TOMLIN INVESTMENTS

The Early History

The foundation for Tomlin Investments was laid in 1970 when Daniel Tomlin, Sr. and Dan Tomlin, Jr. left corporate management and entered the land investment and brokerage business.

The senior Tomlin was a Dallas native who attended Southern Methodist University and later the Harvard Business School. He held executive management positions of various companies prior to entering the real estate industry. Dan Tomlin, Jr. attended Texas Christian University, and subsequently completed his education at SMU where he earned a Master’s Degree in Business Administration. Dan Jr. was also engaged with corporate management prior to committing to a career in real estate with his father. The senior Tomlin passed away in 1984. In 1987 Dan Tomlin III joined his father in the business after attending the University of Mississippi.

In the early 1970s the Tomlins focused on land investment opportunities with an emphasis on the research and analysis of underlying development patterns and constraints, evolving market demand, and demographic trends. The resulting ability to identify superior investment and development opportunities for their clients contributed to the rapid growth of the firm.

By the mid 80s the Tomlins were managing a land investment portfolio valued in excess of $500,000,000 and they had consistently generated annual returns in excess of 40% for their investment partners. The company opened offices in growth markets throughout the country in order to further diversify the investment portfolios of their investors. By 1986 they had offices in Washington, Atlanta, Houston, Phoenix and Los Angeles, in addition to the home office in Dallas. However, as the effects of the real estate and financial crisis that started in the Southwest spread to other regions, Tomlin consolidated operations around its base in North Texas, waiting for the inevitable turn around in the market.

The Shift to Development

At the start of the 90s, it became apparent that the real estate market was on the upswing in Texas, and the Tomlins once again focused their energy on finding superior investment and development opportunities for their investors. Because of the increasing demand for well located and affordable single family lots, and well conceived master planned communities, they concentrated on the acquisition and assembly of parcels of land on the edge of development that would be quickly impacted by job growth and the rapidly expanding Metroplex economy.

However, the land and lot development industry has changed significantly since the late 80s. It is now characterized by large builders/developers that are frequently vertically integrated, publicly owned, or have institutional backing. These builders/developers have severely restricted opportunities for the smaller, entrepreneurial developer. As a consequence of this, and in an effort to reduce the cost of raising public and private capital, the Tomlins have increased the size and scope of their typical development. However, to optimize investment performance, the business strategy emphasizes bulk sales of lots to production builders for cash, and the sale of serviced mega-pads to third party users and developers.

Current Development Activity

By 2007 the Tomlins had rebuilt their land investment and development portfolio to a value exceeding $450,000,000 and approximately 11,000 acres. Their flagship master planned community, located north of Dallas, is the 4,500 acre "Lone Star Ranch" situated in Frisco, Texas. Frisco is rapidly growing and is projected to add at least 3,000 new single family homes annually for the next several years. The first two phases of Lone Star Ranch include over 900 lots and the amenity infrastructure to support a development of this magnitude. The Ranch is zoned for single family, multifamily, commercial and retail development.

The company has eight additional master planned communities under consideration in the Dallas/Fort Worth area, which will further enhance its competitive posture. Several other properties are the ongoing subject of intense research and negotiations for purchase. Tomlin Investments also retains partnership interests and management in a number of residential subdivisions and land investments throughout the region.

© Copyright 2007