Builders FirstSource has acquired L&P Building Supply, a Las Cruces lumber and building materials dealer that has served southern New Mexico and El Paso contractors since 1978. The deal adds a well-established regional supplier to a company that is simultaneously shuttering dozens of facilities elsewhere as the housing market cools.
L&P describes itself as New Mexico's largest independent dealer, supplying pro contractors with lumber, building materials and manufactured components including trusses and wall panels, according to HBS Dealer. The company serves customers across southern New Mexico and into El Paso, Texas, a footprint that Hardware Retailing says fits with Builders FirstSource's pattern of snapping up established regional players to fill gaps in its national network. Builders FirstSource itself is based in Texas and has grown largely through acquisitions.
A Fifth Acquisition This Year, Even As Facilities Close
The L&P purchase marks Builders FirstSource's fifth acquisition so far in 2026, even as the company has consolidated 45 facilities nationwide this year in response to an ongoing housing slowdown, per HBS Dealer. That dual track — buying up regional dealers while closing other locations — reflects a broader reshuffling as the company adjusts its footprint to softer housing demand without abandoning its acquisition-driven growth strategy.
Other recent deals cited by Hardware Retailing include Precision Design & Trim in June, Innovation Construction Group in August, and Glecker and Sons Construction and Glecker and Sons Building Supplies, also in August. On the company's third-quarter earnings call, executives said the quarter's acquisitions included ICG and Gleckler & Sons, and noted the company remains on track to deliver $140 million in previously outlined cost actions, according to a transcript published by Benzinga. Since its 2021 merger with BMC, the company has now completed 44 acquisitions representing roughly $2.5 billion in annual sales, the same call indicated.
Quarterly Results Show Income Decline Amid Soft Housing Market
Builders FirstSource reported third-quarter 2026 net sales of $3.9 billion and net income of $60.4 million, down from $122.4 million in the same quarter of 2025. Acquisitions contributed 1.8% growth to that quarter's net sales, according to figures reported by Yahoo Finance. The company attributed the year-over-year decline primarily to a lower housing starts environment and related headwinds, the outlet reported.
The exact scale of that sales decline is disputed between sources: the earnings-call transcript cited by Benzinga put the drop at approximately 2% year-over-year, while a separate Yahoo Finance figure put it at 2.2%. Either way, the company has continued pursuing acquisitions like the L&P deal even as it trims its facility count elsewhere, a strategy executives have framed as consolidating underperforming sites while targeting growth in markets where demand remains.
Expansion Elsewhere Shows Pattern Beyond New Mexico
The company's growth-by-acquisition approach isn't confined to the Southwest. Builders FirstSource also opened an 185,000-square-foot facility on 40 acres within Rocky Mountain Rail Park in Bennett, Colorado, adding 100 full-time employees to serve homebuilder customers there, per Hardware Retailing. Between new builds and acquired dealers like L&P, the company appears to be betting that regional density, rather than sheer facility count, will carry it through a slower housing cycle.
