Scottsdale-based Taylor Morrison Home Corporation announced yesterday that the company has formed an exclusive partnership with Christopher Todd Communities, a growing Phoenix-based developer of innovative, luxury rental communities. Under the terms of the agreement, Taylor Morrison will serve as land acquirer, developer and builder, with Christopher Todd Communities providing its successful build-to-rent playbook, community design and property management consultation.
“Taylor Morrison’s partnership with Christopher Todd Communities expands our customer base to include those seeking the portability of a rental without sacrificing the lifestyle of a single-family-home community,” said Taylor Morrison Chairman and CEO Sheryl Palmer. “Demand among millennials and baby boomers for this emerging housing model creates an opportunity for us to introduce more customers to the quality and integrity of a Taylor Morrison home. That increased brand awareness can translate to increased brand affinity as a customer later converts from renter to buyer.”
Christopher Todd Communities has developed 1,668 luxury, maintenance-free, single-family rental homes in the Phoenix metro area over the last two years and will deliver more than 800 homes for rent this year alone. The partnership will help grow the concept as rental demand remains strong across the country. A recent study by Urban Land Institute and Price Waterhouse Coopers estimates a need for 4.6 million additional rental housing units by 2030, or 325,000 per year.
“We are very honored to have a successful national home builder like Taylor Morrison—America’s Most Trusted® Home Builder four years running—recognize the extraordinary potential of this real estate segment and want to be a part of the success,” said Todd Wood, CEO of the privately held Christopher Todd Communities. “We are thrilled to align with the Taylor Morrison brand and business systems that will expedite our ability to scale this concept to new markets.”
Three developments are planned in the Phoenix area, breaking ground in late 2019 with more on the horizon in 2020. In the next several years, Christopher Todd Communities and Taylor Morrison plan to deliver in excess of 2,000 new single-family rentals in Arizona alone, with plans to expand the platform nationally.
Homes in the existing Christopher Todd Communities are all single-story, complete with an array of smart home technology, plus pet doors and private backyards. The communities are gated, with luxury amenities such as swimming pools, ramadas and firepits, fitness centers with yoga studios, event lawns and serenity parks. This emerging real estate niche of build-to-rent communities are an inspired alternative to traditional apartments.