Taylor Morrison Expands Build-to-Rent Footprint with $3 Billion Financing Deal
Scottsdale-based homebuilder Taylor Morrison Home Corporation (NYSE: TMHC), one of the largest homebuilders in the U.S., has entered into a $3 billion financing facility to accelerate growth of its build-to-rent brand, Yardly. The agreement was announced on July 23 and involves Kennedy Lewis Investment Management (KLIM), a New York-based investment manager with nearly $30 billion in assets under management.
The partnership with KLIM—which owns Kennedy Lewis Land and Residential Advisors LLC, the external manager of homesite purchase platform Millrose Properties Inc.—will enable Taylor Morrison to significantly expand its land reserves for future Yardly projects. This move positions the company to capitalize on growing demand for single-family rental homes across key U.S. markets.
Future Outlook for 2025
Looking ahead, Taylor Morrison’s strong capital position and strategic land acquisitions set the stage for accelerated development in 2025. The build-to-rent sector is experiencing robust growth driven by changing lifestyle preferences and challenges to homeownership, fueling demand for high-quality rental communities.
With Yardly, Taylor Morrison aims to deliver thoughtfully designed rental neighborhoods featuring sustainable building practices and desirable community amenities. This focus, combined with access to substantial financing, is expected to help the company capture significant market share and generate diversified revenue streams in the expanding build-to-rent market.
Overall, Taylor Morrison’s financing deal and strategic vision underscore its commitment to growth and innovation within the evolving housing landscape.
Rupee Junction's View Taylor Morrison, one of the largest homebuilders in the U.S., has expanded its Build-to-Rent (BTR) strategy with a deal valued at $3 billion. This move reflects the growing demand for rental housing, especially among millennials and those seeking flexible living options. The BTR model allows Taylor Morrison to develop and lease single-family homes, offering renters the feel of homeownership without long-term commitment. By partnering with institutional investors and focusing on high-growth markets, the company aims to scale its rental portfolio significantly. This strategic expansion reinforces Taylor Morrison’s position in the evolving U.S. housing landscape.