Homebuilder CEO says demand has slowed

BONITA SPRINGS — Developer and homebuilder WCI Communities says first-quarter revenues rose nearly 42% compared with the same quarter a year ago, even as its CEO says housing demand is moderating.

The Bonita Springs-based company reported net income of $6.7 million on revenues of $138.3 million in the quarter ending March 31. That compares with net income of $5.7 million on revenues of $97.7 million in the same quarter one year ago.

WCI delivered 254 homes in the first quarter, an increase of 116 units, or 84.1%, from the same quarter a year ago. The average selling price per home delivered during the quarter ending March 31 was $432,000, an 11.1% decline compared with the first quarter of 2015. The decrease in average selling price was due to a shift to lower-priced active-adult homes, the company says.

“While demand trends appeared to generally moderate across Florida this quarter when compared to the prior year, we believe the Florida housing market remains healthy,” says Keith Bass, WCI's president and CEO, in a statement. “We remain optimistic in our long-term view of the Florida housing market given the state's positive demographic, economic and real estate fundamentals.”

As of March 31, WCI's backlog contract value was $316 million, an increase of 11.9% from the prior year. The average selling price of backlog units was $506,000, an increase of 2% from the prior year.