK) (“Green Brick”) is pleased to announce the recent purchase of approximately 152 acres in Cumming, GA for a vertically integrated mixed-use development. Green Brick Partners’ subsidiary, The Providence Group of Georgia, will manage the overall development and exclusively build the planned 474 detached and attached homes. The project called Sawnee Village is located within 1 mile of the New Cumming City Center in Cumming, GA and will have entrances on both Pilgrim Mill Road and Highway 9. In addition to the homes built by The Providence Group, the walkable mixed-use neighborhood is planned to include 250+ apartments, 220,000 SF of institutional senior living, 106,000 SF of commercial, office, retail, and entertainment venues. The estimated value of the project is expected to be over $400 Million.

The master-planned neighborhood is conveniently located near GA-400, a major north-south artery and Hwy 20, a major east-west corridor providing easy accessibility to multiple employment centers and area attractions. The Collection at Forsyth shopping district, the mixed-use projects of Halcyon and Avalon are a short drive away as well as the North Ga. Premium Outlet mall to the north of the property. The prime location also gives residents direct access to the nearby Northside Forsyth hospital.

“With surging interest in the area, extensive social infrastructure in-place and a prime location near Lake Sidney Lanier, Cumming was a logical choice for our focused development efforts,” said Warren Jolly, President of The Providence Group. “Our company has been involved in many successful mixed-use developments over the years and we are excited about this project and feel it will be one of our best yet.”

“This project is a model for a vibrant, community-oriented mixed-use development,” said Lamar Wakefield, AIA, National Practice Leader for Mixed Use with NELSON Architecture who was the leader of master planning and design for this project as well as projects like the Avalon, Halcyon and The Battery Atlanta. “We see this project having a huge halo effect for the Cumming area, by bringing all components to enhance quality of life, including retail, parks, entertainment venues, along with a mix of homes and apartments.”

According to John Hunt of MarketNSight, a national source of new and resale housing data, the housing inventory in the Forsyth Central High School submarket area where this project will be built is vastly undersupplied. “The Forsyth Central High School submarket area currently shows 0.7 months of supply of both attached and detached inventory. Equilibrium in a healthy market has historically been 6 months of supply.” “To put this in perspective,” said Hunt, “ 870 homes would need to be added to the housing supply in the next 12 months for inventory to reach equilibrium levels.”

Sawnee Village is expected to begin development early Summer of 2022.

About Green Brick Partners, Inc.

Green Brick Partners, Inc. is a diversified homebuilding and land development company operating through eight homebuilder brands in five major markets. Green Brick owns five subsidiary homebuilders in Texas (CB JENI Homes, Normandy Homes, Southgate Homes, Trophy Signature Homes, and a 90% interest in Centre Living Homes), as well as a controlling interest in a homebuilder in Atlanta, Georgia (The Providence Group) and an 80% interest in a homebuilder in Port St. Lucie, Florida (GHO Homes). Green Brick also owns a noncontrolling interest in Challenger Homes in Colorado Springs, Colorado, and retains interests in related financial services platforms, including Green Brick Title, Green Brick Mortgage, and BHome Mortgage. The Company is engaged in all aspects of the homebuilding process, including land acquisition and development, entitlements, design, construction, marketing, and sales for its residential neighborhoods and master-planned communities. For more information about Green Brick Partners Inc.’s subsidiary homebuilders, please visit greenbrickpartners.com/homebuilders.

About The Providence Group

Celebrating a legacy of over 20 years of success in the homebuilding industry, The Providence Group continues to develop and build award-winning communities fulfilling its mission to provide Lifestyle, Location and Luxury to its growing family of homeowners. Throughout its long history, the company has built well-crafted homes in one-of-a-kind communities in the most sought-after locations in and around Atlanta providing an unsurpassed, low-maintenance lifestyle for residents and enhancing the value of surrounding neighborhoods. Each location is intentionally selected for accessibility and proximity to the best school districts, entertainment, shopping and dining options, and every neighborhood is outfitted with amenities tailored for the lifestyle of the area. In 2011, The Providence Group entered a financial partnership with JBGL Builder Finance which subsequently became Greenbrick Partners, Inc., a diversified homebuilding and land development company listed on the New York Stock Exchange under the ticker symbol “GRBK”. As a subsidiary of Green Brick, The Providence Group has been able to combine its local expertise with the financial liquidity of a national, public homebuilder. Visit theprovidencegroup.com to learn more.

Forward-Looking and Cautionary Statements:

Any statements in this press release about Green Brick’s expectations, beliefs, plans, objectives, prospects, financial condition, assumptions or future events or performance that are not historical facts are forward-looking statements. These statements are often, but not always, made through the use of words or phrases such as “may,” “will,” “should,” “predicts,” “potential,” “expects,” “future,” “positioned,” “believes,” “projects,” “estimates” and similar expressions, as well as statements in the future tense. These statements are based on assumptions that Green Brick has made in light of its experience in the industry as well as its perceptions of historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances, as of the date of this press release. All such forward-looking statements involve estimates and assumptions that are subject to factors that could cause actual results to differ materially from the results expressed in the statements, and you should not place undue reliance on any such forward-looking statements. Among the factors that could cause actual results to differ materially are the following: general economic conditions, seasonality, cyclicality and competition in the homebuilding industry; the failure to recruit, retain and develop highly skills and competent employees; management and integration of acquisitions; labor and raw material shortages; an inability to acquire land for reasonable prices; an inability to develop and sell communities; government regulation risks; mortgage financing availability and volatility; severe weather or natural disasters; difficulty in obtaining sufficient capital; poor relations with community residents; and our debt and related service obligations. Additional factors that could cause actual results to differ are discussed in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s annual and quarterly reports filed with the Securities and Exchange Commission. Green Brick undertakes no obligation to update any forward-looking statement except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220615006086/en/

Lisa Murphy

VP Sales, Marketing and Strategy

The Providence Group of Georgia, LLC - a Green Brick Partners’ subsidiary

P: (770) 335-4460

E: lmurphy@theprovidencegroup.com

Source: The Providence Group

FAQ

What is the recent acquisition by Green Brick Partners?

Green Brick Partners acquired 152 acres in Cumming, GA, for a mixed-use development called Sawnee Village.

What will be included in the Sawnee Village development?

Sawnee Village will feature 474 homes, 250+ apartments, and 220,000 SF of senior living and commercial space.

What is the estimated value of the Sawnee Village project?

The estimated value of the Sawnee Village project is expected to exceed $400 million.

When is the development of Sawnee Village expected to start?

Development of Sawnee Village is expected to begin in early Summer 2022.

How does the housing inventory in Cumming, GA, compare to market equilibrium?

The housing inventory in the Forsyth Central High School submarket is currently at 0.7 months, while a healthy market typically has around 6 months of supply.