Exhibit 99.1
|
Contacts:
|
|
Arizona:
|
|
Texas:
|
|
New York:
|
|
|
|
Larry
Seay
|
|
Jane
Hays
|
|
Chris
Tofalli
|
|
|
|
Chief Financial
Officer
|
|
Vice
President-Corp. Develop.
|
|
Broadgate
Consultants
|
|
|
|
(480)
609-3330
|
|
(972)
543-8123
|
|
(212)
232-2222
|
Meritage Homes Corporation
Completes Acquisition of
Greater Homes of Orlando, Florida
Dallas
and Scottsdale, Arizona (September 2, 2005) — Meritage Homes Corporation (NYSE:
MTH) today
announced that it has completed the purchase of Greater Homes Inc. of Orlando,
Florida (“Greater Homes”). Greater Homes
controls approximately 3,200 lots in the Orlando area and expects to close
about 600 homes in 2005 at an average selling price of around $267,000,
resulting in home closing revenue of $160 million.
“We are excited
about continuing our expansion into the fast-growing state of Florida,” said
John R. Landon, Meritage Co-Chairman and CEO.
“Consistent with our past acquisitions, we expect to grow this division
rapidly.”
Bob Mandell,
Chairman of the Board and CEO of Greater Homes, will remain with the Company as
President of the Greater Homes division in Orlando.
About Meritage Homes Corporation
Meritage Homes
Corporation is one of the nation’s largest single-family homebuilders, and is
traded on the NYSE, symbol: MTH. The
Company appears on Forbes’ “Platinum
400” list as number one in terms of five-year annualized total return, and is
included in the S&P SmallCap 600 Index.
Fortune magazine recently
ranked Meritage 747th in its “Fortune 1000” list of America’s largest
corporations and included the Company as a “top pick from 50 great investors”
in its Investor’s Guide 2004.
Additionally, Meritage is ranked as one of Fortune’s Fastest Growing Companies in America, its fifth
appearance on this list in seven years.
The Company has built approximately 40,000 homes, ranging from
entry-level to semi-custom luxury.
Meritage operates in fast-growing states of the Southern and Western
U.S.,
including six of the top 10
single-family housing markets in the country.
For more information about the Company, please visit the Meritage
website located at www.meritagehomes.com.
#
# #
This
press release contains forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of
1995. Such statements include statements
concerning our ability to grow the Greater Homes of Orlando division rapidly and
that Greater Homes expects to close approximately 600 homes at an average
selling price of about $267,000, resulting in home closing revenue of $160
million. Such statements are based upon
the current beliefs and expectations of our management and are subject to
significant risks and uncertainties.
Actual results may differ from those set forth in the forward-looking
statements.
With respect to the
Greater Homes acquisition, these risks and uncertainties include: the risks that the Greater Homes business
will not be integrated successfully; that market and financing synergies
anticipated from the acquisition may not be fully realized or may take longer
to realize than expected; that unanticipated expenses and liabilities may be
incurred; and that the combined companies will lose key employees or suppliers.
Meritage’s
business is subject to a number of risks and uncertainties including: interest
rates and changes in the availability and pricing of residential mortgages; our
success in locating and negotiating favorably with possible acquisition
candidates; the success of our program to integrate existing operations with
any new operations or those of past or future acquisitions, including Colonial
Homes and Greater Homes of Florida; our dependence on key personnel and the
availability of satisfactory subcontractors; our ability to take certain
actions because of restrictions contained in the indentures for our senior notes
and the agreement for our unsecured credit facility; our lack of geographic
diversification; the cost and availability of insurance, including the
unavailability of insurance for the presence of mold; our potential exposure to
natural disasters; the impact of inflation; the impact of construction defect
and home warranty claims; the strength and competitive pricing of the
single-family housing market; demand for and acceptance of our homes; changes
in the availability and pricing of real estate in the markets in which we
operate, our ability to acquire additional land or options to acquire
additional land on acceptable terms, particularly in our Greenfield start-up
markets; general economic slow downs; consumer confidence, which can be
impacted by economic and other factors such as terrorism, war, or threats
thereof and changes in stock markets; our level of indebtedness and our ability
to raise additional capital when and if needed; legislative or other
initiatives that seek to restrain growth or new housing construction or similar
measures; and other factors identified in documents filed by us with the
Securities and Exchange Commission, including those set forth in our Form 10-K
for the year ended December 31, 2004 under the caption “Management’s Discussion
and Analysis of Financial Condition and Results of Operations — Factors That
May Affect Our Future Results and Financial Condition” and in Exhibit 99.1 of
Meritage’s Form 10-Q for the quarter ended June 30, 2005. As a result of these and other factors, the
Company’s stock and note prices may fluctuate dramatically.
# # #
