Housing Giants - November 10, 2008 - (Page 23)

tHere’s a lot of bad news about our industry and the economy, and the casual observer might assume the majority of home builders are headed for bankruptcy protection. While that is indeed happening, most builders aren’t hitting the bottom. Despite high inventories and falling home values, some builders have been quick to respond to market forces and remain quite profitable. They are not only surviving, they are thriving. Of course, there has been some modification to what it means to succeed in today’s housing market. Most builders agree that success isn’t as much about increasing sales as it is about gaining market share. To do this, savvy builders are honing their organizations and maximizing their marketing and sales dollars by focusing on highly qualified prospects. In addition, they are reevaluating their value proposition to be in the best position to take advantage of sales opportunities that do exist. Meanwhile, home builders that are struggling through the housing slump have a few things in common, too. Typically, they have low customer satisfaction ratings, they have stretched their resources across too many communities, they are trying to be all things to all home buyers and they are suffering whiplash from having grown too rapidly over a short period of time. We checked in with three builders that have risen to the challenge in Arizona, one of the most competitive housing markets in the Southwest. They include Blandford Homes, Mattamy Homes and Pulte Homes. Here are their stories. blandford Homes slow and steady during tHe race As a private company, Blandford Homes is quick to respond to changes in the market — especially financial ones. This year, the Mesa, Ariz., builder anticipates closing 200 homes, up from 125 in 2007. However, projected revenue is expected to remain relatively flat at $100 million. That’s because the company has been offering a more affordable and highquality product line that appeals to today’s credit-strapped home buyers. Yet, Blandford’s ability to rack up sales during an industry-wide slump has more to do with the way the company has been run for the past 30 years than the past 30 months. Since founding the company three decades ago, Jeff Blandford has fostered a corporate www.Housinggiants.com 11.10.08 Housing giants 23 http://www.mountainbridge.com http://www.housinggiants.com

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Housing Giants - November 10, 2008

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