Hearthstone

What Hearthstone does

Hearthstone is America's first and largest institutional investment manager dedicated solely to the U.S. residential homebuilding industry, headquartered in Calabasas, California. Founded in 1992, the firm has committed over $18.0 billion across more than 700 communities in selective high-growth U.S. markets, providing capital to public and private homebuilders through three core programs: land banking and model sale-leaseback programs offering just-in-time capital for public builders seeking balance sheet alternatives; joint venture financing providing up to 97% of capital required for private builders' for-sale home communities, entitled land projects, and mixed-use developments; and advisory services for real estate investors and financial institutions seeking portfolio management expertise.

The company operates a B2B direct-investment model, marketing through industry publications (notably BUILDER magazine), its annual Humanitarian Award program, and a builder login portal for existing partners. Revenue is generated through management fees, incentive/carried interest on joint venture returns, advisory fees, and capital gains participation on its investments. Following its mid-2025 acquisition by Five Point Holdings, the platform now operates as Hearthstone Residential Holdings, with a March 2026 partnership with Blue Owl Capital providing up to $1.7 billion in land banking capital. The customer base spans public homebuilders (Beazer Homes, Sekisui House, M.D.C. Holdings), private homebuilders (Woodside Homes, Grenadier Homes, Gracepoint Homes, Comstock Homes), and real estate investors. The firm employs 51-100 people and supports the Hearthstone BUILDER Humanitarian Award, which has donated over $8.0 million to charity since 1999.

Name

Hearthstone

Legal name

Hearthstone, Inc.

Website

https://hearthstone.com

Company type

Private

Founded year

1999

Operating status

Operating

Headcount range

51–100 employees

Short description

Hearthstone is the first and largest U.S. institutional investment manager dedicated solely to residential homebuilding, providing land banking, joint venture financing, and advisory services to public and private homebuilders in selective high-growth markets, with over $18 billion deployed across 700+ communities.

Ownership category

akta.pro rank

Product category

Residential Real Estate Investment Management

NAICS

Portfolio Management and Investment Advice (523940), Real Estate Property Managers (53131)

SIC

Real Estate Agents & Managers (For Others) (6531), Investment Advice (6282)

akta.pro primary industry

Residential Real Estate Asset Management (BPAJAMAA)

akta.pro secondary industry

Real Estate Portfolio & Fund Management (Institutional/REIT/PE) (BPAJAMAJ)

Keywords

• Residential real estate investment
• Land banking programs
• Joint venture financing
• Homebuilding capital management
• Real estate advisory services

Headquarters

HQ city

Calabasas

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Others

Distribution channels1 record

Marketing channels3 records

Core offering

Hearthstone is the first and largest institutional investment manager in the U.S. dedicated solely to the residential homebuilding industry, managing institutional capital in residential housing investments. It provides land banking and model sale leaseback programs offering just-in-time capital to public homebuilders, joint venture financing delivering up to 97% of capital required for private builders' communities, and comprehensive analytical and real estate investment portfolio management advisory services to investors and financial institutions.

Product overview

Hearthstone is America's first and largest institutional investment manager dedicated solely to the U.S. residential homebuilding industry. The company has committed over $18.0 billion to the for-sale homebuilding industry, financing more than 700 communities in selective high-growth markets. Hearthstone offers four main programs: Land Banking and Model Sale Leaseback programs providing just-in-time capital for public builders; Joint Venture Financing providing up to 97% capital for private builders; Advisory Services for real estate investors and financial institutions; and the Hearthstone BUILDER Humanitarian Award recognizing charitable builders. The company operates from Calabasas, California and focuses exclusively on residential real estate investment and advisory services.

Differentiator

Problem solved

Functional benefit

Products and services

• Land Banking and Model Sale Leaseback Programs Just-in-time capital solutions providing land banking and model sale leaseback financing options for public homebuilders seeking balance sheet alternatives for land acquisition and development financing.
• Joint Venture Financing Provides private homebuilders with up to 97% of the capital required to finance for-sale home communities, entitled land projects, and mixed-use developments.
• Advisory Services Comprehensive analytical and real estate investment and portfolio management services for real estate investors and financial institutions seeking expertise in the residential sector.

Quantifiable outcome

• Over $18.0 billion committed to for-sale homebuilding industry
• +2 more outcomes

Named customers9 records

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Four partnerships are on record, tiered core and minor.

• Five Point HoldingscoreStrategic or Co-development Partner · 22 March 2026Five Point Holdings acquired the Hearthstone platform in mid-2025 and operates it as Hearthstone Residential Holdings. The partnership with Blue Owl Capital enables acquisition of residential homesites in high-quality U.S. housing markets through the land banking investment partnership.
• Latham & WatkinsminorOthers · 17 February 2026Latham & Watkins LLP served as legal advisor to Blue Owl Capital in the residential land banking investment partnership with Five Point Holdings and Hearthstone Residential Holdings.
• Sterling RanchcoreStrategic or Co-development Partner · 27 June 2022Hearthstone became a financial partner to recapitalize Sterling Ranch, a leading master planned community in Colorado. The Smethills family remains as owners and managers while Hearthstone provides capital for continued development. Sterling Ranch is ranked among the Top 50 Master Planned Communities in the nation.
• Sekisui HousecoreStrategic or Co-development PartnerHearthstone, Inc. acted as real estate advisor to Sekisui House in their combination with M.D.C. Holdings to create a top five homebuilder in the U.S.

Scale indicators5 records

Recent moves5 records

Expansion highlights8 records

Broad incumbents

• Kennedy Wilson: Kennedy Wilson is a global real estate investment company with residential investment activity in the U.S., operating a comparable diversified real estate investment platform though with broader commercial exposure.
• Starwood Capital Group: Starwood Capital runs large diversified real estate strategies including residential land development and homebuilder financing—comparable as a broad real estate investment manager with overlapping residential capability.
• Rockpoint Group: Rockpoint is a real estate-focused private equity firm with residential and land investments across the U.S., comparable in business model as an institutional real estate capital allocator.
• Oaktree Capital (Real Estate): Oaktree's Real Estate Opportunities funds invest in U.S. residential and land-related opportunities, overlapping with Hearthstone's focus on homebuilder financing and land banking at a broader institutional scale.
• Brookfield Asset Management (Real Estate): Brookfield's real estate group manages significant residential and housing-related investments globally and is actively scaling its U.S. residential footprint, overlapping with Hearthstone's mandate.
• Invitation Homes: Invitation Homes is the largest U.S. SFR REIT, representing an institutional capital vehicle operating in U.S. residential housing. Adjacent rather than directly competitive since Hearthstone focuses on for-sale development capital versus stabilized SFR.
• Blackstone Real Estate: Blackstone's real estate platform is the largest institutional real estate allocator globally, with growing capital deployed to U.S. residential strategies (BTR, SFR, land). It competes for institutional capital and residential deal flow though at vastly greater scale.

Direct peers

• GTIS Partners: GTIS is a U.S.-focused real estate private equity firm with significant exposure to residential land, for-sale housing, and homebuilder financing—closely aligned with Hearthstone's investment verticals.
• Five Point Holdings: Five Point Holdings is the parent company that acquired Hearthstone's platform in mid-2025 and operates it as Hearthstone Residential Holdings; Five Point is itself a large-scale master-planned community developer, creating an integrated platform relationship.
• Pretium Partners: Pretium is a specialized residential real estate investment manager with comparable focus on U.S. housing investment, including SFR, build-to-rent, and residential credit strategies—directly overlapping with Hearthstone's residential development capital mandate.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/hearthstone

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Hearthstone