Millrose Properties launches $1B debt offering for homesite acquisitions

Millrose Properties, a Miami-based homesite finance company, has launched a private offering of up to $1 billion in senior notes. The company plans to issue two $500 million tranches, with maturities in 2029 and 2031.

Millrose intends to combine the bond proceeds with a $500 million draw from its delayed-draw term loan facility, providing up to $1.5 billion in incremental capital. The funds are earmarked for general corporate purposes, including the acquisition of homesites related to the pending merger between Dream Finders Homes and Beazer Homes, as well as the repayment of $850 million in outstanding principal on its revolving credit facility.

A special mandatory redemption clause is attached to $500 million of the 2031 notes, which will be triggered if the Dream Finders-Beazer transaction is not completed by May 13, 2027.