In November, adobe bought Lakewood, a $8.6 million home in the affluent community of Lakewood in Orange County, for $1.1 billion.
But on Wednesday, the company said it would stop buying homes in Orange, California and nearby communities in southern Orange County and is looking for new homes to replace them.
The news is the latest sign of adobe’s slowing economic recovery, with home sales in the US dropping 9.7% in the first quarter of 2017, the biggest one-month decline since the financial crisis.
For the full year, sales in Orange have dropped 9.4%.
In addition to Lakewood and the other Orange communities, the home adobe buys are: The Woodlands, a home in Lakewood that has sold for $4.5 million in recent years; Cedar Point, a single-family home in Orange that has been sold for just over $1 million; ”Worcester, a large duplex with an attached three-bedroom house that has made its way to Lakewold for $3.3 million; and the Oakley, a six-bedroom home in Woodlands that is now on the market for $2.7 million.
Adobe said it is also looking for more houses in Orange counties outside of Lakewolds, where it also owns a home for sale.
“In addition, we have been actively pursuing acquisition opportunities in Orange and adjacent counties, including Orange, Ventura, San Diego, San Jose, Orange County’s West and South counties, and the City of Anaheim,” adobe said in a statement.
In a letter sent to customers on Wednesday night, the adobe chief executive, John Callahan, said the company is looking to buy a larger swath of homes in Southern California, particularly in Orange.
It is looking at a range of properties in Orange for acquisition and acquisition of properties is on the table.
“Adobe is working to acquire properties for sale, including in the area in Southern Orange and Orange County that currently has a home adobee, and also has additional property that is available for acquisition,” Callahan wrote.
He said the homes that adobe plans to buy will be purchased at “low, moderate and high prices,” with a focus on low- to moderate-priced homes that have a mix of amenities such as bathrooms, kitchens and living spaces.
There will be a focus “on properties that have attractive, low cost home values, as well as properties that offer significant amenities for our customers,” Callaghan wrote.
In a recent article, the Financial Times described Lakewood as “an upscale enclave” with “luxury homes with some of the best views in Orange.”
But it said its residents have struggled to find affordable housing.
According to a story in the Orange County Register, the average household income in Lakewood is $71,077, but it is nearly double the $46,927 median in Orange as well.
That means the median household income is nearly $2,200 less than the average in Orange county.
At the time, Callahan said adobe was looking for a buyer to help it turn around the company.
On Tuesday, he said the sales decline in Orange was a “real problem” and he said adobey was “working hard to build new properties in our area.”
In December, the firm purchased the house in Lake Woods for $6.4 million.
Lakewood, along with the other properties adobe owns, includes: A home in Rancho Cordova, California, for just under $1,100,000; An upscale two-bedroom, three-bathroom house in Ranchos Creek, California for $723,000.
An older two-story, two-bathrooms home in Santa Ana, California.
A two-storey, four-bedroom bungalow home in San Jose for $11,000 a month.
Lakewood is located on a ranch in a region known as the “Silicon Valley,” where Silicon Valley millionaires have a lot of money and have invested heavily in tech companies, including Facebook, Google and Intel.
Its homes range in size from two to seven bedrooms, and are located on property owned by the Adobes.