Daiwa House's US holding company agreed to buy about 80% of CastleRock Communities, a Texas builder of single-family homes, for an equity value of about $402 million (¥44.1 billion), plus about $6 million in fees. CastleRock's managers kept the rest of the business. Daiwa House disclosed the price in its Japanese stock-exchange filing. About CastleRock CastleRock was founded in Houston in 2004 by Gregory Yakim, Robert Wright and Kirk Breitenwischer. It develops land and builds single-family homes in Texas, and delivered 1,628 homes in 2020. That year it had sales of about $485 million and operating profit of about $75 million. Daiwa House's US path Daiwa House focuses on what it calls the "Smile Zone," the growing states across the US East, South and West. It bought Virginia's Stanley Martin in 2017, which then took over FD Communities in 2018 and Essex Homes Southeast in 2020. Texas, one of the largest US housing markets, was a key new market. How the deal worked Before closing, CastleRock changed from a partnership into a limited liability company, and about $155 million of owner loans was turned into equity. The founding partners stayed on to run the firm day to day.
