KB Home will relocate its main office from Los Angeles to the Phoenix metropolitan area by spring 2027, citing lower operating costs and more affordable housing markets for employees. The company plans to maintain six operating divisions in California to support its existing 100-plus projects and tens of thousands of homes across the state.

KB Home expects the move to streamline operations, accelerate growth and leverage Arizona’s business-friendly environment, as stated by CEO Robert McGibney. The relocation aligns with the company's strategy to control expenses during a cooling property market, while continuing to expand in Southern California with nine new communities opened in the past six months and ten more planned through 2026.

Shares of KB Home rose about 1% following the relocation announcement, partially offsetting earlier year-to-date declines, with the stock last closing at $51.93. Founded in Detroit in the 1950s and established in California by 1963, KB Home pioneered slab foundations, buyer financing and ten-year warranties for first-time homeowners.