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.