K. Hovnanian Homes, founded in 1959 and one of the country’s largest and most reputable builders, continues to expand with single-family, townhomes, condominiums, and high- and mid-rise urban luxury apartment homes. As the developer of K. Hovnanian’s Four Seasons communities, the company is also one of the nation’s largest builders of active lifestyle communities.
K. Hovnanian’s Four Seasons at Monroe opened in September of 2015, and since then have sold about 75 percent of the single family homes in the community. Four Seasons offered unique amenities, not often seen in the active adult market. Branded as “family friendly,” this 55+ community does not have an age restriction on adult children (age 19 and older) living at home with their parents. This “family friendly” policy is unique among active adult communities, and reflects the changing times where more adult children are returning home to their parents after briefly living on their own. All homes must have at least one resident that is 55 or older, with no permanent residents younger than age 19.
The diversity in Hovnanian’s portfolio is what continues to drive the success of its home builder operations. “For the first time in two years, we increased the number of total lots we controlled, which should ultimately lead to community count, revenue and profit growth,” stated Ara K. Hovnanian, Chairman of the Board, President and Chief Executive Officer. “Hovnanian’s position is further strengthened by our recent financing transactions with GSO, along with a commitment for an additional $216 million of capital from GSO which together extend our debt maturities and provide additional stability to our capital structure.”
He continued, “The Company remains in a transition period due to the adverse impacts from having to pay off $320 million of debt in late 2015 and 2016 when the high yield market was closed to us and other companies with similar credit ratings. As a result, we were unable to replenish our land position sufficiently in 2016 and 2017… We are confident the most challenging quarter for fiscal 2018 is behind us and we expect future quarters this year should yield improved operating results, as we continue to rebuild our company,” concluded Mr. Hovnanian.
Offering a variety of home designs and financially positioning the company for future growth, Hovnanian continues its legacy of quality.
For more information, visit http://www.khov.com.