AR Franchising, Inc., the parent company of the renowned AR Homes® brand, announced its transition to an Employee Stock Ownership Plan (ESOP), marking a significant milestone in the company’s evolution and strengthening its commitment to the people who make its success possible. The ESOP officially went into effect in 2023.
Founded by homebuilding pioneer Arthur Rutenberg, the company has long been synonymous with innovation, craftsmanship, and integrity in the custom homebuilding industry. The move to employee ownership reflects the same forward-thinking spirit that defined Rutenberg’s career and honors his legacy under the continued stewardship of the Rutenberg family’s second generation, who supported and guided the transition.
“Becoming an ESOP is a transformative step that allows us to invest in our greatest asset, our people,” said Don Whetro, Chief Executive Officer of AR Franchising, Inc. “Our employees are the driving force behind the AR Homes® brand, and this transition ensures they share directly in the value they help create every day. It is more than a financial benefit; it is a shared sense of purpose, pride, and ownership that will propel us into the next era of growth.”
Kelli Chickos, Vice President of People Operations, emphasized the ESOP’s positive impact on company culture and its growing appeal to new hires. “The ESOP has been a powerful tool for strengthening employee loyalty and engagement,” said Chickos. “It reinforces that every team member has a stake in the company’s success, which translates to higher retention and a deeper sense of connection to our mission. It has also become an added benefit that attracts top talent who want to grow their careers with a company that invests in them.”
Under the new structure, employees will earn ownership in the company over time, building wealth as AR Franchising continues to expand its network of independently owned and operated custom homebuilding franchises. The ESOP model not only rewards long-term commitment but also aligns every team member’s success with the company’s performance, fostering collaboration, accountability, and innovation.
“This change reflects the values that have always defined our organization, trust, respect, and opportunity,” Whetro added. “It reinforces our commitment to the people who bring our brand to life and to the future of the AR Homes® legacy.
With the Rutenberg family’s continued involvement and endorsement, the ESOP transition ensures that AR Franchising remains both rooted in its founding principles and positioned for sustainable, employee-driven success in the decades to come.