National homebuilder Ashton Woods is expanding into the greater Denver market, with sales planned to launch next year as it goes head-to-head with some of the industry's biggest names in an increasingly competitive market.
Regional President Lindsay Motley said Denver has long been on the company’s radar for its solid job market, a population growth that outpaces the national average, and limited new construction, which has contributed to a regional housing shortage.
“We currently build as far west as Phoenix and the Arizona market, and for us, there’s an opportunity to diversify our portfolio more,” she said in an interview. “We want to have more Western presence, and we see Denver as a great city.”
Adding more affordable housing options is something Motley noted as a goal for Ashton Woods in an area where the median residential sale price as of December was $580,000, up from $525,000 in 2021, according to the Denver Metro Association of Realtors.
Ashton Woods, based in Alpharetta, Georgia, is the 15th largest U.S. homebuilder, according to rankings by trade publication Pro Builder, selling more than 8,000 homes in 2023. The firm caters to move-up buyers with its Ashton Woods brand and targets first-timers with its more affordable Starlight Homes label. Both brands include single-family homes and townhouses.
Ashton Woods said it closed two Denver-area land acquisitions, though did not disclose details, and has several other deals under review. The builder’s arrival in Colorado comes with the hire of state native Shannon Robbins as vice president of land acquisition for metropolitan Denver.
Several homebuilders are active in the Denver market, a hot market for expansion in the past several years, including Lennar, Taylor Morrison, KB Home, David Weekley Homes, Richmond American Homes and Meritage Homes. It's created a competitive market that only underscores Ashton Woods' decision to move into the region.
“In addition to being known for its outstanding lifestyle and booming job creation, Denver is consistently ranked as a top 20 homebuilding market where at-scale homebuilders have been able to thrive," Chief Operating Officer Ryan Lewis said in a statement.
The New Home Co. announced six new master-planned developments in December that would add 1,087 homes. The builder entered the Colorado market in 2021, as did Trumark Homes. Pulte Homes opened its first Denver market project in nearly 10 years in 2022, and Thomas James Homes entered the Colorado market the same year. Landsea Homes expanded into the Colorado market in late 2023.
Beyond Denver
Motley confirmed that the first developments would be in metropolitan Denver, and future plans would be anywhere from Fort Collins to Colorado Springs. The new developments will include homes from both the Ashton Woods and Starlight Homes brands.
Ashton Woods hopes to capitalize on a growing population in greater Denver, which saw a 1.2% jump between 2020 and 2023, in comparison with a nationwide 1% increase. Denver’s housing shortage as of 2023 is estimated between 45,000 and 115,000 by the Colorado-based economic research firm Common Sense Institute.
Despite a softening in demand from higher mortgage rates across the country, Motley said, the Denver market looks to remain in high demand for the foreseeable future.
New homes will feature existing Ashton Woods floor plans, but Motley added that aesthetics will be adjusted for the specific market.
“We have some great floor plans but would look to reflect the unique styles of the Denver area,” she said. “Although we have those floor plans, we want them to feel timeless, elegant, modern, but in keeping with the mountain region.”
Moving into Denver marks Ashton Wood’s 13th market and eighth state. It builds in Arizona, North Carolina, South Carolina, Florida, Georgia, Tennessee and Texas. The homebuilder last expanded with Jacksonville, Florida, and Nashville, Tennessee, markets in 2023.