2000 was an outstanding year for the Southern California Division of William Lyon Homes, Inc. Through diligent efforts by the entire team, led by Division President Tom Mitchell, we were able to accomplish or exceed all of our business plan objectives for the year.

Avalon at Summerlane, Plan 3, in Huntington Beach, CA; Southern California Division Staff.

Operating in four diverse geographic markets, this Division is organized to provide housing in a variety of niches, always striving to produce the highest quality product. Pricing for homes delivered in 2000 ranged from a low of $150,000 in the Inland Empire to a high of $680,000 in Orange County, with an average sales price of $286,000 for the Division.

We achieved 104% of our business plan target for the year, including joint ventures, with strong activity in all market areas and 819 total sales, compared to 721 total sales a year ago. In this Division we averaged 16 sales per week, with an average weekly sales rate of 1.65 per project.

Operationally, it was a balanced year with the closeout of eight projects and the successful opening of eight new projects.

Our extremely busy construction team maintained an average of over 400 homes under construction at any given time during the year. On a combined basis, the Division achieved 768 new home deliveries in 2000. Of particular note was the record-breaking, combined closing volume of 353 new homes in the fourth quarter, with 188 occurring in December. We are proud of the quality of our product and our many satisfied home buyers.

We also are pleased with our new project land acquisitions in 2000, totaling 724 lots in ten projects, and contracting for an additional 428 lots for future acquisition. We believe our Southern California Division is well positioned with its superior land inventory, exciting product, and experienced team of professionals.

(from left): Exterior and Interim, Lyon Plantation at Thomas Ranch, Plan 3, in San Ramon, CA.