*Highly Profitable* High-End Custom Residential Home Builder

Price: $9,200,000

Location: Northwest Michigan

Industry: Residential Home Builder

Listing ID: CK140923CC

Status: New

Listing Description

The company specializes in high-end custom residential construction, encompassing both new construction and renovation projects, as well as light commercial projects. With two offices in Northwest Michigan, the company has demonstrated consistent growth since its inception. This growth is attributed to a strategic focus on reinvestment in the business, including employee training, the latest in woodworking technology/finishing, enhancing tools and equipment to improve operational efficiency.

Strengths:

  • Steady Growth
  • Geographical Advantage
  • Safety Focus
  • Diverse Portfolio
  • Transparent Pricing

Business Details:

  • Projects range in prices of $600 to $1,800 per square foot, with an average range of $700 to $800 per square foot.
  • The company’s average completion time for a new home is 18 months, demonstrating efficiency and reliability in delivering projects within reasonable timeframes.
  • Project mix comprises approximately 75% new home construction and 25% renovation projects.

Opportunities for Prospective Buyers:

  • Growth opportunities in the high-end residential and light commercial construction sectors.
  • Buyer can build on this foundation to expand the business and secure long-term client relationships.
  • The company’s strategic location provides a level of security and resilience against economic fluctuations, making it an attractive investment in a potentially uncertain market.
  • With a strong focus on high-end custom residential construction, there is ample room for market expansion, especially in regions with growing demand for luxury homes and commercial spaces.

The company is a compelling opportunity for investors seeking a stable and reputable construction business with room for growth and a commitment to safety and quality. Leveraging its established foundation, a new owner can capitalize on the company’s strengths to further expand and thrive in the construction industry.

Listing Details

Total Sales: $13,218,891

Cash Flow: $2,350,589

EBITDA: $2,220,589

FFE: $2,436,095 (Included in Price)

Reason For Sale:

Retirement

Training & Support:

Seller will assist in smooth transition to ensure successful transfer, including introductions to clients, referral partners and key vendors.

Operation

Year Established: 2005

Employees: 30

Location

Monthly Rent: $12,933

Type of Location: 2 Standalone Offices

Facilities Information:

Both locations are available for purchase for $1,525,000 or option to lease.

Summary

Competition:

The company in its realm of residential construction, finds itself in a distinctive
competitive position. Their primary competitors share the market but don’t engage in direct bidding competitions due to the ample volume of work available.

Financing/Terms:

Seller willing to provide limited seller financing to assist in securing bank financing.