Walnut Valley Unified School District attracted Fortune 500 homebuilder Lennar Corp. as the top bidder for a 30-acre piece of surplus land in Diamond Bar that is zoned for up to 200 new homes.
Lennar has reportedly opened escrow after agreeing in June to pay the school district $35 million -- some $10million more than the district anticipated -- for land on the southeast corner of Brea Canyon Road and Diamond Bar Boulevard.
Lennar is building homes in 18 states and was rated the second-largest homebuilder in the nation in 2008. In California, it is preparing to build 5,000 homes as part of the Great Park project in Irvine.
However, Walnut Valley officials stressed that the money may not be a windfall for the district, which is eating up its reserves and preparing to cut back on personnel and if necessary, shorten the school year, especially if the governor's tax initiative does not pass.