FRG Advises on the Acquisition of Biscayne Homes by DRB Group, a Subsidiary of Sumitomo Forestry

March 1, 2024

Falls River Group (“FRG”) is pleased to announce the acquisition of the housing business of Biscayne Homes (“BH”) by DRB Group, a U.S.-based homebuilding subsidiary of Sumitomo Forestry Co., Ltd. (Tokyo: 1911). DRB is headquartered in Maryland and 92.48% owned by Sumitomo Forestry. Falls River Group served as financial advisor to Sumitomo Forestry. The specific terms of the transaction were not disclosed.

Headquartered in the Tampa area, Biscayne Homes is a Florida-based builder of high-quality single-family homes and townhomes, primarily serving the fast-growing Tampa metropolitan region. BH builds approximately 120 homes annually and maintains a strong relationship with Metro Development Group, Florida’s most prominent land developer, providing access to a robust pipeline of residential lots.

The acquisition is a strategic expansion of DRB Group’s Florida footprint and supports Sumitomo Forestry’s long-term goal to sell 23,000 housing units annually in the United States by 2030. It follows earlier moves in Florida, including investments in Southern Impression Homes in 2022 and the establishment of DRB Orlando in 2023. With the addition of Biscayne Homes, DRB has launched a Tampa division to integrate BH’s land pipeline with DRB’s sales, construction, and material procurement operations.

Florida continues to be a key strategic market for Sumitomo Forestry due to its strong economic fundamentals: the state ranks second in the U.S. in new single-family building permits and third in population size. Tampa, as Florida’s second-largest metro area, boasts stable population growth and high demand for housing, making it an ideal base for continued expansion.

“Biscayne Homes strengthens our ability to scale in a high-growth market while leveraging DRB’s proven operational capabilities,” said Atsushi Iwasaki, leader of Sumitomo Forestry’s U.S. operations. “This acquisition is aligned with our Mission TREEING 2030 vision and reflects our commitment to sustainable, strategic growth across the U.S. housing market.”

Founded in 1992, Falls River Group is a global Mergers & Acquisition (“M&A”) advisor based in Naples, Florida. FRG’s core capability is sell-side advisory services, generating shareholder wealth for sellers of middle-market companies who seek a proven and confidential process. FRG’s professionals are committed, trusted advisors to their clients and referral partners.