Simonds’ $10m Dennis Deal Creates Sixth Largest Builder

Simonds Group has paid $10 million for Dennis Family Homes, creating Australia’s sixth-largest residential construction company.

“Although [Dennis Family Corporation] sees significant potential in the housing sector, it has made a strategic decision to divest the housing business,” the Dennis Family stated in a company announcement.

The transaction, scheduled for completion in March, 2025, encompasses Dennis Family Homes’ residential construction operations, which started 474 builds last year.

“This acquisition unites two businesses with deep industry expertise, shared values, and a mutual commitment to delivering high-quality homes,” the family said.

The acquisition excludes Dennis Family’s land development business, which maintains a pipeline of 18,000 allotments over 12 masterplanned communities across Victoria and south-east Queensland.

Simonds Group chief executive David McKeown said the purchase was a “green shoots” recovery signal for the construction sector.

McKeown confirmed Dennis Family Homes contracts would continue uninterrupted.

He also said the group would continue working towards making its homes more affordable and cited the merger’s potential for reduced building costs through economies of scale.

“We are working through the impacts financially, but with scale comes an opportunity to be more efficient as a business overall—and that means there may be opportunities for pricing,” McKeown said.

▲ Dennis Family Group founder Bert Dennis. TOP: Simonds chief executive Rhett Simonds, founder Gary Simonds AM and executive director Mark Simonds.

The merger is expected to generate $200 million in additional revenue for Simonds Group in the 2026 financial year.

Dennis Family Homes has about 300 homes under construction and 500 properties in its forward order book.

The acquisition will expand Simonds’ display home network by 40 per cent and double its product portfolio.

Simonds, which began construction on 1772 homes in the previous financial year, will absorb Dennis Family Homes’ significant presence in regional Victoria, including operations in Ballarat, Bendigo, Echuca, Geelong and Shepparton.

According to the ASX announcement, the purchase will be funded through cash payments, structured in stages to align with construction milestones.

A Simonds’ statement said no shareholder or regulatory approvals were required, and Simonds’ board and senior management would remain unchanged.

Simonds Group, formed in 1949 and listed on the ASX in 2014, operates across Victoria, Queensland, New South Wales and South Australia.

The company’s range spans single and double-storey detached homes, dual-occupancy projects, medium-density developments, and ready-built homes.

The Dennis family will maintain its focus on land, retail and commercial development. Current operations include six retail and commercial developments spanning 100,000sq m of gross lettable area.

“We have the capacity for significant growth of the business over the next decade,” the family said in a statement.

Patriarch Bert Dennis, who began the company in 1960, was in 2023 named the inaugural recipient of The Urban Developer Lachlan Webb Lifetime Achievement Award.

Housing Industry Association Victorian executive director Keith Ryan endorsed the consolidation strategy.

“This shows their willingness to invest in the future, and you don’t do that if you don’t have confidence there is a future. This is clearly a signal for confidence,” Ryan said.

The transaction represents significant industry consolidation and follows Metricon’s sale of a controlling stake to Japan-based Sumitomo Forestry late last year.