Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Lennar, Morgan Stanley in real estate deal

Troubled homebuilder sells property portfolio for $525 million to new investment venture owned mostly by the Wall Street bank.

Subscribe to Companies
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)

LONDON (CNNMoney.com) -- Homebuilder Lennar Corp. has sold a property portfolio to a new venture mostly owned by an affiliate of Wall Street bank Morgan Stanley for $525 million.

Lennar (Charts, Fortune 500) said late Friday it had formed an investment venture with the real estate arm of Morgan Stanley (Charts, Fortune 500) to buy, develop and sell residential property.

As part of the deal, Lennar sold the entity about 11,000 home sites. The properties had a book value of about $1.3 billion as of Sept. 30 and are located in 32 communities across the country.

Lennar owns a 20 percent stake in the new investment venture. It also will receive fees for managing its operations. To top of page

Photo Galleries
10 of the best beaches near airports Wait out your layover in the transit lounge? Or grab some sun, sand and surf? More
World's Top Employers for New Grads For an exclusive CNNMoney list, research firm Universum Global surveyed business students at colleges around the world to see where they most want to work. More
A White House press briefing as told by CNN's sketch artist The White House started banning cameras during some briefings, so CNN sent in sketch artist Bill Hennessy. More
Sponsors