Lennar (NYSE:LEN) held its 2026 Annual Meeting of Stockholders virtually, with Executive Chairman and CEO Stuart Miller presiding as chair and Chief Legal Officer and Corporate Secretary Katherine Lee Martin serving as secretary. Board members, representatives from Deloitte & Touche LLP, and Broadridge’s inspector of elections also attended.
Martin said the board set Feb. 11, 2026 as the record date for determining eligible stockholders and that meeting materials were mailed Feb. 26, 2026. She reported that the inspector of elections confirmed a quorum was present.
Voting results: directors elected; shareholder proposals fail
Martin read preliminary results provided by the inspector of elections:
- The director nominees were elected, including Amy Banse, Kate Gilliam, Cheryl Hudson, Teri McClure, Stuart Miller, Dacona Smith, Jeffrey Sonnenfeld, Serena Wolfe, and Lead Director Armando Oliveira.
- Stockholders approved the advisory vote on compensation of the company’s named executive officers.
- Stockholders ratified Deloitte & Touche as independent registered public accounting firm for the fiscal year ending Nov. 30, 2026.
- Stockholders did not approve a shareholder proposal seeking “equal voting rights for each share.”
- Stockholders did not approve a shareholder proposal requesting disclosure of voting results by share class.
Martin said final vote details would be filed in a Form 8-K with the U.S. Securities and Exchange Commission within four business days.
Chevedden presses for “one vote per share”
Shareholder John Chevedden presented Proposal 4 calling for equal voting rights for each share, asking the board to take steps to enable all outstanding stock to have “an equal one vote per share,” including “encouragement and negotiation” with holders of super-voting shares. Chevedden said the topic “won 45% support at the 2023 Lennar Annual Shareholder Meeting,” which he said likely represented more than 60% support among non-insider shares.
Chevedden also criticized the company’s recent operating backdrop, stating that Lennar stock “dropped sharply” after weak first-quarter earnings and arguing the company’s incentives and price cuts had reduced margins and contributed to a rise in completed unsold homes. He contended dual-class structures can entrench control and cited Hollinger International as an example. The operator noted Lennar’s board recommended stockholders vote against the proposal.
Illinois Treasurer seeks vote transparency by share class
Karen Kerschke, representing the Office of the Illinois State Treasurer as trustee of the Bright Directions College Savings Trust, presented Proposal 5 seeking disaggregated vote reporting by share class. Kerschke argued the change would not alter Lennar’s capital structure but would provide “a simple and reasonable call for enhanced transparency” given Lennar’s dual-class structure.
Kerschke said Class A shares carry one vote per share and Class B shares carry 10 votes per share. Citing information disclosed in Lennar’s 2025 proxy statement, she said Miller beneficially owns about 69% of outstanding Class B shares and, due to the voting ratio, “controls approximately 39% of voting power,” despite being able to vote “on behalf of only 9%” of total economic ownership. Kerschke said class-level reporting would help investors understand how each share class voted on governance matters and asserted that, based on her office’s analysis of 2023-2025 votes, certain shareholder proposals received majority support among Class A holders but failed overall. The operator again stated the board recommended a vote against the proposal.
Miller outlines strategy: land-light model, tech modernization, “Volume First”
After the formal meeting was adjourned, Miller delivered a brief presentation recapping themes he said were covered in the company’s first-quarter earnings call held “a couple of weeks” earlier.
Miller described a “difficult” homebuilding environment characterized by a chronic housing shortage and strong demand that is “not actionable because of affordability concerns.” He said that after inflation rose in 2022, interest rates increased and “basically doubl[ed] the monthly cost of housing,” creating an affordability gap. In response, he said Lennar adopted a “Volume First” program that used margin “as a shock absorber,” employing incentives and pricing adjustments to maintain sales pace.
He said the main macro change since the earnings call was “the continuation of the turmoil in the Middle East,” which he said contributed to an overhang on interest rates and inflation questions. Miller added he did not have an update on how the housing market had acted since the earnings call but said it had not shown “an extreme level of volatility.”
Miller said Lennar’s strategy has centered on three areas:
- Financial transformation to a land-light model: Miller said Lennar transitioned over roughly five years from an “asset-heavier model” to an “asset-light, land-light model” using land banking and “developer just-in-time delivery systems.” He said “95% of our land is now off book,” positioning the company for higher returns on capital and equity and making homebuilding more of a “pure-play” manufacturing-focused operation.
- Technology modernization: Miller said rebuilding the company’s “technology backbone structure” has been “expensive,” “time-consuming,” and included “false starts,” but he said Lennar has made “meaningful progress” and is reaching an “inflection” where investments may begin to relieve overhead pressures.
- “Volume First” operating approach: Miller said the company maintained and increased volume even “to the detriment of our margin,” aiming to build efficiencies for a higher-rate “new normal.” He said Lennar reduced construction cost per square foot by about 12% over the last couple of years, and improved cycle time from 138 days to 122 days over the past year, contributing to a 2.5 times inventory turn compared with 0.9 a few years earlier.
Miller also said the company’s overhead “has grown substantially” but that Lennar is at a point where it can “re-rationalize” overhead and expects it to “normalize and come down.” He described the balance sheet as “rock solid,” providing flexibility for future operations and growth.
Shareholder Q&A: incentives, technology examples, safety, buybacks
During a Q&A segment, Miller said there was “no” change in the types of buyer incentives being used, citing interest rate buydowns, closing-cost support, and price adjustments. He said the mix is recalculated at the division level using the company’s dynamic pricing model to balance affordability with margin protection.
Asked for examples of new technologies, Miller pointed to the “Dynamic pricing model” becoming more sophisticated through data-driven approaches. He also cited technology improvements across marketing, customer website interactions through post-purchase engagement, and tools to work with the supply chain and trade partners.
On quality and safety, Miller said Lennar is “very safety-first focused,” emphasizing adherence to government rules and high standards for trade partners and construction managers. He said the company performs checks at each stage to reduce defects and aims for “a zero-defect delivery,” while acknowledging misses can occur and stating the company returns to address issues for customers.
Miller also addressed questions on stock buybacks, saying Lennar does not outline planned buybacks in advance and reviews activity quarterly based on cash flow, balance sheet considerations, and opportunities. He called buybacks “a critical and important part” of capital deployment, particularly as the company has become more asset-light.
About Lennar (NYSE:LEN)
Lennar Corporation (NYSE: LEN) is a U.S.-based homebuilder and real estate company that designs, constructs and sells residential housing. The company offers a range of product types including single-family detached homes, townhomes and condominiums, serving buyers from entry-level and first-time purchasers to move-up, active-adult and luxury segments. Lennar also develops master-planned communities and manages land acquisition and entitlement activities that support its homebuilding operations.
In addition to home construction and sales, Lennar provides a suite of ancillary services intended to streamline the purchase process and capture additional value.
