For the first time in at least 7 years since the ill-timed and ill-fated Ledges project, dirt is being turned on a Somersett project that includes new infrastructure. Parcel A of Village 5B is about to become 100 SFRs. For those of you who are not fluent in Developer, it is the lot at the NE corner of 9th Hole Trail and Del Webb Parkway East. For those of you that don’t care a rat’s patootie about Somersett, here is a map of the project:
OOPs, I gave away the developer with the graphic. Lennar is taking their virgin run into Somersett development. They did Sterling Point just outside the gates to Somersett to great success (and significant pain to the buyers) just before the crash. The are actively completing Canyon Pines just to the east (known as Section 8 Heights to the more well-heeled custom home Somersett dwellers who abut the project).
Monterey Somersett lost the project to the bank with $9.6M owing in mid 2011. They had started rough grading and some utility work, but they crashed before much work got completed. The lender panicked and sold the land to Lewis Investments a few months later for $830,495. Lewis perfected the site entitlements and sold it to Lennar on 9/26/2013 for $6,523,811. SCORE Lewis! $65,000 per semi improved lot (though entitled) is astronomically high in this market. Finished and improved lot costs will end up north of $100K per unit. It will be very interesting to see what development model Lennar brings to this project to justify the lot costs.
In other Somersett news, the vote to change their CCRs on some technical issues has been extended for the 5th or 6th time. Apathy reigns in most HOAs.
In more more Somersett news, the HOA has not been presented with a vote on buying the golf course yet. The Attorney General’s order to find a solution to the existing illegal agreement expires in August.
Beyond Somersett, Tanamera has posted their plans for the Cottage Row at Midtown project. Can Midtown assimilate $500K SFRs? I don’t think the land use is legal under the current zoning, but I’ll take it over the Worst Project Ever.