RV manufacturer Coachmen Industries Inc. is rapidly expanding its modular housing industry presence through acquisitions, but it faces a new competitor in modular homes, Champion Enterprises Inc., perhaps the largest manufactured housing producer.
Champion, which left the RV industry during the early 1990s, officially launched its Genesis brand of modular homes earlier this month.
Champion will produce Genesis homes in 12 factories situated around the country to serve regional markets, according to the Auburn Hills, Mich.-based company.
On Monday, Coachmen announced its plan to acquire KanBuild Inc., a modular buildings producer with factories in Kansas and Colorado.
Currently, Coachmen’s strengths in modular housing are in the Midwest, Southeast and Mid-Atlantic markets as a result of having factories in those regions.
However, Champion has been having difficulty as a result of the manufactured housing industry’s sharp downturn. Champion earned $150,000 on sales of $1.49 billion during the first nine months of this year. Champion lost $4.0 million in the third quarter.
Champion is in a tight race with Fleetwood Enterprises Inc. for the distinction of being the leading manufactured home producer. Fleetwood had $765 million in manufactured home sales during the first half of its fiscal year, which ended Oct. 29.