Taylor Morrison Buys Lots Ready for 85 Homes in East Dublin

Taylor Morrison has bought a development in East Dublin approved for 85 homes.

The Scottsdale, Arizona-based homebuilder bought the neighborhood of 85 finished lots in the 573-unit Francis Ranch development at 4038 Croak Road, the San Francisco Business Times reported. The seller was San Ramon-based Trumark Homes, co-developer of the 162-acre project.

Terms of the deal were not disclosed.

In September, affiliates of Trumark and Irvine-based Arroyo Capital Partners bought the property for $164 million, or $1.01 million per acre, with plans to build 573 homes.

The square piece of undeveloped land north of the 580 Freeway is south of homes along South Terracina Drive and east of homes along Loyalton Road, with Croak Road running up the western half.

The land deal involves two components. The Trumark affiliate bought the land. Then it sold the property to an affiliate of its development partner, Arroyo Capital, for $140.6 million, giving Trumark immediate access to the cash.

Plans call for 573 homes and two public parks across 11.5 acres in six neighborhoods of what was once known as the Croak Property, named after the family that owned it.

Tony Bosowski, Northern California division president of Trumark, said Taylor Morrison is slated to break ground this summer in what will be the first of six neighborhoods in Francis Ranch.

Taylor Morrison bought the section dubbed “Neighborhood 4,” which contains 85 finished lots on the west side of the development, next to the Jordan Ranch neighborhood. The minimum lot size is 4,000 square feet, accommodating homes that will range from 2,600 to 3,000 square feet.

The Francis Ranch project was approved in 2021, despite objections from residents that it will lead to traffic congestion, overcrowded schools and a potential water shortage.

Arroyo Capital employs a business model that allows it to buy stakes in housing projects nationwide, according to its website. “We invest with successful homebuilders and developers,” the company said.

Arroyo has invested in residential projects in Fremont, Newark, Antioch, Vacaville and Mountain House in San Joaquin County.

In May last year, Trumark Homes secured a $400 million loan to build 32 townhomes in northeast San Jose. The previous February, the firm bought 30 acres approved for nearly 450 homes in East Livermore for $75 million, or $2.5 million per acre.

— Dana Bartholomew