flexiblefullpage - default
Currently Reading

Berkshire Affiliate Expands Into Virginia With Acquisition

billboard - default
Business Management

Berkshire Affiliate Expands Into Virginia With Acquisition

July 29, 2021
Richmond, Virginia
Photo: SeanPavonePhoto | stock.adobe.com

Clayton Properties Group, a conglomerate of Berkshire Hathaway, has extended into Virginia via its Mungo Homes brand acquiring Richmond-area builder CraftMaster Homes. Clayton Properties Group first purchased South Carolina-based Mungo Homes in 2018 and has slowly been widening its footprint on the east coast since. CEO Steven Mungo says the company decided on acquiring CraftMaster Homes because of the builder’s widely positive reputation in Richmond. CraftMaster Homes’ custom home offshoot company, PerrinCrest Custom Homes, was also part of the deal, reports Richmond BizSense.

Both CraftMaster and PerrinCrest will continue under their names, with the tagline, “a Mungo Homes company.”

“We’re not really in the custom business,” Mungo said of PerrinCrest, “but we really couldn’t figure out how to separate that from the rest of the company without it being terribly awkward.”

“They seem to be doing a great job with the custom business and interested in it,” he said. “We think we can make their custom business be more competitive, because of the tremendous buying power that we bring to the table.”

Where other acquisitions have adopted the Mungo Homes name, Mungo said he left the decision up to Tunstall, who will continue leading both firms. All of CraftMaster’s 25 employees also are carrying over.

Mungo said it made sense to keep CraftMaster’s name in light of its brand recognition and higher price point. Where CraftMaster’s homes in recent years have averaged in the low-$400,000s, Mungo Homes’ product, which it markets as affordable and energy-efficient, ranges closer to $330,000, Mungo said.

“Richmond is an expensive market housing-wise. It’s more akin to Raleigh or Charleston,” Mungo said, adding that his company also is active in lower-price markets. “That keeps our average sales price down a bit, and we emphasize in some of those markets a much-lower price point than what Jeff has typically done.”

Read More

Related Stories

Business Management

Industry Strategies for Weathering a Market Correction

Home builders, BPMs, and real estate investors are adjusting their business strategies to overcome a market slowdown. Here's what they're doing differently... 

Business Management

How These Female Business Leaders Foster Trust in the Workplace

Four female panelists discussed strategies to create a healthy and inclusive workplace at Fortune's Most Powerful Women Summit last week 

Business Management

Is an Employee Stock Ownership Plan Right for Your Construction Business?

Employees who are invested in the company's success may one day make the best leaders. That's where employee stock ownership plans (ESOP) come in

boombox1 -
native1 - default
halfpage2 -

More in Category

native2 - default
halfpage1 -

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.

Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.