The executive team that launched Shawmut’s luxury retail division will lead the new-home construction business. The company says it will partner with architects and designers to create the homes.
Shawmut will offers its homes nationwide but plans to focus on the Los Angeles, New York City and Miami markets.
Although the housing market is trending toward smaller floor plans as builders target the growing entry-level and active-adult categories, the upper tier of the residential market isn’t shying away from size. And those are the projects Shawmut is going after.
Sales of homes priced above $600,000 rose in 37 of 43 counties surveyed by research firm John Burns Real Estate Consulting from September 2015 to September 2016.
Home sales in the $600,000-plus price range increased 10% during the period, according to the report. Every price category from $600,000 to $1.5 million-plus reported an increase in sales during Q3 2016; the $1.1 million to $1.2 million range showed the strongest growth (10%).
Shawmut brings close to 40 years of homebuilding experience to its new homes division. The company previously built homes upon request for its existing commercial clients. The company told Construction Dive it is targeting projects priced between $1 million and $50 million.
The company ranked No. 57 on the 2017 ENR 400 listing of the top contracting companies in the U.S., up from the No. 59 spot in 2016. Its portfolio includes academic, cultural, commercial, healthcare, hospitality, retail and sports projects.