One of the leading homebuilding companies in the U.S., KB Home ( KBH - Analyst Report ) recently closed a new unsecured revolving credit facility worth $200 million. The company intends to use the proceeds from the offering to support its growth plans.

The credit facility included a clause where the commitment may be increased to up to $300 million, subject to other conditions.

Its growth plans include aggressive investment in land, activating communities, which were held for future development, increasing revenues per community, and strengthening management teams with additional resources.

Of late, KB Home has been involved in aggressive investment in land assets and communities. The rising demand for new homes has led to a favorable situation in the housing market, where inventory levels are dropping and prices are moving up. This has necessitated the building of adequate number of new homes to maintain the required level of inventory to meet growing demand. Acquiring lots and lands will help the company to capitalize on the increasing housing demand.

KB Home intends to open more than 120 communities in 2013, with more communities slated to come up in the later half of the year. As such, the community count is expected to increase by at least 15% to 20% by the end of next year. The company expects profitability for fiscal 2013. The proceeds from the offerings will support the company in meeting its targets.

KB Home carries a Zacks Rank #3 (Hold).

Other stocks in the homebuilding sector that are performing well and deserve a mention include NVR Inc. ( NVR - Snapshot Report ) carrying a Zacks Rank #1 (Strong Buy), and D. R. Horton Inc. ( DHI - Analyst Report ) and Hovnanian Enterprises Inc. ( HOV - Snapshot Report ) , carrying a Zacks Rank #2 (Buy).