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William Lyon Quarterly Loss Jumps to $69M

Newport Beach-based homebuilder William Lyon Homes Inc. on Wednesday reported a $69 million loss for the first quarter, a big jump from a year earlier, thanks in large part to write-downs of more than $62 million for land the company owns or has opted not to build on.

The company, which went private in 2006 but still reports results for debt holders, posted revenue of $69.3 million in the first quarter, a 50% decrease from a year earlier.

William Lyon Homes reported revenue of $146.4 million in the fourth quarter.

Losses for the first quarter included a $24.1 million impairment loss on assets the company currently owns, and an additional $37.9 million write-off of land deposits and pre-acquisition costs on projects the builder believes are no longer viable.

William Lyon Homes reported less than $1 million in net losses for the first quarter of 2008, and saw a $23.2 million loss in the fourth quarter.

The company saw new home orders, or contracts to buy a William Lyon home, fall 51% from a year ago, to 182 orders in the first quarter.

The average price of a home sale in the first quarter dropped to $300,800 from $372,000 a year ago.

William Lyon Homes builds in California, Arizona and Nevada.

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Mark Mueller
Mark Mueller
Mark is the former Editor-in-Chief and current Community Editor of the Orange County Business Journal, one of the premier regional business newspapers in the country. He’s the fifth person to hold the editor’s position in the paper’s long history. He oversees a staff of about 15 people. The OCBJ is considered a must-read for area business executives. The print edition of the paper is the primary source of local news for most of the Business Journal’s subscribers, which includes most of OC’s major corporate and community players. Mark’s been with the paper since 2005, and long served as the real estate reporter for the paper, breaking hundreds of commercial and residential real estate stories. He took on the editor’s position in 2018.

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