Merger not expected to cause delays in projects underway
North Texas real estate developer, Rockhill Capital and Investments announced a merger with fellow North Texas real estate investment firm, Horizon Capital Partners.
The two companies will unite under the Rockhill brand, according to a statement from the Frisco-based firm. Rockhill plans to leverage its expanded team and resources to target a wider range of real estate investments and bolster its development activity across the region.
Since 2009, Rockhill has been providing expertise in land acquisition and development, entitlement, and infrastructure construction, focusing on residential development. Horizon focuses on the development, sourcing, and procurement of financing and capital relationships with the goal of achieving long-term, positive results for its investment partners.
The firms combined have more than $300 million of managed real estate assets.
Rockhill is Teaming up With a Proven Brand
Rockhill Principal Ryan Griffin said the two sides have worked together for five years and last year decided it was best to team up. He said the two sides complement each other, with Horizon handling the capital raise and Rockhill working on the development of projects.
“It made a lot of sense, especially if you want to grow,” he said.
Horizon founders Dave Johnson and Mark Smith will be joining Rockhill. Johnson has a background in the hotel industry, where he spent 17 years at Wyndham Hotels serving as president. He then became chairman and CEO of Aimbridge Hospitality, recognized as one of the premier hotel management companies in the world. Smith is a real estate veteran with acquisition, management, finance, and project development experience spanning more than two decades.
“We’re eager to continue to build new opportunities with Rockhill and positive results for our investment partners,” said Mark Smith, now a principal at Rockhill. “We believe we have a powerhouse team and are excited to see what we can accomplish together in 2023 and beyond.”
North Texas Projects in Progress
Rockhill has several residential communities in development, including Uptown Celina, a 675-acre district adjacent to downtown Celina on the north side, and extending west to the future Dallas North Tollway. Uptown Celina will include at least four distinct neighborhoods offering varying home sizes and types, with the potential for multi-family, commercial and retail space.
Other prominent upcoming projects include a joint venture with Covenant Development to develop the single-family residential portion of Heritage Ranch, a 440-acre mixed-use master-planned community in Sherman, Texas. Rockhill also recently announced Oliver Creek Ranch (formerly Shoop Ranch), a 1,800-acre project in New Fairview, Texas, between Denton and Fort Worth, with plans for 5,000 homes, a city center, and more.
Griffin added that the current economic factors have little impact currently, but noted time will tell. He said, though, they are “cautious” in acquiring more deals and keeping an eye on lot supply. He said they could hit pause depending on what occurs with interest rates in the coming months.
The Federal Reserve has been steadfast in its efforts to curb inflation, with its mean weapon being rising interest rates. The Fed raised interest rates another. 75 basis points during its Nov. 1-2 meeting to 3.75 to 4 percent.
Despite the uncertain economic factors, Griffin said he’d rather be in Dallas-Fort Worth “than anywhere else in the world” as there is still positive job growth and an employee base.
