Four long-time veterans of the manufactured housing industry retailers have opted to join forces with a former executive with an industry giant to form a new manufactured housing builder.
An informed source tells MHProNews that those involved include:
- “Casey Peacock/Meghan Roller of Hench’s Homes in Sherman, 40+ year old dealership,
- Todd McDonald of McDonald’s Homes in Jasper, 40+ year old dealership,
- Donnie Brewer of Brewer Homes in Bossier City, 40+ year old dealership,
- Lance Inderman of Mustang Homes in Lubbock, 40+ year old dealership
- are partners with David Jessup on Jessup Manufactured Housing.”
Jessup, says the Waco Tribune, is a former Clayton Homes team member, who left the company to make this happen. LinkedIn listed Jessup as a Regional Vice President for Clayton Homes.
“The Waco City Council and the McLennan County Commissioners Court approved an $850,000 economic development grant Tuesday for Jessup Manufactured Housing LLC, a new business set to move into the former Patriot Homes building on West Loop 340,” according to the Waco Tribune.
The seven-month-old company was formed in the wake of the last hurricane season in Texas, when an already long backlog of orders from retailers and communities grew as a result of orders from the Federal Emergency Management Administration (FEMA).
Local media reports that Jessup will add “$1.25 million worth of equipment to its facility and hire up to 200 full-time employees by 2020, with plans to hire 150 by the end of the year. The city and county will split the cost of the economic development grant.”
“The company will build single-wide homes of less than 1,200 square feet for shipment to independent retailers in Texas, Louisiana, Oklahoma, Colorado, Arkansas and possibly Mississippi,” Jessup said, estimating that the retail price will be around $45,000 to $49,000.
A Manufactured Housing Institute (MHI) member-producer told the Daily Business News on MHProNews that the product mix in Texas has shifted, to include a higher percentage of single section homes. “Right place, right time,” that HUD Code manufactured home builder said. “There is not enough capacity to satisfy the demand…the parks are competing for that production and the oil prices are going up and needing units too. Most factories are out 3 to 5 months.”
“These are really skilled positions basically building homes,” said Kris Collins to the Waco Tribune, senior vice president for economic development at the Greater Waco Chamber of Commerce. “We know that that’s an area where we have considerable depth of workforce. That makes this a really attractive place for Jessup to establish its presence.”
They said that Jessup worked for Tennessee-based Clayton Homes, which also has plants in Waco, “for 20 years and quit to start his own operation.” They are seeking staffers with carpentry, plumbing and electrical skills, that are “willing to work.” Training is being offered by Jessup’s firm.
“Our target market is first-time homebuyers who have grown tired of paying rent,” Jessup said.
The Manufactured Housing Association for Regulatory Reform (MHARR) reports that Texas has long been the top production and retailing state in the U.S.
DJ Pendleton, Executive Director of the Texas Manufactured Housing Association (TMHA) told the Daily Business News that “Jessup is a terrific guy. Former TMHA Chairman and a friend.”
Another HUD Code MHI member-producer, commenting to MHProNews about the announcement said that other plants are being discussed, planned, or are already under construction. Some of those have previously been reported by the Daily Business News, but the sense is that more are coming.
That second MHI member production source pointed to a development that will part of an upcoming, separate report about Clayton Homes. Stay tuned.
It’s worth noting that new manufactured home producers coming onto the scene has been taking place after the regulatory rollbacks initiated by the Trump Administration. Coincidence? ## (News, analysis, and commentary.) (Third party images are provided under fair use guidelines.)
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