Texas-based homebuilder Onx Homes is significantly scaling back its South Florida presence, announcing the permanent layoff of 137 workers and the closure of its Pompano Beach and Homestead factories. The move comes as the company cites ongoing challenges within the U.S. housing and construction market.
Key Takeaways
- 137 South Florida workers to be laid off permanently.
- Pompano Beach and Homestead factories are winding down operations.
- Company cites market challenges, including rising costs and slowing demand.
Factory Closures and Layoffs
Onx Homes, known for its prefabricated, storm-resistant houses, confirmed the layoffs in a filing with FloridaCommerce. The affected employees, including skilled and unskilled laborers, managers, and executives, will see their employment end starting December 15th, just before the holiday season.
The Pompano Beach facility, a $50 million robotics-driven factory established in 2024, will cut 30 employees. This plant specialized in producing structural components like walls and roofs, capable of manufacturing enough parts for up to three homes daily. The Homestead facility, which will lay off 107 workers, focused on creating fully finished, "plug-and-play" bathroom pods, with a capacity for four to five homes per day.
Market Challenges Cited
Melissa Pinto, Onx Homes’ marketing and communications director, stated that the decision to reduce operations is part of a broader restructuring effort. "Onx Homes has made the difficult decision to reduce operations at its Pompano Beach and Homestead factory locations as part of a broader restructuring effort in response to continued challenges in the U.S. housing and construction market," Pinto explained in an email.
She further elaborated that the company is gradually reducing staffing and production volumes to align with current market conditions. Pinto attributed these challenges to significant industry shifts over the past two years, including rising interest and financing costs, supply chain pressures, and a moderation in housing demand. "These external factors have made it increasingly difficult to sustain operations at our current scale," she added.
The company has not yet addressed the status of any existing homebuyer contracts but indicated that further updates would be provided when possible.